2/12/21

Russia and EU

 I have presented in this blog the economic growth dispersion in the EU and highlighted the difference between Germany and other biggest countries - France, Italy, and Spain. The EU suffers significant economic problems with varying growth rates and economic power as expressed by price-setting capabilities that only grow with time. Economic problems make the EU very vulnerable in political and social dimensions. Russia takes the opportunity to intensify the internal conflicts in the EU by rejecting cooperation with the EU as such, i.e. with the countries with anti-Russian agenda. Germany is the main beneficiary of the economic links with Russia and this effect is also seen in the coherent and extremely fast economic growth in both countries. Nord Stream 2 makes Germany an unbeatable European power with the lowest energy cost so important for the exports - the driver of the German expansion. Russia shakes the EU in an attempt to strengthen the bi-lateral links. For Russia, political and economic relations with the EU have no sense anymore after the COVID-19 response,  deeper economic fall, and the police actions against peaceful demonstrations. Europe (Italy, France, Spain, Belgium, the Netherlands, Sweden, etc.)  is seen as a major loser, traitor, and unreliable partner in the eyes of the less developed countries. It is the best time to make bi-lateral connections and the EU showed that individual EU members are eager to save themselves. So, the time to split the EU is perfect for Russia and China.  The US only helps by supporting selected EU members. 

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