Dear users, today we have a very personal request. We have decided to offer our learning materials free of charge because we believe in an open, pluralist economic science that is available to everyone, worldwide. We do this without advertising because we want to remain independent of commercial interests. But our commitment to independence and open access also has its price. Every year we have large costs for programming, staff and to support our authors. If everyone reading this gave a small amount, we could keep Exploring Economics thriving for years to come - but 99% of our users don't give. So today we ask you to protect Exploring Economics's independence. The heart and soul of Exploring Economics is a community of people working to bring you unlimited access to high-qualitiy, economic learning and teaching material. Please take just a few moments to help us keep Exploring Economics going. Thank you!
We are a registered non-profit organization | Bank account: Netzwerk Plurale Ökonomik e.V., IBAN: DE91 4306 0967 6037 9737 00, SWIFT-BIC: GENODEM1GLS | Imprint
The Ukraine War's Multifaceted Economic Fallout
Project Syndicate, 2022
The article demonstrates that by their very nature, the economic sanctions levelled by Western and other countries against Russia inevitably will create adverse economic effects for the rest of the global economy, too. That does not only pertain to exploding energy as well as commodity prices, creating a stagflationary setting in industrialised countries; it will probably also entail debt restructurings in emerging countries negatively affected by tightening financial conditions.
Comment from our editors:
Mohamed El-Erian is one of the most astute analysts of macroeconomic developments in the world economy. His differentiation between direct, blowback, spillover, and systemic negative consequences of Western sanctions against Russia made here is very helpful to discern what economic fallout will probably follow from this war short, medium and long-term throughout the global economy. Financial sanctions, after all, are weapons potentially creating massive collateral damage, too.
This material has been suggested and edited by:
Donate
This project is brought to you by the Network for Pluralist Economics (Netzwerk Plurale Ökonomik e.V.). It is committed to diversity and independence and is dependent on donations from people like you. Regular or one-off donations would be greatly appreciated.