Russia Resurgent - A TL
- Thread starter Sarthak
- Start date
i have something planned for him.....the guy is still on the run as of this moment,
Chapter 44: The Military Comes First as well as the economy.
Chapter 44: The Military Comes First as well as the economy.
***
www.militaryjournal.com
A Review of Russian Military Aviation in the past 6-12 months.
August 8th, 2007
The Russian military machine has evolved with its economic might and power as well, and there is no doubt about this fact. However the spotlight of the Russian military is currently being diverted to the Black Eagle Main Battle Tank as well as the in construction Russian Aircraft Carriers, which after being completed will give Russia a full Blue Water Navy after so long. However, whilst this is all being done, Russia is also quietly bringing it’s airforce to high standards as well.
A few years ago, the SM-Boggrom came into the spotlight due to it being the first fifth generation stealth fighter in the world, and currently Russia has 15 squadrons of this beast of a plane in the air, and has already purchased around 60 extra SM-Boggroms for an extra 5 squadrons which will be delivered to the Russian Airforce by the end of this year. The Russian Stealth Fighter Program remains in the entire world, the most advanced one. However the SM-Boggrom is also expensive, and as such, the Russian aerospace forces are already investing into a cheaper, but still able version of the SM-Boggrom, which has till now been called the PAK-FA project. Yesterday, the Russian Ministry of Defense unveiled the true name of the project. The PAK-FA plane will be called the Sukhoi-57 which will be a cheaper, yet still deadly stealth fighter, which the Russian government will be able to produce at a faster and cheaper rate than the SM-Boggrom, by trading the hitting power of the plane for maneuverability.
Su-57.
While most of the information of the Sukhoi-57 is classified by the Russian government, the basic characteristics and specifics of the plane have been released, giving the following information,
General Characteristic of the Su-57.
Crew: 1
Length: 20.1 meters
Wingspan: 14.1 meters
Height: 4.74 meters
Wing Area: 78.8 square meters
Empty weight: 18,000 kg.
Gross Weight: 25,000 kg.
Max Takeoff Weight: 35,000 kg.
Fuel Capacity: 10,300 kg.
Powerplant: 2 x Saturn AL-41F1, turbofans with thrust vectoring, 93.1 kN thrust each dry, 147,2 kN with afterburner.
Maximum Speed: Mach 2 at altitude, and 1.6 Mach at super cruise altitude.
Range: 3,500 kilometers and 1,500 kilometers at subsonic range.
Service Ceiling: 20,000 meters
G limits: +9.0
Wing Loading: 371 kg/m^2 typical mission weight.
Thrust/Weight,
AL-41F1: 1.02
Armament:-
Guns: 1 x 30 Gryazev Shipunov GSh-30-1 Autocannon.
Hardpoints: 12 hardpoints (6 x internal, 6 x external)
Air to air missiles:-
4 x RVV-MD
2 x R-73
R-37 M
Air to surface missiles
4 x Kh-38ME missiles
Anti-ship missiles
2 x Kh-35E
Anti-radiation missiles
4 x Kh-58 UShKE
250,550,1500 kg guided bombs
Anti Tank Drill 500 kg cluster bomb + active homing.
Avionics:
Sh-121 multifunctional integrated radio electronic system (MIRES)
Byelka radar (400 km, 60 tracks with 16 targeted)
N036-1-01: Frontal X-band active electronically scanned array (AESA) radar
N036B-1-01: Cheek X-band AESA radars for increased angular coverage
N036L-1-01: Slat L-band arrays for IFF
L402 Himalayas electronic countermeasure suite
101KS Atoll electro-optical targeting system
101KS-O: Laser Directional Infrared Counter Measures
101KS-V: Infra-red search and track
101KS-U: Ultraviolet missile approach warning system
101KS-N: advanced stabilised navigation and targeting system
101KS-N: optional external targeting pod.
101KS-P: thermal imager for low altitude flying and night landing
All in all the Su-57 remains a powerful enemy, even though it has given up a lot of the combat power of the SM-Boggrom for speed and maneuver, it is cheaper, and easier to produce, and will start testing by early 2008, and will probably enter service into the Russian Air Force by 2014, by which point, the Su-57 will be a force to be reckoned with.
