IDEAS home Printed from https://ideas.repec.org/p/wii/rusmon/6.html
   My bibliography  Save this paper

Are Western Trade Sanctions Effective?

Author

Listed:
  • Vasily Astrov

    (The Vienna Institute for International Economic Studies, wiiw)

  • Lisa Scheckenhofer
  • Camille Semelet
  • Feodora Teti

Abstract

Recent high-frequency data suggest a further strengthening of growth momentum, driven by the ongoing tightness of the labour market and the muted response of credit expansion to last year’s monetary policy tightening. At the same time, the short- and medium-term fiscal outlook has brightened – despite increased military and social spending. On the external front, imports picked up at the end of 2023, but have suffered more recently due to increased payment difficulties – a result of renewed US pressure on banks from third countries dealing with Russia. The effectiveness of trade sanctions crucially hinges on the degree to which missing high-quality Western goods can be replaced with lower-quality products from third countries. Our calculations suggest that in 2023, the share of sanctioned CHP items that Russia was able to obtain ranged from 60% to 170% of the 2021 level, depending on underlying assumptions regarding the extent of the deterioration in quality.

Suggested Citation

  • Vasily Astrov & Lisa Scheckenhofer & Camille Semelet & Feodora Teti, 2024. "Are Western Trade Sanctions Effective?," Russia Monitor 6, The Vienna Institute for International Economic Studies, wiiw.
    • Handle: RePEc:wii:rusmon:6
    as

    Download full text from publisher

    File URL: https://wiiw.ac.at/are-western-trade-sanctions-effective-dlp-6981.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    economic growth; fiscal situation; foreign trade; sanctions; unit value ratios;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F51 - International Economics - - International Relations, National Security, and International Political Economy - - - International Conflicts; Negotiations; Sanctions
    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H62 - Public Economics - - National Budget, Deficit, and Debt - - - Deficit; Surplus
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:wii:rusmon:6. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Customer service (email available below). General contact details of provider: https://edirc.repec.org/data/wiiwwat.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.