07 August, 2008

Russia: back to the Cold War?

Duck of Minerva has yet another example of Putin and his people looking for ways to reestablish Russia's international status.

Unfortunately for him, the demography doesn't work. And oil--the greatest source of income--is a temporary tool, at best.

I wonder if anyone over in Moscow is considering the consequences for Russia of a "post-oil" global economy? We're not there, and won't be for years, and oil will always be an important commodity in manufacturing, but what will 150 million electric cars in the US, and parallel developments in Europe and Asia, do to Russia's position in the world?

UPDATE: (August 8) It looks like Russia and Georgia are at war. That doesn't negate the long-term trend. In fact, it may even accelerate it. Not that it's any comfort for the people living through the violence.

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