In terms of their attack helicopter, the Kamov-52 Alligator has already entered production lines in the Russian industries in Siberia and will start entering service into the Russian Air Force by the end of this year. It is a Russian single-seat attack helicopter with the distinctive coaxial rotor system of the Kamov design bureau. It was designed in the 1980s and adopted for service in the Russian army in 1999, however due to other economic problems, and economic focuses as well as other military focuses on part of the Russians, it was finally approved in 2005 to enter service with upgraded weaponry. It is being manufactured by the Progress company in Arsenyev. It will be used as a heavily armed scout helicopter. It will also become the world's first operational helicopter with a rescue ejection system.
The K-52
The general characteristics of this attack helicopter are:-
Crew: 1
Length: 16 m (52 ft 6 in)
Height: 4.93 m (16 ft 2 in)
Empty weight: 7,700 kg (16,976 lb)
Gross weight: 9,800 kg (21,605 lb)
Max takeoff weight: 10,800 kg (23,810 lb)
Powerplant: 2 × Klimov VK-2500 turboshaft engines, 1,800 kW (2,400 shp) each
Main rotor diameter: 2× 14.5 m (47 ft 7 in)
Main rotor area: 330.3 m2 (3,555 sq ft) contra-rotating 3-bladed main rotors
Performance
Maximum speed: 315 km/h (196 mph, 170 kn)
Cruise speed: 270 km/h (170 mph, 150 kn)
Never exceed speed: 350 km/h (220 mph, 190 kn)
Range: 545 km (339 mi, 294 nmi)
Combat range: 470 km (290 mi, 250 nmi)
Ferry range: 1,160 km (720 mi, 630 nmi)
Service ceiling: 5,500 m (18,000 ft)
Rate of climb: 12 m/s (2,400 ft/min)
Disk loading: 30 kg/m2 (6.1 lb/sq ft)
Power/mass: 0.33 kW/kg (0.20 hp/lb)
Armament
Guns: 1× mobile semi-rigid 30 mm Shipunov 2A42 cannon (460 rounds total, dual feeding AP or HE-Frag)
Hardpoints: 4 (6 on Ka-52) under-wing hardpoints, plus 2 on wingtips for countermeasures or air-to-air missiles with a capacity of 2,000 kg,with provisions to carry combinations of:
Rockets: 80 × 80 mm S-8 rockets and 20 × 122 mm S-13 rocket,
Missiles: 2 × APU-6 Missile racks, able to accommodate a total of 12 × 9K121 Vikhr anti-tank missiles, Vympel R-73 (NATO: AA-11 Archer) air-to-air missiles, Kh-25 semi-active laser guided tactical air-to-ground missiles
Bombs: 4 × 250 kg (550 lb) bombs or 2 × 500 kg (1,100 lb) bombs,
Other: 23 mm UPK-23-250 gun pods (240 rounds each), 500 L (130 US gal) external fuel tanks. Reportedly, twin Igla light air-to-air missile launchers under each wingtip countermeasure pod (total 4 missiles).
Two pods on the wingtips with flare and chaff countermeasure dispensers, 4 UV-26 dispensers each (total 32 chaff/flare cartridges in each pod)
Let us not forget the logistical aspects of any air force either. The air force in modern warfare plays an important role in the logistical operations of a military. As such, the Russian Air Force has recently entered into service the Antonov An-225 Mriya, which is a strategic airlift cargo aircraft. It entered into service in 1998, however in the recent years, the Russian military has taken keen to logistical aspects of their military, a heightened production of the An-225 has been observed by outside observers. In 2005, the Russians around 20 An-225 in service. Today, they have around 61 of these airlift cargo planes in service of the Air Force. This of course creates a lot of mobility for the Russians in transportation of goods, equipment and men throughout the vast expanses of Russia, which will be extremely beneficial in the logistical problems that they face, by virtue of their large size.
