Thread: What happened to Georgia, now threatens Ukraine

Originally Posted by Spork55

LMAO.

On a serious note - what would Russia stand to gain by taking a chunk of Ukraine?

Aside from a Crimean port I have trouble thinking of something worthwhile in such acquisition.

- quite big bunch of people - couple dozens of millions, and russia-friendly
- lots of heavy industry and national resources
there´s more , but i gotta run to work, sorry. But that´s a start.

Yes Russia gains by taking a chunk.

Russia always desired a warm water port.

Originally Posted by braindead

- quite big bunch of people - couple dozens of millions, and russia-friendly
- lots of heavy industry and national resources
there´s more , but i gotta run to work, sorry. But that´s a start.

Actually, I can think of rich agricultural lands as well. More people for aging Russia wouldn't hurt either but comes at a price as Ukraine has her own growing pensioner ranks.
They do have coal/metal but Russia isn't really short of natural resources.

Last I heard heavy industry wasn't doing too well, much of the old Soviet inefficient garbage. Requires $$$ investment and re-management (basically the same thing Russia has gone through/is going through). The economy/infrastructure is a mess. (IMHO they'd need someone of local Putin's authority to whip things into shape).

I quote from UKRAINE RANKS LOW IN GLOBAL COMPETITIVENESS INDEX - Business Ukraine most recent:

"In spite of what is perceived as progress in some sectors, Ukraine only managed to secure the 73rd spot in the 2007-2008 rankings. The factors involved in Ukraine’s low ranking are many, but most observers believe that the country’s well-deserved reputation for corruption, a poor judicial system and chaotic tax regulation were major factors in the low ranking.

Steven Pifer, a former US ambassador to Ukraine, recently spoke about some of the factors that left Ukraine mired well below Russia and the Baltic states.

"While the recent parliamentary elections were certified as free and fair by international observers, the trends aren’t as positive with regard to corruption."

Heritage Foundation is also fairly cautious at best:

"Promises of more market openness and economic reform after Ukraine's 2004 "Orange Revolution" have fallen short, and infighting between President Victor Yushchenko and Prime Minister Victor Yanukovich has generated instability. Prominent sectors of the economy include services, mining, metals, and manufacturing. The agricultural sector is strong but overregulated through quotas and tariffs on grain exports. Ukraine has benefited heavily from recent increases in the prices of metals. Despite lucrative opportunities for foreign direct investment, economic progress in the near term may be slowed by persistent corruption, steadily increasing gas prices, deteriorating infrastructure, and political uncertainty." (Link: Index of Economic Freedom)

the same report puts Russia in 58th place. I don´t know how big the difference is. 15 places mathematically - cannot judge on that. Est. 27th and Latvia 45th is not insurmountable difference as far as i can tell, knowing a little bit about those 2 countries.

And about Rus. benefits in Ukr. : losing transit taxes, cutting out a middleman.
And although the industry base is old, it´s a base .