Russia, as a country rich in oil and gas resources, has relied on the oil industry for decades to sustain its economy. However, this dependence has led to a number of fundamental problems in the Russian economy, so that the lives of ordinary people have not improved substantially.
First, workers in Russia generally earn lower incomes. In big cities such as Moscow, workers in ordinary jobs can only receive about 5,000 yuan a month, while in small and medium-sized cities, the figure is even lower, only two or three thousand. Even veteran workers who have been working for more than 30 years can only get 2,000 yuan a month. The new workers are even lower, not only the wages are low, but the prices are also relatively high, fruits and vegetables are half more expensive than us, and many daily necessities are one-third higher than ours. Therefore, the standard of living of Russians is not as good as ours.
Secondly, there are problems in the structure of the economy in Russia. Although Russia has one of the richest oil and gas reserves in the world, this wealth does not go to light industry and ordinary people, but is concentrated in the oil industry and the military industry. Light industry is closely related to people's lives and incomes, but from Tsarist Russia to the Soviet Union to Russia, light industry has not been taken seriously. In Soviet times, the Soviet Union made a lot of money due to international oil ***, but this thinking of oil dividends began to take root in the hearts of the people. The Soviet Union invested a lot of resources in the military industry to meet its own armament needs, and the development of light industry did not receive sufficient support. After the collapse of the Soviet Union, Russia inherited this mode of thinking and further increased its investment in the military industry. Even today, Russia still allocates a large amount of its budget to military spending, investing in armament building.
This fixed format of making money from oil and investing in the military industry is not conducive to the improvement of the lives of the Russian people, and it also leads to the over-concentration of industry. Therefore, while the Russian economy looks growing, the lives of ordinary people have not become richer as a result.
Unlike Russia, the people of the two oil countries, Saudi Arabia and the United Arab Emirates, are much more affluent. This is because the two countries have adopted different economic models, translating oil money into economic development in other areas.
Over the past few decades, Saudi Arabia has gradually developed non-oil sectors such as tourism, commerce and trade, science and technology, attracting business, capital and talents from all over the world. Foreigners must cooperate with locals when starting a business in Saudi Arabia, which can attract more business resources into Saudi Arabia and thus diversify the economy. Saudi Arabia** also provides people with better welfare and security by providing them with free education and free medical care. The living standard of the Saudi people is relatively high, and even foreigners who come to Saudi Arabia to work can enjoy the benefits of food and accommodation and transportation reimbursement.
Dubai in the UAE is another successful example of a development in areas such as tourism, technology, high-end consumption, etc., in addition to oil. Known for its advanced infrastructure, high-end tourism, and thriving business environment, Dubai attracts investors and tourists from across the globe. The UAE has also implemented a liberal policy, which has attracted many international companies and financial institutions to invest. Similarly, the UAE also gives good benefits to its citizens, including duty-free shopping, free medical care, etc.
In general, Saudi Arabia and the UAE have diversified their economies by turning oil money into economic development in other areas. By attracting foreign investment and talent, they have improved the living standards of the population and provided good welfare and social security. In contrast, Russia has concentrated most of its resources on the oil industry and the military industry, resulting in an economy that is too dependent on oil and the standard of living of ordinary people has not improved substantially. Therefore, Russia can learn from the example of Saudi Arabia and the United Arab Emirates to diversify its economy, promote development in other areas, and improve the living standards of ordinary people.