IDEAS home Printed from https://ideas.repec.org/a/nea/journl/y2022i55p193-198.html
   My bibliography  Save this article

Political paradoxes of economic sanctions

Author

Listed:
  • Afontsev, S.

    (Primakov National Research Institute of World Economy and International Relations, Russian Academy of Sciences, Moscow, Russia)

Abstract

The article addresses political economy aspects of the policy of economic sanctions. Given the fact that decisions taken both in sender and target countries depend on the interaction of numerous groups of political and economic agents, sanction research can be productive only if their behavior is explicitly modelled given their objective functions and institutional context they face. It is shown that political economy approach can help resolve a number of paradoxes common in sanction research, i. e., paradoxes related to ineffi ciency of sanctions, pro-conflict reaction on sanctions by target countries, escalation of ineffi cient sanctions by sender countries, and retaliatory measures. Analysis shows that escalation of economic sanctions against the Russian Federation can not shift country's foreign policy in the direction preferred by sender countries. On the contrary, higher sanction costs for the Russian economy fuel domestic political support for current foreign policy decisions. Consequently, confl ict resolution should rely upon multilateral political dialogue rather than economic sanctions.

Suggested Citation

  • Afontsev, S., 2022. "Political paradoxes of economic sanctions," Journal of the New Economic Association, New Economic Association, vol. 55(3), pages 193-198.
  • Handle: RePEc:nea:journl:y:2022:i:55:p:193-198
    DOI: 10.31737/2221-2264-2022-55-3-10
    as

    Download full text from publisher

    File URL: http://www.econorus.org/repec/journl/2022-55-193-198r.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.31737/2221-2264-2022-55-3-10?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Pablo Fajgelbaum & Pinelopi Goldberg & Patrick Kennedy & Amit Khandelwal & Daria Taglioni, 2024. "The US-China Trade War and Global Reallocations," American Economic Review: Insights, American Economic Association, vol. 6(2), pages 295-312, June.
    2. Kaempfer, William H. & Lowenberg, Anton D., 2007. "The Political Economy of Economic Sanctions," Handbook of Defense Economics, in: Keith Hartley & Todd Sandler (ed.), Handbook of Defense Economics, edition 1, volume 2, chapter 27, pages 867-911, Elsevier.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. E. B. Lenchuk, 2023. "Technological Modernization as a Basis for the Anti-Sanctions Policy," Studies on Russian Economic Development, Springer, vol. 34(4), pages 464-472, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Eichengreen, Barry, 2023. "Globalization: Uncoupled or unhinged?," Journal of Policy Modeling, Elsevier, vol. 45(4), pages 685-692.
    2. Joshi, Sumit & Mahmud, Ahmed Saber, 2018. "Unilateral and multilateral sanctions: A network approach," Journal of Economic Behavior & Organization, Elsevier, vol. 145(C), pages 52-65.
    3. Felbermayr, Gabriel & Morgan, T. Clifton & Syropoulos, Constantinos & Yotov, Yoto V., 2021. "Understanding economic sanctions: Interdisciplinary perspectives on theory and evidence," European Economic Review, Elsevier, vol. 135(C).
    4. Lastauskas, Povilas & Proškutė, Aurelija & Žaldokas, Alminas, 2023. "How do firms adjust when trade stops?," Journal of Economic Behavior & Organization, Elsevier, vol. 216(C), pages 287-307.
    5. Christoph Albert & Paula Bustos & Jacopo Ponticelli, 2024. "The effects of climate change on labor and capital reallocation," Economics Working Papers 1887, Department of Economics and Business, Universitat Pompeu Fabra.
    6. Afesorgbor, Sylvanus Kwaku & Mahadevan, Renuka, 2016. "The Impact of Economic Sanctions on Income Inequality of Target States," World Development, Elsevier, vol. 83(C), pages 1-11.
    7. Onialisoa Mirana Rakotoarivelo & Hanitriniaina Sammy Gr´egoire Ravelonirina, 2019. "On the Dynamic of Country Development," Journal of Mathematics Research, Canadian Center of Science and Education, vol. 11(2), pages 1-19, April.
    8. Holger Breinlich & Elsa Leromain & Dennis Novy & Thomas Sampson, 2021. "Import liberalization as export destruction? Evidence from the United States," CEP Discussion Papers dp1779, Centre for Economic Performance, LSE.
    9. Felbermayr, Gabriel & Kirilakha, Aleksandra & Syropoulos, Constantinos & Yalcin, Erdal & Yotov, Yoto V., 2020. "The global sanctions data base," European Economic Review, Elsevier, vol. 129(C).
    10. Klomp, Jeroen, 2024. "Targeting profits: The economic impact of arms embargoes on defense companies," Journal of Policy Modeling, Elsevier, vol. 46(2), pages 391-416.
    11. William Seitz & Alberto Zazzaro, 2020. "Sanctions and public opinion: The case of the Russia-Ukraine gas disputes," The Review of International Organizations, Springer, vol. 15(4), pages 817-843, October.
    12. Matthias Efing & Stefan Goldbach & Volker Nitsch & Manju Puri, 2023. "Freeze! Financial Sanctions and Bank Responses," The Review of Financial Studies, Society for Financial Studies, vol. 36(11), pages 4417-4459.
    13. Oechslin, Manuel, 2014. "Targeting autocrats: Economic sanctions and regime change," European Journal of Political Economy, Elsevier, vol. 36(C), pages 24-40.
    14. Tibor Besedeš & Stefan Goldbach & Volker Nitsch, 2018. "Cheap Talk? Financial Sanctions and Non-Financial Activity," CESifo Working Paper Series 7069, CESifo.
    15. Mirkina, Irina, 2018. "FDI and sanctions: An empirical analysis of short- and long-run effects," European Journal of Political Economy, Elsevier, vol. 54(C), pages 198-225.
    16. CARAMAN Cristian, MAHA Liviu-George, 2020. "The Short-Term Effects Of Economic Sanctions On Trade Activity. Case Study: Moldova'S Exports Of Wine," Revista Economica, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 72(1), pages 37-45, April.
    17. Brzoska Michael, 2008. "Measuring the Effectiveness of Arms Embargoes," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 14(2), pages 1-34, July.
    18. Ankudinov, Andrei & Ibragimov, Rustam & Lebedev, Oleg, 2017. "Sanctions and the Russian stock market," Research in International Business and Finance, Elsevier, vol. 40(C), pages 150-162.
    19. Tibor Besedeš & Stefan Goldbach & Volker Nitsch, 2017. "You’re banned! The effect of sanctions on German cross-border financial flows," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 32(90), pages 263-318.
    20. Philippe Delacote, 2009. "Boycotting a dictatorship: who does it really hurt?," Economics Bulletin, AccessEcon, vol. 29(3), pages 1856-1862.

    More about this item

    Keywords

    economic sanctions; political economy; Russia; economic interests; political interests; world politics;
    All these keywords.

    JEL classification:

    • F51 - International Economics - - International Relations, National Security, and International Political Economy - - - International Conflicts; Negotiations; Sanctions
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State
    • P26 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Property Rights

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nea:journl:y:2022:i:55:p:193-198. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alexey Tcharykov (email available below). General contact details of provider: https://edirc.repec.org/data/nearuea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.