U.S. Economy Russiafied: Following the President's Orders - Econ Lessons

[TexasTowelie]

Hi, my name is Mark, I am a professional economist. In this video, I explore how the U.S. economy under the current administration increasingly resembles the Russian model, prioritizing state intervention, protectionist measures, and geopolitical resource manipulation over free market principles. The U.S. has historically championed the free movement of labor and capital, a foundational tenet of economic liberalism. However, recent policies—including heightened tariffs, industrial subsidies, and restrictions on capital flow—indicate a shift away from these principles.

Often framed as protective economic measures, tariffs are regressive taxes that disproportionately burden lower-income consumers while benefiting select domestic industries. By artificially raising prices, these tariffs effectively redistribute wealth upwards, exacerbating economic inequality—a hallmark of Russia’s oligarchic system. Simultaneously, tax breaks and industrial favoritism for large corporations and the wealthy reinforce structural imbalances, further consolidating economic power among elites.

Additionally, the strategic use of economic policy as a tool of geopolitical leverage mirrors Russia’s approach to resource control and financial coercion. Rather than fostering a competitive global market, the U.S. appears to be adopting a resource gaming strategy prioritizing political objectives over economic efficiency.

This trend is further compounded by foreign policy shifts, such as the pausing of aid to strategic allies, which raises questions about the long-term stability of U.S. economic leadership. As economic nationalism takes precedence, the U.S. risks undermining its role as the leading advocate for open markets and liberal economic values.

Is the U.S. economy moving toward a Russian-style model where state intervention, wealth concentration, and geopolitical maneuvering dictate economic outcomes?

[multigraincracker]

1. In the end......

[rampartd]

2. he mentioned the resource curse

https://en.wikipedia.org/wiki/Resource_curse

The resource curse, also known as the paradox of plenty or the poverty paradox, is the hypothesis that countries with an abundance of natural resources (such as fossil fuels and certain minerals) have lower economic growth, lower rates of democracy, or poorer development outcomes than countries with fewer natural resources.[1] There are many theories and much academic debate about the reasons for and exceptions to the adverse outcomes. Most experts believe the resource curse is not universal or inevitable but affects certain types of countries or regions under certain conditions.[2][3] As of at least 2024, there is no academic consensus on the effect of resource abundance on economic development

I explain this phenomema a little differently.

on a tropical island with happy people oil (or gold, or "raw earth&quot is discovered. this product has value, and the happy people will want their share. best to kill them off (or move them from the gold filled black hills to starve on a reservation somewhere in the most humane way imaginable.) before they start to interfere with profit.