Despite the overall economy appearing to function (GDP figures are 'surprisingly good'), the military economy is thriving while the civilian economy is in serious trouble, and even civilian sectors that continue operating do so largely through state subsidies—the car industry is a classic example, producing Ladas with no airbags or GPS for a market that would prefer Chinese cars, creating an unsustainable situation mimicking the Soviet economy's core problem.
factualpending
Speaker
Mark GaleottiEvidence Quote
“if you disaggregate the military from the civilian economy...the military economy is going great guns...whereas the civilian economy is is in real trouble [34:08]”
Source
Mark Galeotti - Russia has Defied Predictions of Analysts and Media. What are we Still Getting Wrong— Silicon CurtainCreated: 8/12/2026, 10:24:24 PM
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