Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Putin's Achilles' Heel [Europe and the U.S. have leverage against Russia, if they'll use it.]
WSJ ^ | March 3, 2014

Posted on 03/03/2014 5:02:44 PM PST by 1rudeboy

Russia's Micex stock index fell 11% on Monday and the ruble hit an all-time low after Vladimir Putin's weekend invasion of Ukraine's Crimea peninsula. The sour reaction suggests that investors understand that Mr. Putin's Achilles' heel is the Russian economy and its access to world financial markets, if the West has the wit and will to exploit it.

The conventional wisdom in the pundit class is that Russia holds the economic edge because of its natural gas supplies to Ukraine and much of Europe. But that supply is a double-edged sword because Russia needs the foreign-exchange earnings as much as Europe needs the gas. With enough stockpiles to get through the rest of the winter, Ukraine and Europe are also less subject to immediate energy blackmail.

More broadly, the Russian economy is no global tiger. Last year it grew 1.3% and the ruble has been among the currencies hit hardest by the flight away from emerging markets as the U.S. Federal Reserve tapers its bond purchases. Russia's central bank raised its benchmark interest rate to 7% from 5.5% on Monday to stop further flight.

Russia's economy continues to be largely an oil commodity play that has diversified little thanks to Mr. Putin's treatment of foreign and domestic investors. As in most authoritarian regimes, Russia's economy is top-heavy and built on favors for oligarchs who do what the Kremlin wants. Do otherwise and you end up in Siberia like Mikhail Khodorkovsky, or dead like anti-corruption lawyer Sergei Magnitsky.

No one knows this better than the Russians themselves, which is one reason they are so eager to negotiate a bilateral investment treaty with the U.S. They know most foreign investors won't come in without more protective rules. The U.S. should shut down these talks.

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; Editorial; Foreign Affairs; Russia
KEYWORDS: bhorussia; energywar; eu; imf; powerstruggle; russia; soros; ukraine; viktoryanukovich; yuliatymoshenko
Navigation: use the links below to view more comments.
first 1-5051-52 next last

1 posted on 03/03/2014 5:02:44 PM PST by 1rudeboy
[ Post Reply | Private Reply | View Replies]

To: 1rudeboy

Yeah yeah. And if America had a President. Dreams


2 posted on 03/03/2014 5:04:54 PM PST by Gaffer (Comprehensive Immigration Reform is just another name for Comprehensive Capitulation)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1rudeboy

The west is teetering on the financial brink themselves. China sides with Russia.

We won’t piss off China, who owns all our debt, on some silly theory that we have financial leverage by blackballing Russia.


3 posted on 03/03/2014 5:09:43 PM PST by wonkowasright (Wonko from outside the asylum)
[ Post Reply | Private Reply | To 1 | View Replies]

To: wonkowasright

Not sure where you want to go with this . . . if I owe someone money, I’m not afraid of pissing them off at all.


4 posted on 03/03/2014 5:11:35 PM PST by 1rudeboy
[ Post Reply | Private Reply | To 3 | View Replies]

To: 1rudeboy

5 posted on 03/03/2014 5:13:09 PM PST by dontreadthis
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1rudeboy

Our national debt is less than 5 yr maturity. We are essentially on an ARM. Financial leverage works both ways.

By reducing purchasing China can easily push our interest rates higher quickly.

Its arrogance, in this article, to think we can push the East around financially anymore. Those days are behind us now.


6 posted on 03/03/2014 5:14:45 PM PST by wonkowasright (Wonko from outside the asylum)
[ Post Reply | Private Reply | To 4 | View Replies]

To: dontreadthis

Pooty probably has that pic hanging in his office.


7 posted on 03/03/2014 5:15:21 PM PST by Jane Long (While Marxists continue the fundamental transformation of the USA, progressive RINOs assist!)
[ Post Reply | Private Reply | To 5 | View Replies]

To: wonkowasright

Something interesting:
12/12/13
Ukrainian President Viktor Yanukovych escaped protests in his country last week with a state visit to Beijing, where he received China’s pledge to protect Ukraine under its nuclear umbrella.

