EconoMonitor

Ed Dolan's Econ Blog

Roubini Topic Archive: Russia

  • Russian Crisis Hits Latvia, but (So Far) Not as Badly as Feared

    From the beginning, it was clear that the economic crisis in Russia would pose multiple problems for Latvia and its Baltic neighbors. Until recently, many businesspeople in Latvia had seen close trade, transportation, and financial linkages as strengths that allowed their country to serve as Russia’s economic portal to the EU. Since the middle of […]

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  • Does Putin’s Proposed Eurasian Currency Union Make Sense?

    At a meeting in Kazakhstan last week,  Russian  President Vladimir Putin proposed a currency union for the members of the Eurasian Economic Union (EAEU).  Russia, Kazakhstan, Belarus, and Armenia are the current members, and Kyrgyzstan is scheduled to join later this spring. Does a common currency for the EAEU make sense? Not in economic terms, […]

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  • What Ever Happened to the Misery Index?

    Remember the 1960s? The 1970s? Back then, inflation surged from one peak to another but failed to deliver the low unemployment rates promised by the Phillips curve. In fit of frustration, economist Arthur Okun invented what he called the misery index—the sum of the inflation and unemployment rates. As the following chart shows, those were […]

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  • What Lies Behind the Plunge of the Ruble?

    Russia’s economy is in trouble. Growth has come to a halt. A recession looms in 2015. Inflation, interest rates, and capital flight are up. The government’s budget is under strain. More than any of these, what makes the headlines is the plunge of the ruble, which, at one point in mid-December, had lost half of […]

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  • The Economic Future (if Any) of “Novorossiya”

    Last May, I posted an item on the economic situation in the rebellious regions of Eastern Ukraine, or “Novorossiya” (New Russia), to use the term increasingly favored by separatists and  their Russian sponsors. Novorossiya was the name of a province of Tsarist Russia that occupied much of the southern part of present-day Ukraine, stretching all […]

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  • Latest Arrests Highlight Dangers Facing Russian Business Leaders Who Join Anti-Corruption Campaign

    On Wednesday, the Russian news agency RIA-Novosti  announced that Konstantin Yankauskas, a deputy of the Moscow city council, had been placed under house arrest. At the same time, the agency suggested that the arrests of two businessmen, Vladimir Ashurkov and Nikolai Lyaskin, were immanent. All of them are active in the anti-corruption campaign led by […]

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  • Doing Business with Putin’s Russia: Why it’s Dangerous to Trade with People who don’t Believe in Trade

    I spent the 1990s teaching economics at a business school in Moscow. Our students were graduates of FizTech, Mekh-Mat, MIFI—the whole alphabet soup of science and technology schools that had fed the Soviet military-industrial establishment. These young men and women had degrees in things like “laser weapons platform design” that weren’t in much demand in […]

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  • Ukraine’s Heavy Industry : Glittering Prize or White Elephant?

    According to some accounts, the conflict in Eastern Ukraine is a tug of war over the region’s mines, steel mills and other heavy industry. The website European Dialog, for example, tells us the region is “crucial to Russia,” which “values Ukraine because of industries, like steel and agriculture, that have served as vital inputs for […]

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  • Ukraine or Russia? How Would Economic Factors Influence a Vote?

    Last month residents of Crimea voted to secede from Ukraine and join the Russian Federation. Although many in the West have questioned the freedom and fairness of the referendum, which was held in the intimidating presence of Russian troops, no one doubts that many Crimean residents did have a true preference for the Russian option. […]

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  • Ukraine’s Crisis Threatens to Drag Russia’s Economy Down, Too

    Political events in Ukraine and diplomatic tensions with Russia are filling the headlines this week, but behind these recent developments is a story of persistent economic weakness. Although a change of government in Kiev may eventually bring needed reforms, in the short run it can only worsen the economic situation. Bloomberg reports that Ukraine’s interim […]

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