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> This is common wisdom but I wonder how true it is Anyone ignoring the effects of the Russian invasion of Ukraine is missing a big part of the picture IMHO. T
by sofixa 4y ago
> This is common wisdom but I wonder how true it is
Anyone ignoring the effects of the Russian invasion of Ukraine is missing a big part of the picture IMHO. That's the main driver behind higher food and fuel prices (there's shortages of them in some places, which drives prices up and worries markets even in places which aren't impacted - e.g. Indonesia banned the export of palm oil due to rising oils prices at home due to the lack of sunflower and similar oils normally exported from Ukraine and Russia). Then add in the supply chain issues due to the pandemic and the war (a big chunk of the world's heavy duty air cargo aircraft are out of commission), and why are people focusing only on the money supply?
- deleted 4y ago[deleted]
- cykros 4y agoLet's be fully clear about this; while Russia's invasion has some direct effects, the bulk of the economic effects are from the response to its invasion, primarily in the form of sanctions on fuel and petroleum derived fertilizers, rather than following as an immediate effect caused by Russia's actions. The matter of whether or not the response is justified is another matter, but to clearly understand the economic situation it must be recognized that a choice was made regarding a response, and that choice is what has left us with these repercussions.
- sofixa 4y agoIsn't the Russian blockade of Ukrainian exports of foodstuffs of a much higher impact? Are there even sanctions on "sanctions on fuel and petroleum derived fertilizers"? I was under the impression that nothing food related was sanctioned.
- WastingMyTime89 4y agoRussia is not really blocking exports. Each side accuses the other of being responsible. Ukraine put mines around deep water ports but say they can’t be removed because Russia would then use its fleet. As with every war, nothing is as simple as it seems in Ukraine.