On Dec. 5, Mr. Yanukovych and President Xi Jinping signed a bilateral treaty officially pronouncing that China and Ukraine are now “strategic partners.”

“China pledges unconditionally not to use or threaten to use nuclear weapons against the nuclear-free Ukraine and China further pledges to provide Ukraine nuclear security guarantee when Ukraine encounters an invasion involving nuclear weapons or Ukraine is under threat of a nuclear invasion,” said a joint statement on the pact.

China’s official media, including Xinhua and Global Times, touted the deal with the headline “China Pledges Nuclear Umbrella to Protect Ukraine.”

Read more: http://www.washingtontimes.com/news/2013/dec/12/inside-china-ukraine-gets-nuke-umbrella/#ixzz2ux7Pd56T
Follow us: @washtimes on Twitter


8 posted on 03/03/2014 5:18:19 PM PST by griswold3 (Post-Christian America is living on borrowed moral heritage)
[ Post Reply | Private Reply | To 3 | View Replies]

To: wonkowasright

Again, not sure why you think the Chinese eating all the dollars they have in order to raise our Treasury rate up by a few notches is bad. Might be the best thing to happen to us.


9 posted on 03/03/2014 5:19:07 PM PST by 1rudeboy
[ Post Reply | Private Reply | To 6 | View Replies]

To: 1rudeboy

10 posted on 03/03/2014 5:21:51 PM PST by 2ndDivisionVet (I will raise $2M for Sarah Palin's next run, what will you do?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: griswold3

Indeed.

We are seeing this shift across a lot of territory. East is on the rise west on the wane.

Its hard to get upset about the Ukraine. The west funded a bunch of dunderhead revolutionaries, like we are doing in Syria, that were completely unable to hold power once they toppled the sitting government.

Near term the Ukraine will be better off with Russia than with the West.


11 posted on 03/03/2014 5:25:19 PM PST by wonkowasright (Wonko from outside the asylum)
[ Post Reply | Private Reply | To 8 | View Replies]

To: Jane Long

http://www.tomatobubble.com/putin_obama.html


12 posted on 03/03/2014 5:25:25 PM PST by dontreadthis
[ Post Reply | Private Reply | To 7 | View Replies]

To: Gaffer

We may as well make the most of this situation. Putin invades Ukraine’s Crimea peninsula and Obamadon’tcare.


13 posted on 03/03/2014 5:27:27 PM PST by billhilly
[ Post Reply | Private Reply | To 2 | View Replies]

To: wonkowasright
Near term the Ukraine will be better off with Russia than with the West.

Says some guy sitting behind the safety of his computer keyboard.

14 posted on 03/03/2014 5:28:12 PM PST by 1rudeboy
[ Post Reply | Private Reply | To 11 | View Replies]

To: Gaffer

We may as well make the most of this situation. Putin invades Ukraine’s Crimea peninsula and Obamadon’tcare.


15 posted on 03/03/2014 5:33:05 PM PST by billhilly
[ Post Reply | Private Reply | To 2 | View Replies]

To: wonkowasright

Push interest rates higher? Newsflash, the FED manipulates interest rates, and have held them artifically low for at least the last 5 years. Also, if we told China to go suck an egg on the debt they hold, what are they gonna do? We buy all thier junk. They would be back plowing fields with sticks and oxen, without a market here.


16 posted on 03/03/2014 5:34:44 PM PST by swamprebel (a Constitution once changed from Freedom, can never be restored.)
[ Post Reply | Private Reply | To 6 | View Replies]

To: 1rudeboy

17 posted on 03/03/2014 5:35:38 PM PST by tcrlaf (Well, it is what the Sheeple voted for....)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1rudeboy

The Russian achilles heel is all the toys and property in the US and Europe bought with money stolen from Russia. Just expropriate the oligarchs businesses and property in the west. Tell the Russians to behave or they are forfeited.