An-225
On addition to the An-225, Tupoloev has already unveiled the Tu-330 which will enter service in the Russian Airforce in 2009, which will add another dimension of modern cargo planes into the Russian Air Force. The Tu-330 is to have a swept high-mounted wing design with two high-bypass ratio PS-90A engines mounted below the wings. An optional powerplant system has also been proposed, using NK-93 engines that can operate on LNG (liquefied natural gas) fuel. The aircraft was also designed for commonality with the Tu-204/Tu-214 civilian airliner series, in order to simplify production and minimize costs of manufacturing, maintenance and parts, which will make it easier for Russian production lines to produce the Tu-330 on a faster basis than normal.
The Tu-330 model.
In addition to the above, the Russians have also been investing into the unmanned aerial vehicles en masse, and have announced that their first UAV will enter service into the Russian Air Force by the end of 2008. This UAV has been named the Orion. The Orion will carry four guided bombs or four missiles and will have a maximum payload of 200 kg. According to the Russian Ministry of Defense, it will have a maximum altitude of 7.5 kilometers, maximum flight duration of 24 hours and a maximum speed of 200 kilometers per hour.
Orion UAV.
All in all, the Russian Air Force is evolving. The introduction of a new stealth fighter, that can worryingly be produced on a larger scale than the Boggrom, and a new attack helicopter that is more modern than the previous Russian attack helicopters, as well as the advent of UAVs along with the Russian’s elevating their logistical capability in the air, the Russians are not taking their development in the air lightly. Only time will tell, how the west will respond, beyond what they have already done.
***
www.economicforum.com
American Mortgage Economic Crisis enters Russia!
August 12th, 2007
The American Mortgage Crisis which had slowly extended itself to Russia, as the Minsk Mortgage Company, one of the few Mortgage companies in Russia that caters to foreign mortgage needs in Russia has announced that it has had to default its loans due to the crisis. The American Mortgage Crisis had already entered Europe two months ago, however due to powerful Eurasian Union Tariffs and economic blocks, the Crisis had not been able to worm its way into Russia and the countries of the Eurasian Union. However with Russian economics being so closely related to Europe, it was inevitable that the crisis would enter Russian proper as well.
Many Russians actually believed that the Crisis would not enter Russia, and some who thought it would, thought that it would not affect the economy by any noticeable margin, chief among these, Chancellor Grigory Yavlinsky.
Yavlinsky, when the crisis broke out, stated openly that the crisis was the result of crony capitalism, which is a untenable mixture of capitalistic economics with governmental intervention, which is more like a unworkable system of socialist market economics, in reality. He also stated clearly that smokescreens over perceived safe loans were the cause of the crisis, which has now extended over to Europe.
Unlike Europe and America however, the Russians have a more strict loan giving system and more supervised credit system, which prevent such fraudulent economics. As part of the anti-corruption and pro-economic policies that marked the early years of Yavlinsky’s government, back when Russia was still republican, the Russians had decisively cramped down on the Crony Capitalistic parts of their economy, blaming Crony Capitalism for the 1997 Asian Economic Crisis.
Russia also doesn’t have deregulation or the lack of regulation in the banking sector like that of the USA or the western European nations. On the contrary, the Russians supervise and regulate their banking sector most especially, in order to keep the Russian inflationary rate on a balanced level.
For example, the deregulation in America can be traced down to the following events:-
1. Jimmy Carter's Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA) phased out several restrictions on banks' financial practices, broadened their lending powers, allowed credit unions and savings and loans to offer checkable deposits, and raised the deposit insurance limit from $40,000 to $100,000 (thereby potentially lessening depositor scrutiny of lenders' risk management policies).
2. In October 1982, U.S. President Ronald Reagan signed into law the Garn–St. Germain Depository Institutions Act, which provided for adjustable-rate mortgage loans, began the process of banking deregulation, and contributed to the savings and loan crisis of the late 1980s/early 1990s.
3. In November 1999, U.S. President Bill Clinton signed into law the Gramm–Leach–Bliley Act, which repealed provisions of the Glass-Steagall Act that prohibited a bank holding company from owning other financial companies. The repeal effectively removed the separation that previously existed between Wall Street investment banks and depository banks, providing a government stamp of approval for a universal risk-taking banking model. Investment banks such as Lehman became competitors with commercial banks. Some analysts say that this repeal directly contributed to the severity of the crisis, while others downplay its impact since the institutions that were greatly affected did not fall under the jurisdiction of the act itself.
