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  • Visions of Economic Recovery by Russian Parties

    The debates that took place last week within the government agencies, the State Duma and parliamentary party leaderships have proved that none of them has a clear idea of how to achieve an economic recovery. Most of the parties that number themselves among the opposition, whether they are Communists or the ultranationalist Liberal Democratic Party, are confining themselves to a set of populist slogans, ill equipped to combat the economic crisis.

    The Russian Communist Party plenary meeting was most telling in that it kept harping that the present crisis proved the “collapse of liberal capitalism” and that only socialism could be an alternative to it. Curiously, Communist leader Gennady Zyuganov described the United States and Obama’s agenda as an example of this socialist approach.

    The Zyuganov-set objective to enroll young, enthusiastic and gifted young people into his party in celebration of the 130th anniversary of Joseph Stalin this year shows how far Communists are removed from reality.

    Admittedly, from the economic freedom perspective, the government’s and parties’ anti-crisis measures contain certain rational points. They primarily concern the tax reform. Plans to hike social security taxes from 26 to 34 percent virtually have been dropped. Projects elaborated by left-wing parties and some government agencies to reinstate progressive income tax rates have been forsaken, thus far. Meeting with Vladimir Putin, Liberal Democratic Party leader Vladimir Zhirinovsky and chief Communist Gennady Zyuganov – independently of one another – advised the Prime Minister to replace the VAT with a sales tax, replicating American taxation practices. Zyuganov even proposed to establish this tax rate at 4 percent. The center-left Just Russia Party leader Sergey Mironov is lobbying cuts in Russia’s flat 13-percent income tax for under-privileged people.

    Certainly, amid a deepening economic downturn the government is unlikely to lower the tax burden for the populace, fearing an immediate drop in tax revenues. But the mere fact that most of the parties recognize the need for low taxes in order to stimulate the economy is a fairly good sign that the economic thought in Russia is undergoing liberalization.

    Posted in International [slideshow_deploy]

    2 Responses to Visions of Economic Recovery by Russian Parties

    1. Ron, Derry NH says:

      Change the players to democrats and republicans and you get the same problem. Government power comes from government imposed taxation,coercion and suppression of those that can withstand it.

      When money is tight they can't figure out who they can weaken and cheat from the just reward and gain of labors deserts; freedom, liberty and self destiny!

      Give then time, the perseverance of humanity will expose the strong horse and the government will pounce and saddle her up for the free ride to imposed dictatorial will.

      It is just the nature of things.

    2. penelopesire says:

      Gennady Zyuganov was implicated in the Final Oil For Food scandal report.

      Page 34:

      KPRF (Communist Party of the Russian Federation) has been headed by Gennady Zyuganov…[who] came in second during the Russian presidential elections of 1996 and 2000… Reportedly, in February 2003 [less than a month before the war] Mr. Zyuganov met with Saddam Hussein and upon his return to Moscow called upon Russia to use its veto power in the Security Council to avoid the war… Mr. Zyuganov was involved in monitoring the amount of oil allocated throught the Foundation for Friendship with Peoples of Arab State.

      Check out his letter to Tariq Aziz on page 36. Then the next chapter with a name from the past!:

      Page 36:

      According to Iraqi officials and Iraqi Ministry of Oil records, 73 million barrels were allocated in the name of Vladimir Zhirinovsky, the head of the Liberal Democratic Party of the Russian Federation ("LDPR")… According to Iraqi officials, Mr. Zhirinovsky received oil allocations because it was believed that he would advocate for political positions favorable to Iraq… Currently, Mr. Zhirinovsky holds the position of the Deputy Chairman of the State Duma…

      His letter to Iraq follows on page 38, then we get into real estate deals…

      …In early 2002, Mr. Zhirinovsky offered to pay outstanding surcharges by transferring the title to a building located in Moscow to the Government of Iraq… The agreement was executed and the transfer of title registered with the authorities in Moscow… The building is reportedly being used by the Iraqi Embassy as a school. After the beginning of military operations in Iraq, Mr. Zhirinovsky reportedly has tried unsucessfully to reclaim ownership of the building… Mr. Zhirinovsky reportedly has claimed the he "did not sign a single contract" and "did not receive a single cent from Iraq."

      But enough about the Russian Opposition Parties…

      Page 43:

      Iraqi Ministry of Oil records show that approximately 4.3 million barrels of oil were allocated in the name of Alexander Voloshin… At that time, Mr. Voloshin served as Chief of Staff in the Administration of the Russian Presidential Administration… When interviewed, Mr. Voloshin denied requesting or receiving any oil allocations from Iraq… Mr. Voloshin stated that the signatures in his name that appear on the letter dated December 19, 2002, as well as the accompanying translation, were "obviously… forged."…

      On page 48, it turns into a Tom Clancy novel, talking about how the cash was transported from the Iraqi Embassy in Moscow in diplomatic bags under diplomatic immunity, avoiding searches by Russian customs authorities. It goes on to say the the president of the airline charters to Baghdad also received oil allocations.


      done by none other than Paul Volker.

      Here is a video of him praising Lenin,Marx and Obama:


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