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Putin sketch western and russian media rhetoric

In the age of mass media and information society, political rhetoric is thriving. Back in the days, political power could not possibly reach all the corners of one country (especially in case of an immense territory), whereas it is easily done across the borders. The only possible obstacle is another man’s rhetoric.

So, what do we see now? More and more headlines willing to go as catchy as possible. How is a person being swallowed into this? The purpose of this article is not to dwell upon freedom of speech. However, it tries to put into perspective the influence that the current media has on a person (using the example of today’s media rhetoric).

In the 90s, when Soviet Union, one of the most powerful countries collapsed, media all around the world immediately changed its attitude towards  it.  This change of attitude was noticeable even among the public, watching it.  Yet, this rather indulgent political discourse was transforming along with the development of Russia. During that time, Russia was not viewed as a threat, but rather as one among many.  Today, after more than twenty years, the situation is different. Portrayed as an expanding empire, this image makes a lot of money on the front pages.

If you had a chance to go through the Western media, for sure you would find yourself thinking about it. To begin with, after reading you will probably think that Russia is indeed quite bad. Surprisingly, this has nothing to do whether you agree or not.  Rather, this has to do with your sub consciousness. Strong negative language first addresses emotions, only later it is processed by our mind. Afterwards, you may use other sources, but surprisingly other sources sound rather the same. So here is a question: Would you consider turning to a Russian source when everyone else is saying differently? Or better question, would you even consider another opinion in the situation?

On the one hand, the negative image is being constructed for a long time. “Bad boy Putin won’t find friends at G20 summit” (torontosun.com),  “How Vladimir Putin became evil” (theguardian.com), “West faces up to Putin aggression” (bbc.com) etc. Along with these headlines, there are high officials who insist on further sanctions against Russia; there are decisions taken to suspend the country from G8, limit its abilities at the PACE and so on. On the other hand, economic relations are actually getting stronger (forbes) . Many European producers, exporters, businessmen are actually against sanctions. Simply, they are no good for the business (the Guardian).

This kind of blaming rhetoric is similar in Russia itself. Of course, it targets the West in return.

As a result, we see rhetoric of finger-pointing. The countries are demonizing each other according to the principle “we are good – they are bad”. This kind of strategy aims to form certain opinion of another country and stirs up enmity. This strategy is another form of geopolitical influence that is used by the governments.

http://www.youtube.com/watch?v=9qSrprBYdxA

It should be noticed that when referring to Russian sources (not just media, but also politicians and government officials), it is widely accepted that these sources are not reliable or trustable. They are corrupted; hence they should not be taken into account. So, does it mean that another point of view is not taken into account as well? I would draw your attention to the question why European rhetoric is believed to be more trustable than any other’s.

During twentieth century, the West had become the main documenter of historical events, from the World War I to the Cold War. Of course, it did represent the events that actually happened, yet we should stress what kinds of things were highlighted in this narration. The West pays attention to what it is important for the West. There is nothing wrong in this; this is simply the way how humans express their opinions. But other countries tell their stories too.  Rejecting their point of view means staying in the nutshell. Just because it is not delivered by stronger power does not necessarily mean that it is a wrong opinion.

For example, the Molotov–Ribbentrop Pact (Nazi-Soviet neutrality pact) is usually condemned nowadays. In contrast, Europe does not bring up the Munich Agreement of 1938, which permits Germany to annex portions of Czechoslovakia, which was signed by France, Italy and the United Kingdom, the major powers of Europe.

Other notions are also created and moved forward by the West. The term of “cold war”, first appeared in Orwell’s Animal Farm, was later picked up by Walter Lippmann in 1947. Now the period of US-Soviet tension is referred in this way.

This rhetoric has power to reach out anyone in the world that makes it a little bit frightening. It became dominant rhetoric too, developed and imposed by strong counsttries. This discourse easily leads to false stereotypes about international relations.

In this sense, everything that happens outside of Europe, e.g. the conflicts in the Middle East, remain in the periphery and do not influence the main course of events. But for those countries who are actually involved into the conflict, the conflict occupies the central place. In humanities, this is called textualization of reality, which means interpretation of events. So far, textual ethnocentrism of the West is very strong because of its power. As Winston Churchill once said, “History is written by the victors”. It will never get old.

One of the examples of this Western dominance would be terrorist attacks in Belgium and France. Similar and even worse attacks in the Middle East did not draw as much attention as it did with European ones [1]. In the previous century, the description of events was more spontaneous (the wars of 1914-1918 and 1939-1945). Today it is more well-directed and oriented by power interests.

This leads to certain public opinion all around the world. As a result, powerful countries are getting political and economic benefits, making international agreements that are more beneficial for the West (See Artic Sunrise Case).

Yet, democratic demagogy is vulnerable and easily shaken.  For example, it has been years but Iraq, Iran and Afghanistan are still not democratic, regardless of US attempts. Europe is being weak in the light of the “Eastern Front”, meaning that Eastern countries are turning out to be not particularly democratic. If Serbia and especially Turkey enter the European Union, what is left of democracy and euro-identity?

Every power pursues its interest. Every power has its own agenda. By using electronic or paper means, available to them, they strive to achieve what’s best for their country.  An ordinarily person has to be aware of this and restrain himself/herself from immediate joining to the finger-pointing discourse. Two heads are better than one. Even if another head is believed to be evil.

Author’s note: This article does not aim to finger-point any party, rather it questions trust in media. The West/Russia are taken as an example because there are more sources available (and because I haven’t learnt exotic language yet 😀 ).

I would appreciate people from countries other than Europe expressing their opinions (below in the comments) about their media/officials, interpreting different events.

[1]  If you are interested how the events are interpreted and talked about, read more about Rwandan Genocide. Particularly, the way media and officials addressed the events of 1994.

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Specialist in global security and nuclear disarmament. Excited about international relations, curious about cognitive, psycho- & neuro-linguistics. A complete traveller.

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Economy

Manufactured goods and industry: a symbol of German decline

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German industrial power and quality levels became a national symbol in the latter part of the 20th century, and to some extent the lifeboat of post-war reconstruction. Even throughout the industrial rise of Asia at the end of the century, the German island remained sanctuarize from the competitive attacks of Eastern developing countries. But several German industries have been increasingly struggling in the past decade and gasping for air. Is Germany at the end of its prosperity cycle, for having rested on its laurels?

Germany, along with its wartime Japanese ally, impressed the world with its rise from its ashes in the latter half of the 20th century. Starting with the Marshall plan quickly followed by self-standing growth, Germany speedily re-built its industrial capacity, and its reputation for top-notch quality. As soon as in the 1960s, German brands invaded the global market with their sturdy reputation preceding them: if the product said “Made in Germany” then the customer could feel sure there was nothing better on the market. At the end of the century, a large share of the top global engineering segment was German: BMW, Bosch, Rheinmetall, Merck, the list is endless. Economic historian Werner Abelshauer describes [1] how the label “made in Germany” became a symbol of quality: “The label “Made in Germany” ultimately developed into a sign of quality, though it took a while.” But the era during which Germany levitated above the rest of the industrial world is coming to an end. While Germany remained unharmed by Asian competition for longer than its neighbors, it is now fighting on a level field with all other manufacturers in the field, and worse: it’s not doing all that well. Economic reporter Chris Papadopoullos placed [2] the start of the decline during the year 2015: “Total production, which includes construction, manufacturing and mining, dipped 1.2 per cent in August compared with July, German statistical office Destatis said. The production of capital goods fell 2.1 per cent while consumer goods dipped 0.4 per cent. Construction and energy output also posted declines “.

Of course, the Volkswagen scandal caused a major dent in the image of industrial Germany. Consulting group ALVA published an extensive study of the post-scandal consequences on the image of Volkswagen and German quality altogether, and wrote [3]: “After the emissions scandal revelations, we can see a very different picture, with all Advocacy drivers having moved into negative territory to a greater or lesser extent. This is indicative of a reverse halo effect in which a negative emotional response to a company due to an erosion of trust spills over and clouds rational judgement of all of its traits.” Until then, German car manufacturers had been above suspicion, thanks to their reputation for industrial quality and business performance: when one is the best, there is no need to cheat. Through the fraudulent emissions revelations, Volkswagen, one of Germany’s flagships, showed that “Made in Germany” wasn’t all it was cracked up to be, and that they had flown too high on borrowed wings. The scandal shed doubt over other German flagships in its wake, as reported [4] by automotive journalist James Mills: “German media allege that US authorities have discovered that Daimler, parent of Mercedes, developed software for its diesel-powered vehicles that would shut down vital emissions equipment after driving just a short distance. Daimler is reported to have come up with programs that would shut down certain functions of the selective catalytic reduction filter after just 16g/km of NOx is admitted.” And the damage extended beyond the automobile world, into the whole industry.

Of course, if the problem were limited to the automobile world, Germany could survive on the others. But the slipping in industrial standards, the resulting loss of performance, and finally the need to resort to unsavory business practices to survive, seems to have contaminated all fields of the German industrial apparatus. German shipbuilder TKMS recently illustrated the downfall: after decades of occupying high grounds on the submarine market, the engineering firm is facing such a severe string of problems that it is facing being sold off entirely and scrapped from the national heritage. After losing a major submarine contract in Australia, it delivered a few corvettes to the German Navy, which simply refused them on the dock, due to quality standards being overstepped. Wall Street Journal William Wilkes reported [5]: “Germany’s naval brass in 2005 dreamed up a warship that could ferry marines into combat anywhere in the world, go up against enemy ships and stay away from home ports for two years with a crew half the size of its predecessor’s. First delivered for sea trials in 2016 after a series of delays, the 7,000-ton Baden-Württemberg F125 frigate was determined last month to have an unexpected design flaw: It doesn’t really work.” Germany’s submarine fleet, also built by the same shipbuilder, is currently completely out of order [6]. In desperate need for new contracts, it resorted to bribing officials, resulting in a political and economic quagmire in Israel. In an attempt to secure a submarine purchasing contract in Tel-Aviv, TKMS allegedly transferred over 10 million dollars through shell companies to a top government Israeli official. News Site Haaretz [7] reports: “At least ten high-powered individuals have been identified as involved in the scandal, including very close associates of Prime Minister Benjamin Netanyahu. A multimillion dollar submarine deal with German shipbuilder ThyssenKrupp is the focus of a police investigation, which is probing possible wrongdoing involving Netanyahu’s personal lawyer and German shipbuilder ThyssenKrupp’s local representative.” For weathered investors, this time in which German manufacturers need to resort to cheating to make up for their slipping industrial standards is something completely new, and in some ways an earthquake. As a result, investments are scarce for start-ups [8], as well as for established businesses [9].

Germany’s downfall in the industrial world isn’t taken lightly by political forces, and the economic problem is turning into a political one, with worker unions stepping up their criticism of management, and politicians scrambling to stop the nosedive. Angela Merkel has been urgently addressing the problem, but so far too little or no avail. “Angela Merkel champions Industry 4.0, urging investment in new technology. German business isn’t heeding the call”, says Politico [10]. Unlike Angela Merkel, many in the country haven’t figured out that Germany had slipped from one industrial model to another: initially known for the superb quality of its products, it was caught up quickly by its direct competitors: United Kingdom, France, Japan and the United States in particular. The core of German’s added value today lies mainly in the machine-tools and high-tech subsystems of German equipment-makers. But as a whole, Germany no longer has the capacity to integrate large and complex systems such as aircrafts, frigates or new-generation submarines.

[1] https://www.dw.com/en/125-years-of-made-in-germany/a-16188583
[2] http://www.cityam.com/226018/german-industrial-production-sees-steep-decline
[3] http://www.alva-group.com/en/reputation-damage-vw-emissions-scandal/
[4] https://www.driving.co.uk/news/emissions-scandal-vw-mercedes-cheat-diesel-tests/
[5] https://www.wsj.com/articles/german-engineering-yields-new-warship-that-isnt-fit-for-sea-1515753000
[6] https://www.defensenews.com/naval/2017/10/20/all-of-germanys-submarines-are-currently-down/
[7] https://www.haaretz.com/israel-news/LIVE-the-israeli-submarine-scandal-what-we-know-1.5626626
[8] https://global.handelsblatt.com/companies/german-startups-drying-up-without-risk-ready-investors-863686
[9]https://www.reuters.com/article/germany-investment/big-investors-cautious-on-german-public-private-partnership-plan-idUSL5N0XK45Q20150423
[10]https://www.politico.eu/article/why-europes-largest-economy-resists-new-industrial-revolution-factories-of-the-future-special-report/

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Hungary And Poland To Lose Up To 25% Allocation Of EU Funds

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Hungary and Poland are set to be hit with new cuts in cohesion support after EU commission proposed new radical changes. This came to light after a series of propositions were published recently by the EU executive. Eastern European countries will be hard hit by the propositions, but more impact will be felt in Hungary and Poland.

The changes come in light of the immigration policies that certain countries have chosen to adopt. The two most affected countries will lose nearly 25% in cuts due to their problematic policies. The repercussions of the cuts could be felt very soon especially if the Eastern European countries decide to take on Western Europe.

Even though the commission has maintained that the new changes are not meant to be punishment for inconsistency and criticism, there is a general feeling that the countries will not take the changes well. The commission also argued that there is no need to compare the allocations between EU member states as each country has their own share of prosperity.

The proposed changes will also affect more countries in Eastern Europe including Lithuania, Czech Republic, Slovakia, and Malta. Germany will also get a reduction in the allocation to the tune of 20%. There are some countries however that will get a raise in their allocation including Greece, Romania, Bulgaria, and Italy.

The EU commission, through its commissioner for regional development, Corina Cretu, says that the recent changes have no political bearing behind them.

How the commission arrived at the figures

In previous years, the commission had an established formula for calculating the allocation of funds. This year though, it seems like there was a break from tradition since the calculation method was visibly adjusted. The GDP would be used to determine prosperity in the region during the past, for instance. This criterion seems to have been adjusted in addition to the inclusion of other factors like climate, education levels, employment levels, and of course the attitude of the countries towards immigrants.

It is yet not clear how these changes will affect the forex market in Europe. What is clear though is that the aftermaths of major decisions in recent years have often caused some disturbances in the stocks and forex markets. At times like these, stock and forex traders need to be on the lookout for any major breaking news. Admiralmarkets.pl suggests using the current forex and stock platforms to get market feeds in real-time.

The current feeling from the Eastern European countries is that the commission is finding ways of diverting money from the region to other regions that have faced challenges in recent years. The southern part of Europe has for instance been in the red for a couple of years now. The crisis in Greece and Spain is yet to completely settle.  The sentiments of Eastern Europe do not seem to bother the commission, however. The commission argues that these countries have seen major growth in recent years and that they would even handle stiffer cuts. This, the commission argues, would especially be true if issues like GDP per capita were to be considered.

EU officials have spent much of the time explaining how their recent propositions are in no way related to the crisis in the south. Instead, the commission has used every opportunity to highlight the changes in GDP as the key reasons for the allocation cuts. It is indeed easy to find reason in this rationale when you analyze the economies of Eastern European countries.

Poland has for instance seen a lot of positive growth in the past few years. In 2017, the economy grew by 4.6%. This growth came in the backdrop of a similarly strong growth the previous year where the GDP growth was recorded as having been 3%. The forecasts for this year do not look bad either. The GDP is expected to grow by at least 4.3% as per what the commission has established on its forecasts. The growth pattern in Hungary was also comparable, being 3.3% in 2016, 3.45% in 2017 and with a projected growth of 4% year.

Looking south, the economy of Italy recorded growths of 0.9% and 1.5% in 2016 and 2017 respectively. The forecast does not look any different also as a projected growth of 1.5% is expected. In order to argue their case, the commission argued the case of Portugal, which is still struggling but which got some cuts due to its strong performance recently.

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Hungary Economy: Population, GDP, Inflation, Business, Trade

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The Hungarian economy is ranked as the 55th freest according to 2018 statistics. This economy has undergone a lot of transformation and it has particularly improved in the areas of the judiciary, labor freedom and investment. There are some realms however that have not seen great improvements especially in the areas of business freedom, government integrity, and property rights. In overall, Hungary is below average in most metrics in Europe compared to other peers in the region. The country is also just above the world average on the global scale.

Looking at its recent past, this country has seen a bit of relapse into some laws that were previously abandoned. The country has definitely seen much freer and liberal laws in recent years just before the government began to intervene in the areas of policy. Much of the changes over the years have been instituted to support economic growth and to balance out the budget while steering clear of areas that might cause conflict with the European Union. There are many targets that the government has including reducing public debt. It plans to achieve all of them by taking an active role and instituting sectoral laws.

The history of Hungary is long and colorful. It was once part of the communist realm until 1990 when it became completely independent. The country is currently a member of NATO having been in the organization since 1999. When the EU was formed, Hungary was not among the founding members and only joined the organization in 2004. There have been numerous economic reforms in the last decade and today, the economy is supported by strong local demand as well as exports. In recent years, things have been looking very optimistic for the country. The construction industry has boomed and there is a hands-on approach by the government on economic matters. The unemployment rate in the country is low.

Despite these improvements, there are still some challenges that face the government. It is for instance not as open as it ought to be and the judiciary is weak and subject to government interference. The policies surrounding land tenure are pretty straightforward and the government keeps updated records. Because of its somewhat domineering government and a weak judiciary, there are always concerns about corruption. The business sector is thus highly affected by the apparent indifference in the government towards corruption. A lot more needs to be done by the government to deal with prominent figures who have been a menace to business.

Moving on to the financial sector, there is a generally fair support by the government to the financial markets. The tax for corporates is maintained at 19% and tax for individuals is at 15%. The stock market is pretty vibrant with the Budapest SE index enjoying some good figures in recent years. Forex traders can do many things in this country even though the market is not as developed especially compared to the West. Forex trading is supported a lot and there are dedicated providers that allow Hungarians to access tens of thousands of markets.

As a country that is still developing many sectors, Hungary has a government that has a direct oversight over some sectors. You will thus often find direct government support for some industries. There are some sectors where there is not enough manpower. The labor regulations are somewhat basic which makes mobility a little difficult. Most of the product prices are market-determined but some goods’ prices are regulated by the government. Some of the areas in which the government has a hand on the prices include the markets of pharmaceuticals, tobacco, digital money, some machinery and electronic appliances and telecommunication products.

The health of the economy is definitely good considering that the trading industry is pretty vibrant. Hungary relies a lot on both exporting and importing goods. The total value of goods that either leave or enter the country comprises of up to 175% of the GDP. There are no strict tariff regulations and there is a general preservation of a 1.6% tariff rate. While there is much more government presence in many areas of the economy, the impact is not too big to disrupt economic activities. The financial sector is still in its formative years and it will take sometime before the banks get the necessary regulatory policy that supports growth.

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