Start with Chelsea soccer team. That’s worth about a billion right there. Many billions in hard assets should be frozen pending the outcome of Putin’s latest adventure. So far it seems Germany is too chicken to do it.


18 posted on 03/03/2014 5:36:01 PM PST by lodi90
[ Post Reply | Private Reply | To 1 | View Replies]

To: lodi90

The Russian achilles heel is all the toys and property in the US and Europe bought with money stolen from Russia. Just expropriate the oligarchs businesses and property in the west. Tell the Russians to behave or they are forfeited.

Start with Chelsea soccer team. That’s worth about a billion right there. Many billions in hard assets should be frozen pending the outcome of Putin’s latest adventure. So far it seems Germany is too chicken to do it.
_______________________________________

Yep....that’s Russia’s other Achilles heel. If the Western governments froze those assets, that sound you’d be hearing is the sound of Russian oligarchs, Putin included, suddenly and simultaneously soiling their $100 underwear.


19 posted on 03/03/2014 5:42:26 PM PST by AnAmericanAbroad (It's all bread and circuses for the future prey of the Morlocks.)
[ Post Reply | Private Reply | To 18 | View Replies]

To: AdmSmith; AnonymousConservative; Berosus; bigheadfred; Bockscar; cardinal4; ColdOne; ...

Thanks 1rudeboy.


20 posted on 03/03/2014 5:54:07 PM PST by SunkenCiv (https://secure.freerepublic.com/donate/)
[ Post Reply | Private Reply | View Replies]

To: 1rudeboy
What would the Ruble/USD cross look like if crude oil were priced relative to a basket of currencies & commodities rather than the US Dollar?

Maybe we'll find out.

21 posted on 03/03/2014 5:54:53 PM PST by mac_truck ( Aide toi et dieu t aidera)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1rudeboy

Russia buys European goods and Europe needs Russian Oil and gas.


22 posted on 03/03/2014 6:00:19 PM PST by STJPII
[ Post Reply | Private Reply | To 1 | View Replies]

To: mac_truck
What would the Ruble/USD cross look like if crude oil were priced relative to a basket of currencies & commodities rather than the US Dollar? Maybe we'll find out.

The US was the largest economy in the world and had the highest per capita income among the major powers when the British pound was the world's reserve currency. Having the dollar as the reserve currency is a drag on the US economy, not a boon. It was after the dollar attained reserve currency status - after WWII - that the economic gap between the US and the world starting shrinking.

23 posted on 03/03/2014 6:01:36 PM PST by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
[ Post Reply | Private Reply | To 21 | View Replies]

To: 1rudeboy

This doesn’t compute. Is Western Europe going to freeze in the dark so they can boycott Russia? I really don’t think so.


24 posted on 03/03/2014 6:09:38 PM PST by Cicero (Marcus Tullius)
[ Post Reply | Private Reply | To 1 | View Replies]

To: wonkowasright
We won’t piss off China, who owns all our debt, on some silly theory that we have financial leverage by blackballing Russia.

China could sell its US currency holdings and take the yuan to the moon, thereby tanking its exports. But they buy our debt because they can get in and out without losing too much money, due to the fact that the Treasury debt market is the largest debt market in the world. The advantage of Treasuries over gold is that the Treasury market dwarfs the gold market. To invest a few hundred billion dollars in the gold market would spike gold prices while buying, and crash them while selling because at $2000 per ounce, total annual world production of 4200 tonnes per year is valued at $300b, about the size of China's trade surplus with the US, compared with the $17T treasury debt market. It's as if an investor with $300b decides to invest all of that money in real estate that is currently valued at $300b - he pays a huge premium going in and gets a bad price getting out, because he is the market.

25 posted on 03/03/2014 6:15:12 PM PST by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Cicero

This doesn’t compute. Is Western Europe going to freeze in the dark so they can boycott Russia? I really don’t think so.


Putin turns of the power, Roman loses Chelsea. It isn’t difficult.

The real question is willlthe European elite forgo the Russian bribe checks so they can boycott Russia? The careerist power broker class in Europe is apparently even more rotten than the beltway crowd here. The German FM is ready to jet off to Sochi for the G8 meeting as Putin is invading his neighbor.

