Eastern Europe is richer than Russia. Victory

Discussion in 'Russia & Eastern Europe' started by Interaktive, Jan 14, 2021.

  1. Interaktive

    Interaktive Member

    Joined:
    Oct 28, 2016
    Messages:
    218
    Likes Received:
    22
    Trophy Points:
    18
    litwin likes this.
  2. kazenatsu

    kazenatsu Well-Known Member Past Donor

    Joined:
    May 15, 2017
    Messages:
    23,320
    Likes Received:
    7,236
    Trophy Points:
    113
    I'm not sure that is true.

    GDP of Eastern Europe total: $3.66 trillion
    GDP of Russia: $2.01 trillion

    The Eurovoc definition of Eastern Europe in these statistics includes Russia.
    Meaning, the rest of Eastern Europe, not including Russia, would be $3.66 - 2.01 = $1.65 trillion.

    In addition to all that, I also believe the comparative GDP metric under-measures actual economic production in Russia, because it is to some extent dependent on exchange rates. Since Russia is more self-reliant and exports less (as a percent of its economy) than other Eastern European countries, then naturally it would be measured less on the exchange rate.

    (You can't really use exchange rates to entirely accurately compare two economies, because those exchange rates only hold at a certain point, and would shift if you started increasing or decreasing the amount of trade)

    Although to be entirely fair, Russia is a resource-rich country and exports its natural resources, so that might inflate exchange rates. (giving it an unfair edge in this comparison)
     
    Last edited: Jan 14, 2021
  3. kazenatsu

    kazenatsu Well-Known Member Past Donor

    Joined:
    May 15, 2017
    Messages:
    23,320
    Likes Received:
    7,236
    Trophy Points:
    113
    Also nearly half of Eastern Europe's total population is in Russia.

    Although there is a fraction of Russia's population that lives in the very remote parts of Russia, and therefore would probably never be able to generate much economic wealth (of importance to the exterior economy). I might guess about one quarter of Russia's population could be said to live in such areas.
     
    Last edited: Jan 14, 2021
  4. litwin

    litwin Well-Known Member

    Joined:
    Mar 9, 2009
    Messages:
    25,164
    Likes Received:
    755
    Trophy Points:
    113
    Gender:
    Male

Share This Page