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CED’s Policy Backgrounders provide timely insights on prominent business and economic policy issues facing the nation.
“So, has Russia become Venezuela or is it still Iran?” the morning-show host on the few remaining As Russia escalates the Ukraine war on the battlefield in Ukraine, the economic battlefield where the US
independent media outlets in Russia, Echo of Moscow radio station, asked a Russian economist on
Monday. (The station was shut down on Tuesday)
“We’ll go through the Iran phase,” Yevgeny S. Gontmakher of Moscow’s Higher School of Economics
responded, “but what happens after that is hard to say.”
and its allies and partners are retaliating is escalating to levels not expected by Russia. Unity among the
US, its allies and partners has resulted in strong sanctions that are having an immediate negative impact
on the Russian economy with more long-term impact yet to come. The severity of the sanctions was
realized immediately by the Russian President who responded with the ultimate threat—the order to
raise the nuclear alert level of his forces. One of the issues front and center on the US agenda is
whether to escalate the sanctions further to include direct sanctions on Russia’s energy sector.
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