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Press Review June 26, 2002
Grabitization (Don't Look)
By Matt Taibbi Browse author
The Oligarchs: Wealth and Power in the New Russia

The Oligarchs: Wealth and Power in the New Russia.
By David Hoffman. Public Affairs. 567 pp. $30.

Almost everything that is wrong with Washington Post foreign editor David Hoffman's new book about Russia's transformation into a capitalist system, The Oligarchs, can be discerned in one small and apparently meaningless passage on page 91. In it, the erstwhile Moscow bureau chief of the Post (1995-2001) describes former Russian Deputy Prime Minister Anatoly Chubais's reaction when, as a young man, the future and now infamous "father of Russian privatization" first read the works of Austrian economist Friedrich von Hayek: Many years later, Chubais recalled the thrill of reading Hayek and instantly gave his own example of how Hayek's theory worked in practice in the United States. "'One person is selling hamburgers somewhere in New York,' he told me, 'while another person is grazing cows somewhere in Arkansas to produce meat that will be used to make those hamburgers. But in order for that person in Arkansas to graze cows, there needs to be a price for meat, which tells him that he should graze cows.'"

Now, the reaction a sane person is likely to have when reading a passage like this is, What kind of maniac experiences a "thrill" when reading about hamburger distribution? A corollary question that occurred to me, as I imagined this 20-year-old Soviet dreaming guiltily of Arkansas cattle, was, Were there no girls at all in the Leningrad of Anatoly Chubais's youth?

It's a given that the answers to questions like these are not to be found in the seminal analytical work of one of the Moscow journalism community's most notoriously humorless foreign correspondents, but this problem is less inconsequential than you might think. For it is precisely Hoffman's inability to write honestly and perceptively about ordinary human experience that makes The Oligarchs miss as badly as it does in its attempt to describe the changes in Russian society over the past decade or so.

By the time Hoffman took over as the Post's Moscow bureau chief, I had been living in Russia for about five years. First as a student and then as a freelance reporter, I'd watched during that time as Russians became increasingly disillusioned with democracy and capitalism. Kids I'd studied with who had brains and talent found themselves working twenty-four-hour shifts in dingy street kiosks or lugging feminine hygiene products door to door, while the only people from my class who ended up with money were morons and thugs who took jobs with local "biznesmen" (read: mobsters) doing God knows what. That was the reality for the Russians young and old who had the misfortune to live through the early 1990s, when the inefficient old planned economy was dismantled and something-I hesitate to call it capitalism-was installed in its place. Honest, hard-working people were impoverished overnight, while swindlers and killers quickly rose to the top. The insult was exacerbated for Russians when they began to hear that the rest of the world, America and the American press in particular, was calling this process progress.

What America called a "painful but necessary transition," most Russians saw as a simple scam in which Communist functionaries and factory directors reinvented themselves by swearing oaths to the new democratic religion and cloaking themselves in fancy new words like "financier" and "entrepreneur." The only difference from the old system appeared to be that the villas were now in the south of France instead of on the Black Sea. The ordinary Russian also noticed that his salary had become largely fictional and that all his benefits had been taken away-corners had to be cut somewhere in order to pay for all those new Mercedes in town.

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New Club Trend: Kino Klubbing : A new niche in the Bohemian club circuit

The Propaganda About Propaganda : ‘Russia Today’ Imitates America Today
Feature Story
The Kremlin’s Clan Warfare: The Putin Era Ends : It's The End Of The Putin Era As We Know It...

Dead Catholics :


Save The eXile: The War Nerd Calls Mayday
The future of The eXile is in your hands! We're holding a fundraiser to save the paper, and your soul. Tune in to Gary Brecher's urgent request for reinforcements and donate as much as you can. If you don't, we'll be overrun and wiped off the face of the earth, forever.

Scanning Moscow’s Traffic Cops
Automotive Section
We’re happy to introduce a new column in which we publish Moscow’s raw radio communications, courtesy of a Russian amateur radio enthusiast. This issue, eXile readers are given a peek into the secret conversations of Moscow’s traffic police, the notorious "GAIshniki."

Eleven Years of Threats: The eXile's Incredible Journey
Feature Story By The eXile
Good Night, and Bad Luck: In a nation terrorized by its own government, one newspaper dared to fart in its face. Get out your hankies, cuz we’re taking a look back at the impossible crises we overcame.

Your Letters
Russia's freedom-loving free market martyr Mikhail Khodorkovsky answers some of this week's letters, and he's got nothing but praise for President Medvedev.

Clubbing Adventures Through Time
Club Review By Dmitriy Babooshka
eXile club reviewer Babooshka takes a trip through time with the ghost of Moscow clubbing past, present and future, and true to form, gets laid in the process.

The Fortnight Spin
Bardak Calendar By Jared Lindquist
Jared comes out with yet another roundup of upcoming bardak sessions.

Your Letters
Richard Gere tackles this week's letters. Now reformed, he fights for gerbil rights all around the world.

13 Toxic Talents: Hollywood’s Worst Polluters
America By Eileen Jones
Everybody complains about celebrities, but nobody does anything about them. People, it’s time to stop fretting about whether we’re a celebrity-obsessed culture—we are, we have been, we’re going to be—and instead take practical steps to clean up the celebrity-obsessed culture we’ve got...


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