The attitude we are seeing is a flat out betrayal of eastern Europe and a green light for Putin to Finlandize and/or roll tanks over the entire FSU.


26 posted on 03/03/2014 6:21:08 PM PST by lodi90
[ Post Reply | Private Reply | To 24 | View Replies]

To: Cicero
This doesn’t compute. Is Western Europe going to freeze in the dark so they can boycott Russia? I really don’t think so.

Western Europe can buy their gas or oil from anywhere in the world. Contracts don't mean anything. If they pony up a few extra % points, they can buy what they want. Do you really think oil-producing countries that routinely nationalize oil and gas fields will balk at tearing up existing supply contracts to divert fuel to Europe for a few dollars more per barrel or mcf?

The reason Russia's stock market tanked 12% is because domestic investors understand that the EU, with its $32K average per capita income, is relatively insensitive to fuel price increases whereas Russia ($13K per capita GDP), whose economy is roughly 50% or more oil and gas dependent will have issues dealing with fuel price decreases resulting from a Europe- or worldwide trade embargo. Russia will have to sell its oil and gas at cut rate prices to China and India, which were said to be offering a steep discount to the market price for Iranian oil, while sanctions were ongoing.

27 posted on 03/03/2014 6:30:06 PM PST by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
[ Post Reply | Private Reply | To 24 | View Replies]

To: 1rudeboy

Ukraine has long been the breadbasket of Russia. That’s not new.

It has also been the site of Russia’s major warm water port, Sevastpol (sp), for about 3 centuries, iirc. (Odessa? the other?)

Control over those is probably more important to Putin than points on his stock market. As a Buckeye, I’ve always known Ohio to be an industrial state and a leading American industrial state. But the largest enterprise in Ohio has always been and remains agriculture. That always surprises me. Then again, people gotta eat.


28 posted on 03/03/2014 6:30:15 PM PST by xzins ( Retired Army Chaplain and Proud of It! Those who truly support our troops pray for victory!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1rudeboy

Naive article.


29 posted on 03/03/2014 6:36:13 PM PST by Southack (The one thing preppers need from the 1st World? http://tinyurl.com/ktfwljc .)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 1rudeboy
These silly bastards don't realize that Putin can cut the gas and oil AND electricity he supplies and still survive.

Europe would not. Their governments would collapse within 30 days. All of them.

30 posted on 03/03/2014 6:53:42 PM PST by Mariner (War Criminal #18)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Mariner

Europe can replace Russian oil and gas with coal, oil and gas from Europe and the middle east just as they had used for decades before the Russian pipelines.


31 posted on 03/03/2014 7:11:12 PM PST by Justa
[ Post Reply | Private Reply | To 30 | View Replies]

To: xzins

“But the largest enterprise in Ohio has always been and remains agriculture. That always surprises me. Then again, people gotta eat.”

I don’t think so. In the 60’s we had NCR (national cash register , Dayton) Proctor and Gamble, cincinati, Hoover vacuum, Canton, Firestone, Goodyear and Goodrich all in Akron, Standard Oil of Ohio, cleveland, Marathon oil, Findlay, Toledo Scales, Toledo, Youngstown sheet and tube, Nationwide Insurance, Columbus, Cincinati Milacron (machine tools) and a lot of auto plants.

Even now, we have Wendys, columbus, Bob Evans, columbus, First Solar (toledo), Honda, Marysville, Worthington Industries, columbus (specialty steel), Limited Stores, Columbus which have replaced a lot of the old industries.


32 posted on 03/03/2014 7:23:53 PM PST by staytrue
[ Post Reply | Private Reply | To 28 | View Replies]

To: swamprebel

“Also, if we told China to go suck an egg on the debt they hold, what are they gonna do? “

They would do nothing, however, the world wide monetary system would cease to function as the settlements could no longer rely on any US debt to be valid. US money would become the same value as a white sheet of paper.


