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Expensive oil helps food speculation
The increase of prices is the result of anti-crisis policy, along with a further worsening of the income situation of the population. Specialists from the Economic Research Center at the Institute of Globalization and Social Movements (IGSO) have come to this conclusion. In Russia, the increase in prices for food contribute to high worldwide oil prices, providing the material basis for the development of speculation. Profit from commodity monopolies does not follow economic development, but the maintenance of the ruination of the national food speculation market.
Thrift in Europe damages Russia’s economy
Frugal policies in Europe could seriously hurt the Russian economy, concluded experts of the Institute of Globalization and Social Movements (IGSO) Center for Economic Studies. The propagation in the EU of the practice of budget cuts and cheaper labor force leads to a narrowing of the market. The EU strives to make manufacturing and services cheaper to boost exports and tourism. However, the decline in living standards in Europe creates conditions reduction in the import of goods, including energy resources from Russia.
The help of speculators prevents the crisis from reaching the "bottom"
Financial assistance on the part of government to banks and speculators prevents the crisis from moving into a state of depression, concluded experts of the Economic Research at the Institute of Globalization and Social Movements (IGSO) who studied the causes of stock market collapses in May. World powers with their own anti-crisis measures contribute to prolonging the global crisis. Hitting the "bottom" is a fiction in any case.
The social crisis in Russia has given shoots
The economic crisis has created an acute social crisis in Russia. The spontaneous address by the Mezhdurechensk miners is only one of the first of its consequences, concluded experts of the Institute of Globalization and Social Movements (IGSO). The period of loyal passivity of the public reaches its end. Russian authorities are presented with a strategic choice: to move along the path of social benefits or to rely on the force of the police. Independent of the government's decision, the country will receive a new economic policy that will overcome the crisis, not only in words.
The Kyrgyz uprising will continue in other countries
The overturning of Bakiyev’s regime took place under the influence of the global economic crisis. The masses, brought to extreme poverty played a crucial role in the uprising. This is stated in the report released by the Institute of Globalization and Social Movements (IGSO) "Kyrgyzstan: the first uprising in the former Soviet Union." The events in Kyrgyzstan are not directed by the "color" revolution. They are generated by the contradictions typical for Eastern Europe and Central Asia. Similar scenarios are likely for many post-Soviet states. The bets placed on repression and violence have not been able to save the Bakiyev dictatorship. "Kyrgyz" revolution will continue in other states. There will be radical changes in the economy and society of post-Soviet countries.
NGOs sound warning over one of year’s largest IPOs
The preliminary offering prospectus of Russian chemical fertiliser producer Uralchem glosses over several serious risks, says an international coalition of civil society organisations. Their research uncovers significant violation of environmental regulations by the company, which could lead the Russian Ministry of Natural Resources to force plant closures.
Russian-Polish relations may become more rational
Under the new Polish president some difficulties will remain in Russian-Polish relations, but they may be founded on a more rational basis, conclude experts of the Centre for Analysis of International Policy at the Institute for Globalization and Social Movements (IGSO). In relations between Russia and Poland problems associated with different versions of official government propaganda relating to historical events still remain. However, the development of economic relations has a chance to come to the fore.
China has become an important partner for Latin American countries
The Peoples Republic of China strengthens its economic ties with leftist governments in Latin America. The increase of China's influence is a consequence of the increasing independence of countries in the region from the United States. This is the conclusion reached by experts of the Center of Latin American Social and Political Studies at the Institute for Globalization and Social Movements (IGSO). Particularly active relationships have developed between China and Bolivia, Ecuador and Venezuela.
Trade unions and social movements seek cooperation
Trade unions and social movements are seeking ways of joining forces. Experts of the Institute of Globalization and Social Movements (IGSO) reached this conclusion upon analyzing trends in the development of independent trade unions and social movements in 2009 and first quarter of 2010. The clearly long overdue cooperation rectifies the organizational weaknesses of social movements and the discord among the independent trade unions. However, the crisis makes "point protests" ineffective, even as a system of solving local problems.
U.S. will not overcome the crisis through export
The plan to overcome the crisis in the U.S. through to the expansion of exports is falling apart. The Obama administration can not stop the weakening of foreign currencies which hinder the expansion of American exports, concluded experts of the Center for Economic Studies, Institute of Globalization and Social Movements (IGSO). The devaluations race continues in the world. The weakening dollar and the euro create difficulties for the realization of foreign trade in the U.S. and the EU markets, which in turn reduces demand for American and European industrial equipment. The struggle with the monetary crisis deepens mutually for the various governments of the world.
U.S. tries to escape bankruptcy
U.S. will try to avoid bankruptcy in 2010. To repay the huge short-term loans the government will probably have to continue the policy of covert weakening of the dollar or to openly devalue the currency concluded experts of the Economic Research Institute of Globalization and Social Movements (IGSO). U.S. government debt begins to spin out of control: the national authorities must pay $ 2 trillion in the next 12 months on short-term obligations. The reserves are insufficient to cover this amount.
Gazprom will be forced to cut prices and production
Gazprom will not be able to correct their business in 2010. Competition in the gas market is increasing, while demand is decreasing. The corporation will be forced to reduce its gas production due to reduced sales on the international and domestic markets. Prices for Western consumers are likely to be significantly reduced. For Russians, they may grow. Experts of the Center for Economic Studies, Institute of Globalization and Social Movements (IGSO) reached this conclusion having analyzed the macroeconomic outlook at beginning of the year. Further development of the crisis in Europe will not leave Gazprom a large selection. New highway construction projects may be curtailed as economically unjustifiable.
Social rights in Russia may come to an end
The states refusal of unconditional responsibility for social services will lead to a deepening social crisis in Russia. The concept of "social rights" will disappear. Experts of the Institute of Globalization and Social Movements (IGSO) came to this conclusion after examining the government's bill "On Amendments to Certain Legislative Acts of the Russian Federation in connection with the improvement of the legal status of government (municipal) institutions." The first public reaction to the new law is likely to be passive. But its use will result in the growth of discontent and play an important role in the development of the political crisis in Russia, which will determine the continuing economic downturn.
Authorities to actively involve themselves with trade unions
The authorities interest in independent trade unions will increase, and the situation in the trade union movement change dramatically by 2011. Experts of the Institute of Globalization and Social Movements (IGSO) came to this conclusion by comparing trends in the development of independent trade unions with the challenges facing the Russian government in an economic downturn. Increased tension in relations employers and employees will contribute to the "second wave" of the crisis and following prolonged depression. The government will have to solve many problems at once in adverse conditions.
Microsoft - in a strategic impasse
Microsoft has found itself in a strategic impasse. Further modifications of its main product - the Windows operating system will continue, probably to meet the negative reaction of users. The company's profits will fall due to the general decline in sales of computers. The result could be a massive shift of users to an OS with friendlier principles concluded specialists from the Economic Research Institute of Globalization and Social Movements (IGSO). It is possible that Windows sales in the coming years will decline due to the crisis of the increased perception that copied information (including OS) is a natural right of everyone. User dissatisfaction causes them to ignore the existing Microsoft programs during new product development, as well as chronic vulnerability of Windows to viruses.
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