The unemployment rate in Russia dropped in July to 5.3%, not far from the record low of 4.8% a year ago. Notably the number of the economically active population (those working or looking for a job) simultaneously grew from 76.5 to 77.2 million. This shows that real gains were made on the job market.
The unemployment rate must be considered the most accurate indicator of the real health of the economy as the other core indicators such are too much subject to estimations and conventions. Here we then have solid proof that not all is bad in the Russian economy as the press would have it.
According to some malicious and mendacious press reports the low unemployment rate is a mere chimera. The Russian government has supposedly attempted to save jobs in economically unviable areas in order to protect social stability rather in the way it was done during the planned economy in the USSR. This is what Bloomberg claims in a story of August 18 titled Putin Revives Soviet Deal of Pretend-Work-and-Pay to Hide Crisis. This comes against the better knowledge we have about a slew of announcements of downsizing and shedding of workforce at Russian state owned corporations and authorities. Indeed the Western press has been regularly gloating during the last few months over the reports of mass redundancy with headlines like these:
At the end of this article, we will provide a brief digest of such press clippings for the education of those in doubt.
It becomes remarkably clear that the unemployment has gone down against the backdrop of simultaneous mass layoffs and restructuring. The only proper way to interpret this is that the Russian economy indeed is resilient and that a real modernization of Russia’s economy is underway with new viable ventures absorbing the labor force made redundant.
Bloomberg continues its lamentation (or euphoria?) about the Russian job market by referencing to a recent OECD report on labor productivity in various countries. According to that report, Russians would be the least productive workers in Europe, as The Moscow Times interprets it. This is of course total nonsense partly based on Academic drivel and partly on calculation errors. The Academic drivel part lies in the entire notion behind this measure, the idea that by dividing a country’s GDP by the number of hours worked would yield the productivity of the worker. (Let’s be fair, the question is in fact about the productivity of the economy as a whole including – and to a big degree – its management. By referring to low productivity of workers, The Moscow Times only wanted to add insult to the story.)…….
Lääne press ajab tihti jama Venemaa kohta. Venemaa SKP-st moodustab olulise osa nafta eksport. Naftahinnad langesid, mistõttu halvenesid Venemaa reaalsed kaubandustingimused ülejäänud maailmaga. Eksport lisatakse SKP-le ja import lahutatakse, kuna SKP mõõdab loodavat lisandväärtust majanduses. Venemaa jooksevkonto on ülejäägis ja mina olen veendunud, et Venemaa võiks defitsiitselt kulutada ning täistööhõive saavutada.