33 posted on 03/03/2014 7:27:26 PM PST by staytrue
[ Post Reply | Private Reply | To 16 | View Replies]

To: xzins

34 posted on 03/03/2014 7:30:06 PM PST by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
[ Post Reply | Private Reply | To 28 | View Replies]

To: dontreadthis

Good job of Photo-shopping. LOL


35 posted on 03/03/2014 7:33:49 PM PST by MCF
[ Post Reply | Private Reply | To 5 | View Replies]

To: Zhang Fei

You’re way off.
Changing from Russian gas would require HUGE infrastructure costs.


36 posted on 03/03/2014 7:48:25 PM PST by mrsmith (Dumb sluts: Lifeblood of the Media, Backbone of the Democrat Party!)
[ Post Reply | Private Reply | To 27 | View Replies]

To: mrsmith
You’re way off. Changing from Russian gas would require HUGE infrastructure costs.

Europe started using Russian gas in the 80's and has plenty of domestic coal reserves. As to infrastructure costs - it's something they would have had to eventually do in order to take advantage of far lower gas prices in the Americas, as well as reduce their exposure to disruptions due to Russian expansionism.

37 posted on 03/03/2014 8:27:36 PM PST by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
[ Post Reply | Private Reply | To 36 | View Replies]

To: 1rudeboy

......one way to sock it to Russia and bring them to their knees would be to build the Keystone Pipeline from Alberta to Europe. At that point, all of Europe could tell the Russkies to go pound sand, or something worse!

From Central Alberta to Houston is 2,078 miles. From Central Alberta to the coast of Norway is 3,500 miles with the last 930 miles underwater.

Yes you would have to use Greenland and there are a lot of small bodies of water and the enviro wackos would go ballistic. But, this would NUKE Russia’s economy as effectively as a real bomb.

Let Canada pay for the portion in their territory and Greenlands. Let the Euro’s pay for the portion between Greenland and Norway (930 miles underwater).


38 posted on 03/03/2014 8:36:49 PM PST by Cen-Tejas (it's the debt bomb stupid!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: lodi90

If we had any balls and sense, we would push for the immediate passage of the Keystone Pipeline permits and ask Canada to sell it to Europe (already refined by our guys in Texas and elsewhere).

Now, who’s going to have the balls to stand up in Congress and say, “Do it now”?


39 posted on 03/03/2014 9:21:35 PM PST by MadMax, the Grinning Reaper
[ Post Reply | Private Reply | To 26 | View Replies]

To: Zhang Fei

The Germans now seem willing to accept Russian expansion into eastern europe in exchange for Russian gas. I am stunned by the timidity of the Germans. They are not stupid and have to know Putin won’t stop with Ukraine. They don’t seem to care.


40 posted on 03/03/2014 9:36:19 PM PST by lodi90
[ Post Reply | Private Reply | To 37 | View Replies]

To: swamprebel; staytrue
Also, if we told China to go suck an egg on the debt they hold, what are they gonna do? We buy all thier junk. They would be back plowing fields with sticks and oxen, without a market here.

Apart from North Korea and Cuba, everybody in the world has access to the US market. The majority of these countries are poorer than China, and that poverty has nothing to do with that market access. With or without the US market, China will grow for decades until it reaches parity or near-parity with US GDP per capita. I expect American companies will become relatively much smaller compared to their international competitors if they lose access to a market that at its peak, a few decades from now, will be over 50% of the world economy. I foresee a day when China is not only the biggest single market for most Fortune 500 companies - it is bigger than the EU and the US markets combined. For KFC, China is already its biggest market. For Tiffany and Coach, China is their #2 number market, fast closing on #1.

Capitalism is working as well in China as it has anywhere in the world it's been adopted. The Chinese Communist Party mouths platitudes about socialism in a country that ended central planning 3 decades ago, legalized private property, ended government-planned assignments to communal work units, abolished ration cards and fired millions of government-appointed snitches from the secret police payrolls. It's clearly a dictatorship, but it's a capitalist one - closer to Imperial Japan in aspirations than the Soviet Union. It's not having the US export market that's fueling China's meteoric rise - it's taking production decisions out of the hands of Communist Party cadres and putting them in the hands of private entrepreneurs.

