Thursday, December 01, 2016

A master at taking credit

I know Putin will get the credit for this, but it is hard for me to see how this was a major accomplishment. Low oil prices are killing the budgets of all OPEC members, as well as non-OPEC states that are oil production dependent, like Russia.

Sure, Saudi Arabia and Iran hate each other and are fighting 1 or 2 proxy wars with each other (in Yemen and also, arguably, Syria/Iraq), but on the question of oil prices their economic interests are in complete alignment. Both countries need oil prices to go up for their budgets to work. It doesn't take a diplomatic genius to get two countries to do what is in their clear interest to do.