EconPapers    
Economics at your fingertips  
 

Crimea and punishment: the impact of sanctions on Russian economy and economies of the euro area

Konstantin Kholodilin () and Aleksei Netšunajev

EconStor Open Access Articles and Book Chapters, 2019, vol. 19, issue 1, 39-51

Abstract: The conflict between Russia and Ukraine that started in March 2014 led Western countries and Russia to impose economic sanctions on each other, including the euro zone members. The paper investigates the impact of the sanctions on the real side of the economies of Russia and the euro area. The effects of sanctions are analyzed with a structural vector autoregression. To pin down the effect we are interested in, we include an index that measures the intensity of the sanctions in the model. The sanction shock is identified and separated from the oil price shock by narrative sign restrictions. We find weak evidence that Russian and euro area GDPs declined as a result of the sanctions. The effects of the sanctions are also small for the real effective exchange rate.

Keywords: political conflict; sanctions; economic growth; Russia; euro area; structural vector autoregression (search for similar items in EconPapers)
JEL-codes: C32 F51 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (31)

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/200147/1/K ... nt%20Impact%20FT.pdf (application/pdf)

Related works:
Journal Article: Crimea and punishment: the impact of sanctions on Russian economy and economies of the euro area (2019) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:zbw:espost:200147

DOI: 10.1080/1406099X.2018.1547566

Access Statistics for this article

More articles in EconStor Open Access Articles and Book Chapters from ZBW - Leibniz Information Centre for Economics Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().

 
Page updated 2025-03-22
Handle: RePEc:zbw:espost:200147