As to debt repudiation, the Chinese have done it before, so it might be amusing to declare the repudiation of Chinese-owned Treasuries as settlement for the debt repudiated by the Chinese 60-odd years ago:

China has a secret: It owes American investors hundreds of billions of dollars.

The Chinese government doesn't like to talk about it and the U.S. government doesn't want to raise it. But decades ago, Beijing defaulted on debt owed to Americans, as well as investors and governments around the world. In one case, it was paid. In the rest it was not. More than 20,000 American investors own this debt. The U.S. government may also own Chinese war debt, unpaid since World War II.

The story begins nearly 100 years ago, in 1913, when the government of China began issuing bonds to foreign investors and governments for infrastructure work to modernize the country. As the country fell into civil war in 1927, paying these debts became increasingly difficult and the government fell into default. Even so, in April 1938, the Nationalist government of China began to issue U.S.-dollar denominated bonds to finance the war against Japan's brutal invasion.

Locked in a pitched battle for survival, the government issued these bonds into 1940. As part of its wartime financial aid, the U.S. government further provided a $500 million credit to China in March 1942, shipping gold there and helping to stabilize the currency. In return, it appears that the U.S. government redeemed some of these dollar-denominated bonds. But China doesn't appear to have repaid this debt either, according to State Department records, and the declaration of the People's Republic of China in 1949 ended decades of political, military and financial cooperation.

While successor governments are usually bound by the debts of predecessor governments, the new Communist government refused to pay any of these claims. The issue lay dormant for decades, just as the bilateral relationship did. Then, in 1979, as part of normalizing relations, Washington released government financial claims regarding the expropriation of American property and appears to have dropped the matter of the war debt entirely. However, it is one thing for government decision-makers to let go of government debt, however questionable that is.

41 posted on 03/03/2014 9:38:58 PM PST by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
[ Post Reply | Private Reply | To 16 | View Replies]

To: lodi90
The Germans now seem willing to accept Russian expansion into eastern europe in exchange for Russian gas. I am stunned by the timidity of the Germans. They are not stupid and have to know Putin won’t stop with Ukraine. They don’t seem to care.

If Ukrainians want to keep their land, they need to fight. Nobody else is going to do their fighting for them. Every cause needs martyrs. The moment the shooting starts, I suspect the part of the world that loves underdogs will side with Ukraine, which is clearly the aggrieved party here. But without shooting and martyrs to the cause, nobody's gonna be shamed into supporting Ukraine. As I've mentioned elsewhere, it took the Afghans almost a decade to turf the Soviets, and 6 months to build up before the operation to eject the Iraqis from Kuwait began. This may be the calm before the storm, the Phoney War interlude.

If Ukraine will not fight it may end up becoming a province of Russia all over again. If it does, the pictures of heroic sacrifice against the Russian invader should get Ukrainian and other ex-Warsaw Pact emigres to open their wallets, not to mention get Ukraine material assistance from both the EU and US governments after some prodding from outraged citizens. Nobody cared about Bosnia until pictures of dead people started coming out. After that, Clinton had no choice.

Because of Germany's wartime history with Russia, it can't take the lead in confronting Russia, at least in public - its primary visible role will be as the moneybags supporting whatever measures are agreed to by the EU. In private, however, it might be orchestrating measures against Russia, with some other country as the public face of those efforts, perhaps a front-line state like Poland, which is clearly the aggrieved party in its relationship with Russia.

42 posted on 03/03/2014 9:58:41 PM PST by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
[ Post Reply | Private Reply | To 40 | View Replies]

To: Zhang Fei
If Ukrainians want to keep their land, they need to fight. Nobody else is going to do their fighting for them. Every cause needs martyrs. The moment the shooting starts, I suspect the part of the world that loves underdogs will side with Ukraine, which is clearly the aggrieved party here. But without shooting and martyrs to the cause, nobody's gonna be shamed into supporting Ukraine.

