Sanctions and Putin’s Russia: Economic Impact and Public Perception

Since the imposition of international sanctions, the ability of Putin to effectively rule Russia has been a topic of intense discussion. Initially, many observers believed that these sanctions would severely impact Putin's rule and the Russian economy. However, as we delve into the specifics of Putin's response and the current state of Russia, it becomes clear that the situation is much more nuanced.

The Resilience of Putin’s Regime

Notably, Putin's regime has found ways to circumvent these sanctions and has managed to strengthen its economy more than ever before. Despite the ongoing war and the pressure exerted by the sanctions, Putin continues to rule Russia with an iron hand. The conflict, which moves in favor of Russian victory, has not significantly damaged the Russian economy.

Interestingly, Putin's popularity appears to be at an all-time high. It seems that the Russian people understand that the sanctions were designed to undermine them. Putin's actions, far from destroying the nation, have led to a booming economy with minimal inflation. Consequently, what was intended to weaken Putin has instead solidified his hold on power.

Challenges Facing the Russian Population

Despite the positive economic data and Putin's rhetoric, a closer look at the Russian populace reveals a different picture. Unemployment rates are on the rise, and the value of the ruble has plummeted. The shortage of spare parts and difficulties for Russian soldiers in the war have raised concerns. Furthermore, the scarcity of essential medicines, particularly for those battling serious illnesses like cancer, poses a significant health risk to the population.

The economic challenges are not limited to Russia; they have spread to countries that initially imposed the sanctions. The European Union (EU) and NATO have inadvertently harmed their own economies through these measures. In the EU, recession has become a prevalent issue, leading to a higher cost of living, energy crises, job losses, and inflation. These economic repercussions are not a result of Russian actions but rather the consequences of the sanctions imposed on Russia.

In fact, the imposition of sanctions has not only affected Russia but has also had debilitating effects on the economies of the United States and the rest of the world. The Yale Study, a detailed analysis published in SSRN (SSRN-id4167193.pdf), provides further insight into the long-term economic aftershocks.

The Role of Western Investments

The withdrawal of Western investments has significantly set back the Russian economy by over 30 years. While Putin continues to fight against 30 countries alone, the collective efforts of the West have proven ineffective in curbing his influence.

It is important not to succumb to Russian propaganda on this issue. Economic data can be manipulated, and Putin has mastered the art of creating an illusion of a thriving economy. However, the reality remains that sanctions have created numerous challenges, and the Russian economy has suffered considerably.

Conclusion

In conclusion, while the immediate impacts of sanctions were expected to be devastating, Putin's strategic resilience and the current economic realities in Russia suggest a different narrative. The Russian population is experiencing economic hardships, and countries imposing sanctions are facing severe economic repercussions. As these challenges continue to unfold, it is crucial to base our analyses on detailed economic studies and avoid relying solely on propaganda.