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понедельник, 7 августа 2017 г.

Who is to blame in a catastrophic drop in population's income

Experts: Russians will rapidly Peter out
Real income of Russia's population continues rapid decline. In April 2017, they reached the level of 2009. These disappointing conclusions follow from the monthly report of the EBV status of the Russian economy. Experts interviewed by "MK" are convinced that the positive trend is not expected. Today the majority of Russian citizens do not have a reliable "safety cushion" for a rainy day. In the future, the population will just Peter out.
 Agreed with disappointing findings of EBV and called it a disaster and a problem for most of our population is senior researcher Institute for economic policy. Gaidar, Sergei Zhavoronkov. According to him, the fall in real incomes – the result of the ongoing economic crisis in Russia. "Rosstat has even started to change the methods of analysis of the situation, such as to increase the real result and it's not so much fell, — says the expert.

 — The decline will continue as long as Russia will bear the burden of excessive police or military spending which makes up a third of the budget of the mills".
Larks illustrated the situation with the budget in Russia a quote from a Soviet cartoon about Winnie the Pooh when he ate too much and got stuck getting out of the rabbit hole. "Someone ate too much. And we know who. While the situation with the budget expenditure will not be put in order, in the sense of reducing police or military expenditure, the decline will continue, — said the economist. — From 2012 to 2015, military spending has doubled to more than 3 billion rubles. This is more than unprecedented growth." He added that the majority of our population receives a salary significantly less than the average 33 thousand rubles.
"This is evidence of the extreme distress, but the fall in real incomes balances consumer demand, which began to stabilize — the head of a direction "Finance and Economics" Institute of contemporary development Nikita Maslennikov. The first dropped and the second went to zero and has improved its dynamics. It is important to bear in mind that the calculation methodology of Rosstata does not quite account for all the spending. They form a revealing dynamics on the basis of primary income. They do not account for changes in credit behavior."
The reasons of falling of incomes of the population lie in the low level of wage indexation, the sharp jump in the price of goods and services and rising unemployment, suggests Alena Afanasyeva, a senior analyst at GK Forex Club. "As a result of the impact of all three factors, the population began to eat away their savings and then gradually go into debt. At the moment the majority of Russians has no "safety cushion" for a rainy day. Moreover, according to the latest data of the Bank of Russia, arrears on may 1 was 885,1 billion rubles In April, it has grown on 0,6%. It just confirms once again that the situation continues to worsen. A way out of this one: reduction to zero of the effect of three negative factors. First, the indexation of wages. Second, stimulating the economy, which should lead to job growth. And thirdly, the further the fight against inflation," concluded Afanasyev.
As noted by leading analyst GK TeleTrade Anastasia Ignatenko, do not forget that the cost of labor also affects the unemployment rate. "There are entire sectors dependent on raw materials and from the policy of the Central Bank. For example, the frequent reviews of licenses from credit organizations led to a huge number of unemployed in the investment banking sector. And when the unemployed are willing to work for less money, employers do not see the objective reasons to improve working conditions. But such problems should be solved by the government, which finances the creation of new jobs in the private and small businesses, creating incentives, stimulating economic growth," — says the expert.
Lyudmila Alexandrova

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