Russian Prime Minister Vladamir Putin has said the US should take a lesson from the pages of Russian history and not exercise 60;excessive intervention in economic activity and blind faith in the state57;s omnipotence61;.
60;In the 20th century, the Soviet Union made the state57;s role absolute,61; Putin said during a speech at the opening ceremony of the World Economic Forum in Davos, Switzerland. 60;In the long run, this made the Soviet economy totally uncompetitive. This lesson cost us dearly. I am sure nobody wants to see it repeated.61;
Sounding more like Barry Goldwater than the former head of the KGB, Putin said, 60;Nor should we turn a blind eye to the fact that the spirit of free enterprise, including the principle of personal responsibility of businesspeople, investors, and shareholders for their decisions, is being eroded in the last few months. There is no reason to believe that we can achieve better results by shifting responsibility onto the state.61;
Putin also cautioned the US against using military Keynesianism to lift its economy out of recession, saying, 60;in the longer run, militarization won57;t solve the problem but will rather quell it temporarily. What it will do is squeeze huge financial and other resources from the economy instead of finding better and wiser uses for them.61; Putin57;s comments come in sharp contrast to Russia57;s own military buildup and expansion.
Putin also echoed the words of conservative maverick Ron Paul when he said, 60;we must assess the real situation and write off all hopeless debts and 56;bad57; assets. True, this will be an extremely painful and unpleasant process. Far from everyone can accept such measures, fearing for their capitalization, bonuses, or reputation. However, we would 56;conserve57; and prolong the crisis, unless we clean up our balance sheets.61;
60;The time for enlightenment has come. We must calmly, and without gloating, assess the root causes of this situation and try to peek into the future.61;