4. In 2004, the U.S. Securities and Exchange Commission relaxed the net capital rule, which enabled investment banks to substantially increase the level of debt they were taking on, fueling the growth in mortgage-backed securities supporting subprime mortgages. The SEC conceded that self-regulation of investment banks contributed to the crisis.
5. Financial institutions in the shadow banking system are not subject to the same regulation as depository banks, allowing them to assume additional debt obligations relative to their financial cushion or capital base This was the case despite the Long-Term Capital Management debacle in 1998, in which a highly leveraged shadow institution failed with systemic implications and was bailed out.
6. Regulators and accounting standard-setters allowed depository banks such as Citigroup to move significant amounts of assets and liabilities off-balance sheet into complex legal entities called structured investment vehicles, masking the weakness of the capital base of the firm or degree of leverage or risk taken. Bloomberg News estimated that the top four U.S. banks will have to return between $500 billion and $1 trillion to their balance sheets during 2009. This increased uncertainty during the crisis regarding the financial position of the major banks. Off-balance sheet entities were also used in the Enron scandal, which brought down Enron in 2001.
7. As early as 1997, Federal Reserve chairman Alan Greenspan fought to keep the derivatives market unregulated. With the advice of the Working Group on Financial Markets, the U.S. Congress and President Bill Clinton allowed the self-regulation of the over-the-counter derivatives market when they enacted the Commodity Futures Modernization Act of 2000. Written by Congress with lobbying from the financial industry, it banned the further regulation of the derivatives market. Derivatives such as credit default swaps (CDS) can be used to hedge or speculate against particular credit risks without necessarily owning the underlying debt instruments. Warren Buffett famously referred to derivatives as "financial weapons of mass destruction" in early 2003.
The complexity of Shadow Banking made it easy to go into recession.
On the contrary to all of this the Russians have implemented extremely strict regulatory acts, coupled with free investment schemes to keep their economy regulated, whilst keeping it attractive for investors. The Russian Shadow Banking System is extremely minor as well, with the Russians using it only when necessary, as Yavlinsky himself stated that the Shadow Banking System had a disturbing ability to always associate itself to the reasons as to why financial crisis’s have happened throughout the 20th century. The 1997 Asian Economic Crisis, which has been attributed to Shadow Banking as well, simply solidified this view. Russia, with its technocratic economy is also a follower of Heterodox economics, and throughout the world stage, Heterodox economists have been raising voices about a commodity ‘economic bubble’ ever since 2004, which has only made Russia strengthen it’s market economy and regulations as well as boundaries of tariffs.
Heterodox Economics Family Tree.
All in all, economists say that Russia will not be affected on the level that the crisis is unfolding in America, and Europe. Russia’s economic securities are too strong for the crisis to totally envelope. However it may signal the end of the rapid economic growth, and maybe lessen down to a slightly above than average level of economic growth. Yavlinsky and the Russian State Duma will convene tomorrow to discuss the crisis and the symptoms of its entering Russia.
***
***
www.militaryjournal.com
A Review of Russian Military Aviation in the past 6-12 months.
August 8th, 2007
The Russian military machine has evolved with its economic might and power as well, and there is no doubt about this fact. However the spotlight of the Russian military is currently being diverted to the Black Eagle Main Battle Tank as well as the in construction Russian Aircraft Carriers, which after being completed will give Russia a full Blue Water Navy after so long. However, whilst this is all being done, Russia is also quietly bringing it’s airforce to high standards as well.
A few years ago, the SM-Boggrom came into the spotlight due to it being the first fifth generation stealth fighter in the world, and currently Russia has 15 squadrons of this beast of a plane in the air, and has already purchased around 60 extra SM-Boggroms for an extra 5 squadrons which will be delivered to the Russian Airforce by the end of this year. The Russian Stealth Fighter Program remains in the entire world, the most advanced one. However the SM-Boggrom is also expensive, and as such, the Russian aerospace forces are already investing into a cheaper, but still able version of the SM-Boggrom, which has till now been called the PAK-FA project. Yesterday, the Russian Ministry of Defense unveiled the true name of the project. The PAK-FA plane will be called the Sukhoi-57 which will be a cheaper, yet still deadly stealth fighter, which the Russian government will be able to produce at a faster and cheaper rate than the SM-Boggrom, by trading the hitting power of the plane for maneuverability.
