> 
> Hi Dan, I am interested to hear what your basis is for saying that 
> Russia is falling out of the developed world.

It's based on a number of things, but I think the single item that stood out
for me was the male life expectancy: 59.2 years.  25 years ago, it was over
70 years (at least officially).  This drop is absolutely amazing.  Women
fare much better, average life expectancy is 73.1 years or so, but this high
death rate among men indicates a tremendous, debilitating underlying
problem.  Alcoholism gets most of the blame here, but that level of
alcoholism is truly staggering. 

Second, Russia's economy had been in a free-fall from about 1980 to 2000.
Living standards had dropped tremendously.  Recently, due to oil and gas
production, the per GDP has risen noticeably, but the increasing control of
Putin over everything reminds me of Venezuela and Iran.  It's as Thomas
Friedman stated, central controlled one trick pony economies do not develop
well (e.g. Iran, Iraq, Nigeria), while diversified ones (e.g. Taiwan, South
Korea) do.   With the drop in oil prices, Russia's hurting now. While the
US, European, and Asian stock markets have dropped tremendously, it's
nothing compared to the 75% drop in Russia seen this year.

Third, Russia isn't/can't take care of the relatively few children it does
have.  According to the Wikipedia article on street children, Russia has 2-4
million (the Russian official number is 700k, but they also state that they
do not have an AIDs problem...and 700k isn't peanuts).  For a country of 140
million, with about 20 million children, this translates into 10-20% of all
children.

Fourth, Russia built its status on military might and international
control/influence.  The countries behind the Iron Curtain were set up to
trade in a way highly favorable to Russia, for example.  It was the enemy of
the US, and was able to contest the US from Viet Nam to Cuba.  

Now, its military might is minimal.  Its soldiers are experienced, which is
worth something, but its equipment is decaying.  On paper, it has a
tremendous nuclear arsenal, but in reality the launch success rate would be
very low.  Indeed, in Security Studies, a detailed analysis has concluded
that there is a high probability that the US now has a first strike capacity
against the Russia (note, the article went on to discuss possible
destabilizing results from this, so it wasn't considered a plus for the US
in the article).  

The Russians easily handled the small country of Georgia.  But, based on how
it handled that, the Ukraine may give it a decent battle.  Star Wars and the
Afghanistan war were the beginning of the long slide in military power.

Finally, its death rate is about 50% higher than its birth rate.  While that
is not inherently indicative of dropping out of the first world, the fact
remains that it's a dying country, and a  dying country that does not take
care of its children to boot.  If we do find alternatives to expensive
(>$90/barrel) oil, Russia will have no basis for its economy.  At that
point, one real geopolitical risk is a strong China will see an empty Russia
to its north, with great potential for farming as global warming opens up
farming areas.

Dan M. 

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