Economic impacts of russian imperialism
November 12 2014 Russians have been spotted moving into Ukraine in columns. It is no surprise that russia is threatened by the existence of the European union, Russia knows they cannot stand up to the combined might of Europe. This can be seen as the economic sanctions imposed on Russia by the EU have forced russia to reconsider the trade offs and move onto Syria. The russians under all costs did not want Ukraine to become closer to the EU as it would allow another post soviet country more success than they have experienced, as well as encircle russia and empower their enemies.
Today Many people question why russia is in the middle east and what their motives there are. To answer this question we must analyze their overarching goal which is to turn their own people away from their domestic problems and give them a sense of pride that russia is still a force to be reckoned with on the global stage. Officially Russia is aiding the Assad regime because during the cold war Syria and russia were allies. This is also coupled with the fact that russia is just as vulnerable from terrorist attacks as France is. Unofficially from an economics perspective If Russia is able to stabilize syria they would be able to seal a lucrative energy contract worth $1.6 billion(CNBC). This can be seen as russia having an absolute advantage in military and Syria having a comparative advantage in natural gas and crude oil. The war in Syria is also considered by Russian military advisors as a war in which they would receive no consequences, and hopefully distract the global attention off of ukraine(CNBC).
While Russia's intentions may seem noble Their involvement in the Middle East is not to help kill terrorists, but rather to to forward their own goals of Annexing Ukraine and Crimea. This whole thing is about lowering the opportunity cost of annexing Ukraine. The best scenario for russia would be to have America and the EU help Russia on a crusade to crush ISIS. This would help rebuild fractured relations with the US and Europe and make them less suspicion with what is happening in Crimea. This way russia hopes to find away around receiving another round of UN sanctions.
Russians remember well the recent sanctions imposed by the EU. These sanctions include; freezing investments and assets, refusing to buy russian oil and natural gas, refusing to trade certain foods, EU companies can no longer buy bonds issued by the russian government, an embargo on imports and exports through Crimea, refusing to sell military equipment, ect (eropa.eu). All of these sanctions caused the Supply demanded to dwindle and the Quantity demanded to increase, this made prices of many Goods to increase as well as the sales of alternative items to increase as well. Russia hopes to prove to their citizens that they are still powerful as well as prevent more of these economic sanctions. By aiding the Assad regime Russia completes all of it’s goals as well as set a trap for the West. All We need to do now is stay out of the middle east and try to see through russia’s trapps.
"The Real Reason Russia Is 'Helping' Syria." Time. Time. Web. 12 Jan. 2016.
"What Has Russia Got Invested in Syria?" CNBC. 2015. Web. 12 Jan. 2016.
"EU Sanctions against Russia over Ukraine Crisis." EUROPA. Web. 12 Jan. 2016.
"Pakistan Today." Pakistan Today. Web. 12 Jan. 2016.
"Turkey Blames ISIL for Bomb in Istanbul’s Tourist Heart." RSS. Web. 12 Jan. 2016.
"Breaking News, U.S., World, Business, Entertainment & Video." CBSNews. CBS Interactive. Web. 12 Jan. 2016.
"KyivPost." KyivPost. Web. 12 Jan. 2016.