Degradation and Nationalization: The Inevitable Ways of Russian Autocratic Economic Policy

Source: Ludwig von Mises Institute
by Paul Tolmachev

“As Russian political scientist Gleb Pavlovsky has quite rightly said, one should not consider the five-thousand-plus sanctions imposed against the Russian Federation as of this writing as sanctions in the normal diplomatic and economic sense. They are a conditional ‘second front,’ a blow aimed at dismantling the Russian economy, the Russian social structure, and the institutional framework in response to the corresponding actions of the Russian authorities, with the West’s clearly stated position not to mirror such actions. To put it simply, it is a way to bring the costs of the current Russian policy to such a level that any benefits for the people who make political decisions drawn up in their imaginations would become absolutely insignificant and ephemeral in comparison with the huge and real costs in all areas and of all possible types.” (06/08/22)