How Can Putin Easily Bring Down His Opposition

Motivation is what Vladimir Putin has that will drive him to strike against the world and not use a single weapon of war. Some might say that he’s being given all the motivation in the world to do so, right or wrong.

The Ultimate Russian Weapon

Russian President Vladimir Putin and his army have waged war in Ukraine for over a year, and there appears to be no end. The why doesn’t matter, not anymore. The fact of a war going on is all that matters.

The U.S. and its allies in NATO have been giving unwavering support to Ukraine since the beginning. That has cost hundreds of billions of dollars in military and financial aid, as well as the Group of Seven hitting Russia with one sanction after another.

Despite sanctions, Russia seems to have a robust economy. Now, according to analysts, Putin could fire the shot that would bring the world to its’ knees. We’ve heard threats of nuclear weapons being used. Does he even need them? The answer is no.

Countries in the Group of Seven (Canada, France, Germany, Italy, Japan, the UK, and the United States) are reportedly hammering out a way to cap the price of Russian oil in another attempt to tighter the screws on Putin’s war in Ukraine, what would that mean to the world? What would it mean if Putin responded and used it against the G7?

JP Morgan analysts, including Natasha Kaneva, reported to clients that there is a risk of Putin choosing not to participate and cutting the production of oil from Russia. Russia is believed to be able to afford up to a 5 million barrel per day cut without damaging its economy excessively.

Looking at what that would do the world, is this Putin’s ultimate weapon? When looking at his motivations, at least what we are led to believe, Putin wants to stop the expansion of NATO countries. Putin does not want to see the long-standing move toward globalism and a new world order become a reality.

During times of economic turmoil, gas prices are known to shoot into the stratosphere. However, if you found it hard to stomach gas prices near the $4.00 range, the possibility of future spikes the way JP Morgan has predicted could send you into a meltdown. Consider the most recent time when gas prices hit the $4.00 range as oil was in the 120 to 130 per barrel range.

If Putin pulled the trigger and decreased oil from Russia by 3 million barrels a day, it could push the price of London crude to as high as $190. Analysts have sounded the alarm that if Putin were to slash production in Russia by the 5 million barrels a day they could cut it would be catastrophic.

$380 A Barrel Of Oil

Putin’s retaliatory move could cripple his adversaries' economies. Look at what happened as gas in the United States hit record highs in places. We’ve seen highs near the $8 and 9 dollar range. That was when oil prices fluttered around 130 to 150 dollars a barrel.

If we see a worst-case scenario, where would that leave us? Gas prices can bring an economy to its knees. Governments rely heavily on investment, but equally as heavily on tax revenue. Taxes paid on income earned, goods purchased, interest, property, etc… Imagine, as we teeter on an economic recession, gas prices soar to 12 dollars a gallon as the price of simple survival becomes unpayable.

Gas prices caused prices of everything to soar out of control, and the reality was that people’s salaries didn’t keep pace. Yes, there were other factors, but when businesses passed on the additional cost of trucking groceries into the stores, everybody felt that pinch. It was no different in any other country that relies on goods brought in and delivered for retail.

Places that saw gas hitting $8 to 9 dollar ranges, such as California, Chicago, New York, Washington, and Florida, could see gas prices as high as $20 or more if the barrel is pushed that high. The rest of the country would see gas hitting 12, 13, 14, and even 15 dollars a gallon.

Conclusions

Nothing against JP Morgan, but it’s easy to see everyone praying they’re wrong. Even to see oil hitting the market at $200 would be a devastating blow to a country and a world still financially bouncing back post covid. Seeing $380 a barrel would decimate the market and drive prices into the stratosphere as news reports have suggested.

If this happens, there’s likely little anyone can do about it, other than try to survive. The effect on society would be apocalyptic. In the United States, we are not ready for electric cars and don’t have the infrastructure for mass transit and cities connecting the way other countries have, and it’ll be a long time before we do.

Unfortunately, oil is still a major part of our lives. It’s dirty, it’s harming the climate and the environment and may well do as much harm as it does well. To imagine it so expensive that only the filthy rich can access it as a power source would mean imagining a majority of the human race living in the stone age.

Ultimately, money and power are the two most influential weapons in the hands of any person on Earth. Putin may not need nuclear weapons to win, he may have a much better option to put his homeland at the top of the mountain. Without the ability to move goods and not have a wrecked economy, how long can countries continue to pick up the tab in Ukraine?