Friday, January 17, 2014

Russia, the Olympics and Money

Read, "The Waste and Corruption of Vladimir Putin's 2014 Winter Olympics"  from Business Week.  One quote, "Among Russians, the project is famous for a different reason: its price tag. At $8.7 billion, it eclipses the total cost for preparations for the last Winter Olympics in Vancouver in 2010",  demonstrates the cost of the competitive event.  You should ask yourself, would this even be a story if the same event happened here.  If we build stadiums, it is heralded as a wonderful event that creates jobs, and creates sustainable economies both at the micro level and the macro.  

Respond:

What do you see as wasteful here?  Where is the corruption and how does this trickle down to the average Russian person? 

15 comments:

  1. The most wasteful part about this is the amount of money spent, there is numerous organizations and companies that are struggling due to the economy down fall. As we think about it where is this money coming from? Taxes? Sponsors? How do we create jobs for people when those who are given the job for the time being are only temporarily supported and given no benefits. We cant live in a society were only have of our services are in proper use at certain times of the years, that is what is happening with these people's jobs.

    ReplyDelete
  2. I think that besides the huge cost it took to build this stadium, the time wasted to build the stadium could of been used to fulfill other accomplishments. Plus, where did Russia get all the money to pay it off? Were people required to pay higher taxes to come up with the amount of the project. Or were other decisions taken to make the budget. How does this benefit the people of Russia if the Olymics are hed there? They're not held all year long, plus not every time is it likely for the olympics to be held in this location so when will they make enough profit to make up for the 8.7 billion.

    ReplyDelete
  3. I think it's crazy how people can spend 8.7 billion to build a stadium, yet they struggle to manage money to help fulfill other needs in their country. It's easy for them to give all that money to build something they will barely get much out of it but hard to give not even billions but thousands for medical care or any other organizations that will benefit them more than anything else. The thing that seems extremely unfair is raising everyones taxes just to build a stadium that will probably just be used once or twice. Will people benefit from this? Probably not. Going back to what we were learning in class, this goes to our needs and wants. They didn't really need that stadium yet they wanted it so that's the reason they spent so much on something they could of used for something they really needed.

    ReplyDelete
  4. The amount of money spent on a temporary "want" like this is crazy. They should be looking at the needs of society that involve health and job needs. If taxes were raised to build this stadium, that is completely unfair. The time and money that is being put into this project can only provide temporary jobs. They need to think about the long run and how this money loss will affect the people.

    ReplyDelete
  5. I think this is just crazy ,While some people are starving and needing some type of economic boost to get them threw the month others are just throwing their money away for something that is not dispensable to their living .In the picture above we can see how the building is located in a very rural and very humble looking place. I think its just insane how these people don't notice the type of poverty their residents are living in and decide to build such stadium for a single use and a big amount of money.

    ReplyDelete
  6. I think that the people running the corporations aren't aware or noting what there surroundings are. Its not smart to place a high end stadium thats going to charge high prices. The community there going to drop the stadium is a low income community and can afford there prices. Some people are just making rent and eed help with food and there spending money on things not needed.

    ReplyDelete
  7. Russian state spent three times more on the road than NASA did for the delivery and operation of a new generation of Mars rovers. Russia's new glamorous Olympic stadium has left many people wondering where all the money came from? why has so much money been invested into this stadium and why is this money not going towards healthcare, creating jobs, and poverty, etc. Overall, the prices in residency is expected to increase due to the location of the stadium being "glamorous". However, if the residents living there don't have money to pay for the location (which most likely they wont) they will be replaced by wealthy people who have that type of income.

    ReplyDelete
  8. As I read through this blog I feel that they are just wasting billions of dollars for just the stadium days and then right after the Olympic it will be token down. The corruption here is them wasting money on something that is not going to help peoples lives now or in the future. This has caused many Russian to become mad and highly upset with those who are in charge of this decision because its taking up space for farming and they are not even going to make it some place were people can live after the Olympic is over and done with.

    ReplyDelete
  9. I believe Maria makes a good point. If Russia can build this glamorous and wonderful building, why is it that most of the people there don't even live life comfortably? It is so corrupt that the government would spend billions on people who are guests, who will only perform in the building a few times. How does that even make sense? If people are in need of help and the nation needs money, the resources will now be limited due to the expenses made to build this stadium. It's just so wasteful to spend all that money on one building rather than rebuilding, cleaning, or helping the country out.

    ReplyDelete
  10. I agree with Maria, where is Russia getting all this money? It's pretty absurd to see this image. First off, the building looks so glamorous and futuristic, while everything around it looks like it hasn't evolved since the industrial revolution. How wasteful is it to spend billions of money to a stadium that will only be used a few times? It's so corrupt that the Russian government would spend all that money on a building rather than building facilities, fixing the surroundings, or helping the people out. The Russians could benefit from all that money, but instead they get a stadium not even most of their people can use. How does that make any sense?

    ReplyDelete
  11. Russia spent $8.7 billion dollars on a glamorous/fancy stadium, instead of providing basic needs to the public. As I read this article, I started to become clustered with questions. Where did Russia receive the money to build this stadium? How does it benefit the citizens of Russia? If it does at all. The Olympics are held once a year, and the people of Russia are probably not benefitted by the building of this new stadium. If the U.S. spontaneously built an Olympic stadium, then I believe that Americans would cause a riot due to the amount of money put into it. Where would they receive the money to build this? Taxes? This would not be fair. And I do not believe that Russia should have spent $8.7 billion dollars on this stadium.

    ReplyDelete
  12. The biggest problem that I see with the Winter Olympics coming up is the money that Russia spent on the stadium and all of the other field that will be played on. The amount spent was about 8.7 billion dollars. This is a huge problem for many cities, companies and businesses for Russia. All of the money spent on the Winter games could have gone to Russia's pour economy. This trickles down the average Russian person because it was a great amount of money that I think was wasted.

    ReplyDelete
  13. The most wasteful part of the building is the land they took away from the farmers. Where else did they get the land? How can Russia expect to feed the country if the land is covered by a giant building? Perhaps the money that they gain from the Olympics will benefit the farmers growing crops in the area. Or the building will be donated to the farmers to use for what ever reason. Over all the construction has done more harm than good to the micro and macro economy surrounding Russia.

    ReplyDelete
  14. I think that the biggest problem is that they are spending to much money on a stadium that will be used for the Olympics when there are other more important things to worry about, like the poor and the homeless. They also took a bunch of land from people who depended on that land. There are any issues with this kind of spending and there are more important things to use money on other than building a new stadium.

    ReplyDelete
  15. Russia wasted 8.7 billion dollars on a stadium for the Olympic games. This stadium will only be used for a few weeks, and is considerably a really stupid, selfish decision on Russia's part. They should have invested that money on communities and education. This decision trickles down on Russians by not allowing them to use that money in a way that could be beneficial for their own people.

    ReplyDelete