Sounds like what 55,000,000 CHOICE victims have been saying for 40 years!

43 posted on 03/04/2014 2:24:29 AM PST by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
[ Post Reply | Private Reply | To 42 | View Replies]

To: staytrue

Check the numbers and you’ll find agriculture still Ohio’s largest industry


44 posted on 03/04/2014 4:57:11 AM PST by xzins ( Retired Army Chaplain and Proud of It! Those who truly support our troops pray for victory!)
[ Post Reply | Private Reply | To 32 | View Replies]

To: Zhang Fei

Thank you for the anaylsis, and history.


45 posted on 03/04/2014 5:20:02 AM PST by swamprebel (a Constitution once changed from Freedom, can never be restored.)
[ Post Reply | Private Reply | To 41 | View Replies]

To: xzins

Depends on how you define “largest industry”

If you compare manufacturing vs. agriculture, I am taking manufacturing. If you divide manufacturing into auto manufacturing, steel making, solar panel manufacturing, detergent making (Proctor and Gamble), jet engine manufacturing (general electric, cincinnati) etc., then ok, I’ll take agriculture as bigger.

from here

http://www.ohiopoweredbymanufacturing.com/oma/ManufacturingCounts.pdf

Manufacturing is the largest of the 20 sectors of Ohio’s economy
with 17.8% of total output in 2008.
Ohio’s manufacturing sector produced $84.1 billion worth of goods


46 posted on 03/04/2014 5:41:27 AM PST by staytrue
[ Post Reply | Private Reply | To 44 | View Replies]

To: staytrue
Go here to the Ohio Farm Bureau:

http://ofbf.org/news-and-events/news/1318/

Following up on comments made by Ohio Governor John R. Kasich in his State of the State address last week, Ohio Department of Agriculture Director James Zehringer, in celebration of National Agriculture Week, announced the department’s commitment to promoting economic development in the state by declaring “Ohio’s doors are wide open for agribusiness”.

“Agriculture is already Ohio’s largest industry, adding more than $98 billion to the state’s economy annually and employing one out of every seven Ohioans,” Zehringer said, “but there is still a lot of potential for further growth. Farming and food processing are staples of any thriving economy and we are only just beginning to see the exponential growth that is possible in Ohio’s agriculture-dependent fields such as polymer and bioproduct development.”


47 posted on 03/04/2014 7:24:15 AM PST by xzins ( Retired Army Chaplain and Proud of It! Those who truly support our troops pray for victory!)
[ Post Reply | Private Reply | To 46 | View Replies]

To: xzins

Ok, agriculture and related AGRIBUSINESS MAY BE the largest sector if you include FOOD PROCESSING AND ETHANOL.

But if you restrict yourself to “growing the crops” it is not.

From your source “we are only just beginning to see the exponential growth that is possible in Ohio’s agriculture-dependent fields such as polymer and bioproduct development.” “

Polymers and bioproduct development are not generally considered “agriculture”. They may be “agribusiness” as is ethanol production and sales.

And while we are at it, there is a significant marijuana crop grown in Ohio often in people’s basements. But I am not sure if that is “agriculture” or not.


48 posted on 03/04/2014 4:35:44 PM PST by staytrue
[ Post Reply | Private Reply | To 47 | View Replies]

To: staytrue

The pot is agriculture, but the potheads are also vegetables.

So agribusiness gets to count BOTH! Lol.


49 posted on 03/04/2014 5:03:19 PM PST by xzins ( Retired Army Chaplain and Proud of It! Those who truly support our troops pray for victory!)
[ Post Reply | Private Reply | To 48 | View Replies]

To: xzins
...so...grow pot...ship it to Russia.

Opium Wars Redux.

Mellow them out. like wow man

50 posted on 03/04/2014 5:19:36 PM PST by BlueDragon (You can observe a lot just by watching. Yogi Berra)
[ Post Reply | Private Reply | To 49 | View Replies]


Navigation: use the links below to view more comments.
first 1-5051-52 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson