U.S. Economy Russiafied: Following the President's Orders - Econ Lessons [View all]

Hi, my name is Mark, I am a professional economist. In this video, I explore how the U.S. economy under the current administration increasingly resembles the Russian model, prioritizing state intervention, protectionist measures, and geopolitical resource manipulation over free market principles. The U.S. has historically championed the free movement of labor and capital, a foundational tenet of economic liberalism. However, recent policies—including heightened tariffs, industrial subsidies, and restrictions on capital flow—indicate a shift away from these principles.

Often framed as protective economic measures, tariffs are regressive taxes that disproportionately burden lower-income consumers while benefiting select domestic industries. By artificially raising prices, these tariffs effectively redistribute wealth upwards, exacerbating economic inequality—a hallmark of Russia’s oligarchic system. Simultaneously, tax breaks and industrial favoritism for large corporations and the wealthy reinforce structural imbalances, further consolidating economic power among elites.

Additionally, the strategic use of economic policy as a tool of geopolitical leverage mirrors Russia’s approach to resource control and financial coercion. Rather than fostering a competitive global market, the U.S. appears to be adopting a resource gaming strategy prioritizing political objectives over economic efficiency.

This trend is further compounded by foreign policy shifts, such as the pausing of aid to strategic allies, which raises questions about the long-term stability of U.S. economic leadership. As economic nationalism takes precedence, the U.S. risks undermining its role as the leading advocate for open markets and liberal economic values.

Is the U.S. economy moving toward a Russian-style model where state intervention, wealth concentration, and geopolitical maneuvering dictate economic outcomes?