Post
Topic
Board Economics
Merits 2 from 2 users
Re: What economic sanctions will US impose on Russia
by
stompix
on 19/02/2022, 22:48:39 UTC
⭐ Merited by DrBeer (1) ,PrivacyG (1)
So I'm wondering what kind of unprecedented economic sanction can be given to Russia if they continue to evade Ukraine.

There is a huge difference in what can and what is going to be done.
Most likely they will stick with technology access and investment and financial sanctions as well as probably a ban on some categories of goods for good.

Not much on paper but I will have to remind everyone, especially the guys that we're cheering how Huawei will piss on US sanctions that the king of 5G is selling his flagship smartphones without 5G as they are cut from that technology, and these are sanctions on a company, not a country.

I already know what people are going to say, but Russia will seek other trade partners, bla bla bla, they will replace the western trades with somebody else.
Yeah, they might try but the success will be limited, and it's simply because of the sizes of the economy, Russia if it will cut completely western trades they must import from other places, it's a 120 billion market which might sound tempting till you realize that just 3 countries like Thailand, Malezis and Brazil export that much to the US alone, not counting the EU. Will these risk throwing away 112 billion in exports in order to battle for a piece of a pie that is just 120 billion (for now as the ruble will most likely lose more value) in total? No.

So, with who are you going to trade, a block of countries with 28 trillion in GDP or a country with the economy size of the Netherlands alone?
The answer is pretty clear.