Su-57.
While most of the information of the Sukhoi-57 is classified by the Russian government, the basic characteristics and specifics of the plane have been released, giving the following information,
General Characteristic of the Su-57.
Crew: 1
Length: 20.1 meters
Wingspan: 14.1 meters
Height: 4.74 meters
Wing Area: 78.8 square meters
Empty weight: 18,000 kg.
Gross Weight: 25,000 kg.
Max Takeoff Weight: 35,000 kg.
Fuel Capacity: 10,300 kg.
Powerplant: 2 x Saturn AL-41F1, turbofans with thrust vectoring, 93.1 kN thrust each dry, 147,2 kN with afterburner.
Maximum Speed: Mach 2 at altitude, and 1.6 Mach at super cruise altitude.
Range: 3,500 kilometers and 1,500 kilometers at subsonic range.
Service Ceiling: 20,000 meters
G limits: +9.0
Wing Loading: 371 kg/m^2 typical mission weight.
Thrust/Weight,
AL-41F1: 1.02
Armament:-
Guns: 1 x 30 Gryazev Shipunov GSh-30-1 Autocannon.
Hardpoints: 12 hardpoints (6 x internal, 6 x external)
Air to air missiles:-
4 x RVV-MD
2 x R-73
R-37 M
Air to surface missiles
4 x Kh-38ME missiles
Anti-ship missiles
2 x Kh-35E
Anti-radiation missiles
4 x Kh-58 UShKE
250,550,1500 kg guided bombs
Anti Tank Drill 500 kg cluster bomb + active homing.
Avionics:
Sh-121 multifunctional integrated radio electronic system (MIRES)
Byelka radar (400 km, 60 tracks with 16 targeted)
N036-1-01: Frontal X-band active electronically scanned array (AESA) radar
N036B-1-01: Cheek X-band AESA radars for increased angular coverage
N036L-1-01: Slat L-band arrays for IFF
L402 Himalayas electronic countermeasure suite
101KS Atoll electro-optical targeting system
101KS-O: Laser Directional Infrared Counter Measures
101KS-V: Infra-red search and track
101KS-U: Ultraviolet missile approach warning system
101KS-N: advanced stabilised navigation and targeting system
101KS-N: optional external targeting pod.
101KS-P: thermal imager for low altitude flying and night landing
All in all the Su-57 remains a powerful enemy, even though it has given up a lot of the combat power of the SM-Boggrom for speed and maneuver, it is cheaper, and easier to produce, and will start testing by early 2008, and will probably enter service into the Russian Air Force by 2014, by which point, the Su-57 will be a force to be reckoned with.
In terms of their attack helicopter, the Kamov-52 Alligator has already entered production lines in the Russian industries in Siberia and will start entering service into the Russian Air Force by the end of this year. It is a Russian single-seat attack helicopter with the distinctive coaxial rotor system of the Kamov design bureau. It was designed in the 1980s and adopted for service in the Russian army in 1999, however due to other economic problems, and economic focuses as well as other military focuses on part of the Russians, it was finally approved in 2005 to enter service with upgraded weaponry. It is being manufactured by the Progress company in Arsenyev. It will be used as a heavily armed scout helicopter. It will also become the world's first operational helicopter with a rescue ejection system.
