Continuing the war means the economy faces stagnation, while ending it would shut off the massive defense spending that's driven growth, Alexander Mertens writes.

Summary

Regardless of Putin’s decision regarding the war in Ukraine, Russia’s economy is facing a crisis due to factors such as sanctions, a shrinking sovereign wealth fund, and a labor shortage. The war has boosted growth, but Russia cannot sustain it without significant economic consequences.

  • neidu2@feddit.nlEnglish
    14·
    16 days ago

    They could have stopped at any time, but once their three day plan failed, putin decided to engage in a money-burning competition against a group of countries with a combined gdp roughly 25 times theirs…

    • Makeitstop@lemmy.worldEnglish
      27·
      17 days ago

      He’s not relying on Ukraine’s allies running out of money, he’s betting that they’ll lose interest and/or vote for pro-Russian stooges before he loses the ability to win the war.