Ukraine’s Economic Future

David Bellamy asks how I see Ukraine’s economic future. Unfortunately, to me it looks quite grim. Today’s massive protests in Ukraine are very similar to what we saw during the Orange Revolution of 8 years ago.

In 2005, Ukrainians managed to overturn the results of the rigged elections and place a democratically elected president in office. Sadly, that victory did not lead to any change in how everybody lived. This is why I see no reason to hope that this time protests will lead to any real transformation.

As much as it pains me to recognize this, today’s protests – as well as those of the past – share a single goal. Ukrainians are looking for a magician (or a group of them) to make everything better. Today’s conflict in Ukraine is over who those magicians will be: Russia or the EU.

However, even if either of these entities had only Ukraine’s best interests in mind (which they don’t), their actions will never be enough to repair a country where people are not reading to abandon stealing, bribery and corruption in favor of working, producing, and paying taxes.

I can’t blame Ukrainians for this state of affairs. For centuries, every effort was made to quash the spirit of self-sufficiency and entrepreneurship in our people. It is ridiculous to expect the results of colonial domination to evaporate after formal political independence is achieved. If for hundreds of years people are told they can’t survive without an external agency that manages their lives, they will interiorize that belief.

I don’t know how long it will take to shed the colonial legacy. But 22 years are obviously not enough.

11 thoughts on “Ukraine’s Economic Future

  1. With very few exceptions, revolutions are terrible ways to try to improve societies.

    Unless the population is well educated and/or financially stable and/or culturally composed* enough they’ll for sure end badly (see Egypt, Libya and to a lesser extent Tunisia).

    Czechs and Slovaks were educated and stable enough to weather two major traumas within five years (and then the Slovaks were politically mature enough to remove a would be dictator through the ballot box). But there, the destructive miasma of Soviet influence was indirect and not the soul crushing direct cultural obliteration that Ukraine suffered (and continues to suffer) from.

    By far not the worst thing I’ve read about the current situation
    http://theredbanker.blogspot.com/2013/11/ukraine-why-oh-why.html

    money quote: “Ukrainian elites, starting with the President, do not care one iota whether the Association Agreement is the better option in the long term for ordinary Ukrainians or whether the Custom Union represents much-needed short term economic relief … They care only about preserving their own power and their own wealth, without even nationalistic ambitions like China or Russia … to nudge them towards the provision of ‘common goods’ and mobilisation of national resources for something more than personal enrichment”

    *a term I’ll leave mostly undefined, but it basically means ‘being sure of your place in the universe’, Ukraine seems anything but…

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    1. Oh yes, I agree completely. For closer examples, Bulgaria and the Baltic States have seen a destruction of their economies as a result of falling within the EU’s zone of influence.

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