The K-52
The general characteristics of this attack helicopter are:-
Crew: 1
Length: 16 m (52 ft 6 in)
Height: 4.93 m (16 ft 2 in)
Empty weight: 7,700 kg (16,976 lb)
Gross weight: 9,800 kg (21,605 lb)
Max takeoff weight: 10,800 kg (23,810 lb)
Powerplant: 2 × Klimov VK-2500 turboshaft engines, 1,800 kW (2,400 shp) each
Main rotor diameter: 2× 14.5 m (47 ft 7 in)
Main rotor area: 330.3 m2 (3,555 sq ft) contra-rotating 3-bladed main rotors
Performance
Maximum speed: 315 km/h (196 mph, 170 kn)
Cruise speed: 270 km/h (170 mph, 150 kn)
Never exceed speed: 350 km/h (220 mph, 190 kn)
Range: 545 km (339 mi, 294 nmi)
Combat range: 470 km (290 mi, 250 nmi)
Ferry range: 1,160 km (720 mi, 630 nmi)
Service ceiling: 5,500 m (18,000 ft)
Rate of climb: 12 m/s (2,400 ft/min)
Disk loading: 30 kg/m2 (6.1 lb/sq ft)
Power/mass: 0.33 kW/kg (0.20 hp/lb)
Armament
Guns: 1× mobile semi-rigid 30 mm Shipunov 2A42 cannon (460 rounds total, dual feeding AP or HE-Frag)
Hardpoints: 4 (6 on Ka-52) under-wing hardpoints, plus 2 on wingtips for countermeasures or air-to-air missiles with a capacity of 2,000 kg,with provisions to carry combinations of:
Rockets: 80 × 80 mm S-8 rockets and 20 × 122 mm S-13 rocket,
Missiles: 2 × APU-6 Missile racks, able to accommodate a total of 12 × 9K121 Vikhr anti-tank missiles, Vympel R-73 (NATO: AA-11 Archer) air-to-air missiles, Kh-25 semi-active laser guided tactical air-to-ground missiles
Bombs: 4 × 250 kg (550 lb) bombs or 2 × 500 kg (1,100 lb) bombs,
Other: 23 mm UPK-23-250 gun pods (240 rounds each), 500 L (130 US gal) external fuel tanks. Reportedly, twin Igla light air-to-air missile launchers under each wingtip countermeasure pod (total 4 missiles).
Two pods on the wingtips with flare and chaff countermeasure dispensers, 4 UV-26 dispensers each (total 32 chaff/flare cartridges in each pod)
Let us not forget the logistical aspects of any air force either. The air force in modern warfare plays an important role in the logistical operations of a military. As such, the Russian Air Force has recently entered into service the Antonov An-225 Mriya, which is a strategic airlift cargo aircraft. It entered into service in 1998, however in the recent years, the Russian military has taken keen to logistical aspects of their military, a heightened production of the An-225 has been observed by outside observers. In 2005, the Russians around 20 An-225 in service. Today, they have around 61 of these airlift cargo planes in service of the Air Force. This of course creates a lot of mobility for the Russians in transportation of goods, equipment and men throughout the vast expanses of Russia, which will be extremely beneficial in the logistical problems that they face, by virtue of their large size.
An-225
On addition to the An-225, Tupoloev has already unveiled the Tu-330 which will enter service in the Russian Airforce in 2009, which will add another dimension of modern cargo planes into the Russian Air Force. The Tu-330 is to have a swept high-mounted wing design with two high-bypass ratio PS-90A engines mounted below the wings. An optional powerplant system has also been proposed, using NK-93 engines that can operate on LNG (liquefied natural gas) fuel. The aircraft was also designed for commonality with the Tu-204/Tu-214 civilian airliner series, in order to simplify production and minimize costs of manufacturing, maintenance and parts, which will make it easier for Russian production lines to produce the Tu-330 on a faster basis than normal.
The Tu-330 model.
In addition to the above, the Russians have also been investing into the unmanned aerial vehicles en masse, and have announced that their first UAV will enter service into the Russian Air Force by the end of 2008. This UAV has been named the Orion. The Orion will carry four guided bombs or four missiles and will have a maximum payload of 200 kg. According to the Russian Ministry of Defense, it will have a maximum altitude of 7.5 kilometers, maximum flight duration of 24 hours and a maximum speed of 200 kilometers per hour.
Orion UAV.
All in all, the Russian Air Force is evolving. The introduction of a new stealth fighter, that can worryingly be produced on a larger scale than the Boggrom, and a new attack helicopter that is more modern than the previous Russian attack helicopters, as well as the advent of UAVs along with the Russian’s elevating their logistical capability in the air, the Russians are not taking their development in the air lightly. Only time will tell, how the west will respond, beyond what they have already done.
***
www.economicforum.com
American Mortgage Economic Crisis enters Russia!
