Winning: Per-capita GDP Explains a Lot of Things

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October 7, 2024: Data on the GDP per Capita for all 192 countries on the planet can be seen at.

https://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nominal)_per_capita

Leaving out the tax-haven or tax-evasion nations like Monac0, Liechtenstein, Luxembourg, Bermuda and Ireland, the data for the other nations reveals relative wealth. It’s no surprise that small, oil-rich Norway is at the top of the list with $104,460. The tiny but prosperous island state of Singapore is next with $84,734. Then comes the United States, with $81,695. Because the U.S. has the largest economy on the planet and a population of 345 million, it’s large Per-Capita GDP explains why the Americans are such a large economic and military influence on world affairs.

In Europe NATO members like Germany have GDP- Per-Capita of $52,746, Sweden $70,207, Norway $104,460, Netherlands $78,215, France $61,157 and Britain $58,906. The European Union average is $60,349. The population of all EU nations is 446 million. This is larger than the United States but the Americans have a much higher GDP. Still, the U.S. and EU together control most of the planetary GDP but only have about ten percent of the planetary population. In contrast, nations like Russia GDP- Per-Capita of $44,104, China $24,558 and Ukraine $18,008.

Russia invaded Ukraine in 2022 and the fighting continues. Nation nations, most of them EU members, supported Ukraine with military equipment and economic assistance. This prevented Russia, with more than three times the population and more than twice the GDP- Per-Capita from conquering Ukraine. The war, now in its third year, continues. It appears that Russia has lost and is running short of soldiers and weapons. Russian leader Vladimir Putin refuses to acknowledge the reality of the situation and insists that he will keep fighting in Ukraine indefinitely. That will be difficult because the cost of the war has damaged the Russian economy and the half million dead or wounded Russian soldiers has made it impossible to maintain the strength, or morale to fight among Russian troops. This became obvious during the August 2024 Ukrainian raid into Kursk province. Russia could not muster a force to oppose the Ukrainians and the only Russian troops the Ukrainians encountered early in the operation were some unarmed Russian conscripts. These were captured and Putin offered to exchange some Ukrainians for an equal number of Russians. The exchange took place in August 2024 with Ukrainian exchanging 103 Russians they had captured during their Kursk operation for 103 Ukrainian soldiers that had long been held by the Russians, some since the first months of the invasion. Since the war began there have been 55 prisoner exchanges involving about 1,800 captives.

Russia is not only unable to muster many troops to oppose the Kursk incursion, but is also humiliated by the revelation that the Russian military has become so weak and inept. This embarrassment comes as Putin is being told that the Russian wartime economy is failing to supply the weapons it was supposed to. Worse, a large shipment of weapons purchased from North Korea that recently arrived in Russia was destroyed by a Ukrainian drone attack that caused such a large explosion it could be seen by orbiting surveillance satellites. This means munitions and other supply shortages for Russian troops during the next few months. Ukrainian drone attacks have concentrated on key Russian military targets and in 2024 there were many such attacks. Ukraine has informants inside Russia as well as satellite photos supplied by open source providers and American military satellites. In the combat zone both sides rely on surveillance drones that are continually in action. Surprise attacks are more difficult to carry out. The Ukrainians went to extraordinary lengths to plan the August Kursk incursion and keep the Russians from discovering the preparations.

A key factor in the Ukrainian successes is the massive economic advantage their NATO backers have over Russian. In terms of GDP and regular supplies of military equipment, the Ukrainians have an edge because the NATO coalition has more than ten times the economic capability. Worse, Russia has few allies. The ones it has include Iran and North Korea. China will sell Russia supplies but not weapons or munitions. Now Russia has to deal with the constant Ukrainian drone attacks on stockpiles of Russian weapons and munitions. The Russians do not have the means to reply in kind. NATO continues to supply Ukraine with ample missile defense weapons and superior satellite surveillance. This is a classic example of how relative economic strength matters. The massive and continuing NATO aid puts Ukraine well ahead of Russia. Vladimir Putin knows this but won’t openly acknowledge it and is quietly seeking a way to end the war that does not portray him as a total loser and incompetent military commander.

 

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