Ruble Loses Gains vs. Dollar After Rate Hike to 17%

The video discusses the recent 10% decline in the ruble's value, drawing parallels to the 1998 financial crisis. It examines the Russian Central Bank's response, including a significant rate hike and potential interventions. The discussion highlights the economic implications, such as potential contraction and public reaction, and the impact of declining oil prices on Russia's economy. The video also explores the political and social reactions, including the pressure on President Putin and the Central Bank, and the broader economic challenges facing Russia.

What historical event is compared to the recent 10% loss in the ruble's value?

• The 2001 dot-com bubble

• The 2014 oil price crash

• The 2008 financial crisis

• The 1998 Russian financial crisis

What is one of the options the Russian central bank has to stabilize the ruble?

• Introduce capital controls

• Print more currency

• Lower interest rates

• Increase foreign investments

What is the relationship between the Russian central bank and the Kremlin?

• The central bank is completely independent

• The Kremlin directly controls the central bank

• The central bank is formally independent but informally influenced by the Kremlin

• The central bank and Kremlin have no interaction

What economic challenge is Russia facing due to declining oil prices?

• Surplus in oil production

• Rising unemployment

• Increased foreign investment

• Strengthening of the ruble

How might the depreciation of the ruble affect Russian consumers?

• Decrease in imported goods prices

• Increase in inflation

• Stabilization of the economy

• Improvement in export competitiveness

What is the break-even cost for Russian oil production?

• $40 per barrel

• $60 per barrel

• $80 per barrel

• $20 per barrel

What is a potential political implication for President Putin due to the economic situation?

• Strengthened economic ties with the West

• Increased pressure due to inflation

• Decreased pressure on consumers

• Increased popularity