August 12th, 2007
The American Mortgage Crisis which had slowly extended itself to Russia, as the Minsk Mortgage Company, one of the few Mortgage companies in Russia that caters to foreign mortgage needs in Russia has announced that it has had to default its loans due to the crisis. The American Mortgage Crisis had already entered Europe two months ago, however due to powerful Eurasian Union Tariffs and economic blocks, the Crisis had not been able to worm its way into Russia and the countries of the Eurasian Union. However with Russian economics being so closely related to Europe, it was inevitable that the crisis would enter Russian proper as well.
Many Russians actually believed that the Crisis would not enter Russia, and some who thought it would, thought that it would not affect the economy by any noticeable margin, chief among these, Chancellor Grigory Yavlinsky.
Yavlinsky, when the crisis broke out, stated openly that the crisis was the result of crony capitalism, which is a untenable mixture of capitalistic economics with governmental intervention, which is more like a unworkable system of socialist market economics, in reality. He also stated clearly that smokescreens over perceived safe loans were the cause of the crisis, which has now extended over to Europe.
Unlike Europe and America however, the Russians have a more strict loan giving system and more supervised credit system, which prevent such fraudulent economics. As part of the anti-corruption and pro-economic policies that marked the early years of Yavlinsky’s government, back when Russia was still republican, the Russians had decisively cramped down on the Crony Capitalistic parts of their economy, blaming Crony Capitalism for the 1997 Asian Economic Crisis.
Russia also doesn’t have deregulation or the lack of regulation in the banking sector like that of the USA or the western European nations. On the contrary, the Russians supervise and regulate their banking sector most especially, in order to keep the Russian inflationary rate on a balanced level.
For example, the deregulation in America can be traced down to the following events:-
1. Jimmy Carter's Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA) phased out several restrictions on banks' financial practices, broadened their lending powers, allowed credit unions and savings and loans to offer checkable deposits, and raised the deposit insurance limit from $40,000 to $100,000 (thereby potentially lessening depositor scrutiny of lenders' risk management policies).
2. In October 1982, U.S. President Ronald Reagan signed into law the Garn–St. Germain Depository Institutions Act, which provided for adjustable-rate mortgage loans, began the process of banking deregulation, and contributed to the savings and loan crisis of the late 1980s/early 1990s.
3. In November 1999, U.S. President Bill Clinton signed into law the Gramm–Leach–Bliley Act, which repealed provisions of the Glass-Steagall Act that prohibited a bank holding company from owning other financial companies. The repeal effectively removed the separation that previously existed between Wall Street investment banks and depository banks, providing a government stamp of approval for a universal risk-taking banking model. Investment banks such as Lehman became competitors with commercial banks. Some analysts say that this repeal directly contributed to the severity of the crisis, while others downplay its impact since the institutions that were greatly affected did not fall under the jurisdiction of the act itself.
4. In 2004, the U.S. Securities and Exchange Commission relaxed the net capital rule, which enabled investment banks to substantially increase the level of debt they were taking on, fueling the growth in mortgage-backed securities supporting subprime mortgages. The SEC conceded that self-regulation of investment banks contributed to the crisis.
5. Financial institutions in the shadow banking system are not subject to the same regulation as depository banks, allowing them to assume additional debt obligations relative to their financial cushion or capital base This was the case despite the Long-Term Capital Management debacle in 1998, in which a highly leveraged shadow institution failed with systemic implications and was bailed out.
6. Regulators and accounting standard-setters allowed depository banks such as Citigroup to move significant amounts of assets and liabilities off-balance sheet into complex legal entities called structured investment vehicles, masking the weakness of the capital base of the firm or degree of leverage or risk taken. Bloomberg News estimated that the top four U.S. banks will have to return between $500 billion and $1 trillion to their balance sheets during 2009. This increased uncertainty during the crisis regarding the financial position of the major banks. Off-balance sheet entities were also used in the Enron scandal, which brought down Enron in 2001.
7. As early as 1997, Federal Reserve chairman Alan Greenspan fought to keep the derivatives market unregulated. With the advice of the Working Group on Financial Markets, the U.S. Congress and President Bill Clinton allowed the self-regulation of the over-the-counter derivatives market when they enacted the Commodity Futures Modernization Act of 2000. Written by Congress with lobbying from the financial industry, it banned the further regulation of the derivatives market. Derivatives such as credit default swaps (CDS) can be used to hedge or speculate against particular credit risks without necessarily owning the underlying debt instruments. Warren Buffett famously referred to derivatives as "financial weapons of mass destruction" in early 2003.
The complexity of Shadow Banking made it easy to go into recession.
On the contrary to all of this the Russians have implemented extremely strict regulatory acts, coupled with free investment schemes to keep their economy regulated, whilst keeping it attractive for investors. The Russian Shadow Banking System is extremely minor as well, with the Russians using it only when necessary, as Yavlinsky himself stated that the Shadow Banking System had a disturbing ability to always associate itself to the reasons as to why financial crisis’s have happened throughout the 20th century. The 1997 Asian Economic Crisis, which has been attributed to Shadow Banking as well, simply solidified this view. Russia, with its technocratic economy is also a follower of Heterodox economics, and throughout the world stage, Heterodox economists have been raising voices about a commodity ‘economic bubble’ ever since 2004, which has only made Russia strengthen it’s market economy and regulations as well as boundaries of tariffs.
Heterodox Economics Family Tree.
All in all, economists say that Russia will not be affected on the level that the crisis is unfolding in America, and Europe. Russia’s economic securities are too strong for the crisis to totally envelope. However it may signal the end of the rapid economic growth, and maybe lessen down to a slightly above than average level of economic growth. Yavlinsky and the Russian State Duma will convene tomorrow to discuss the crisis and the symptoms of its entering Russia.
***
Just one thing: If the Russian had continued the MiG 1.44 and put it into active service wouldn't have been easier to continue this line and produce the MiG 1.42 instead of building the Su-57(an almost complete new design)?
Russian 5th-Generation Fighters: MiG 1.44, Sukhoi S-37, & Sukhoi Su-57
Russian 5th-Generation Fighters: MiG 1.44, Sukhoi S-37, & Sukhoi Su-57
The MiG 1.44 performed its initial flight on 29 February 2000, with test pilot Vladimir Gorbunov at the controls. It flew one more test flight, and then the program was canceled, with the demonstrator being mothballed. The MiG OKB had considered a two-seat version, as well as a "lightweight fighter" designated the "MiG 4.12" that had much the same configuration as the MiG 1.44 but was smaller, with a single engine.
the 1.42 isn't what you call cheap. The russians are going for a cheaper design with more speed by sacrificing bits of combat power. The Su-57 gets all of that done. Also the Su-57 design is derived from the 1.44, though very changed admittedly.
Hopefully Russia fares well from this, even if Yavlinsky's succession might run into issues as a result of this.
A reasonable approach would had been to switch to developing the proposed MiG 4.12 in the 1990s, effectively taking up the niche of F-35 with Su-57 then developed as the heavy fighter replacement. Here the Russians are developing a new heavy fighter after having put into service another new heavy fighter just a few years before.
In all honesty NO. It would require too many structural changes and it would not be that efficient. Also, you need to consider that in OTL the Airbus A-380 has been discontinued because it carries more people than the market requires. The only "big" plane that the Russian can produce in a reasonable timetable (early to mid-2010s) would be the Frigate Ecojet (also known as the Tu-304).
In all honesty, I think that the best option would have been to scrap the MiG 1.44/1.42 project and focus on upgrading and producing the SU-47 Berkut (technically a 4.5/5th generation fighter) while beginning the PAK-FA project in 2000-2001 timespan like in OTL but putting it into service in the early 2010s thanks to more funding (Maybe in TTL it would have been called the SM-57 Boggrom?). All the money saved could have been used to upgrade old versions of the Su-27, MiG-29 and MiG-31 (maybe even put the MiG-31M and the Su-35 in service in the mid-2000s) or to speed up the development of other projects like the R-37 missile, the PL-19 Nudol anti-ballistic and anti-satellite weapon or the AL-41F engine for the PAK-FA (in OTL it took a lot of effort to fix it up and seriously delayed the PAK-FA project ).
I'm not saying that I don't like TTL but I think that this could have been a cheaper and more efficient way to reequip and upgrade the Imperial Russian Airforce.