Putin’s Steroids Take a Toll

Take a look Paul Krugman’s column on the rapid deterioration of the Russian economy. The drop in oil prices has of course played a central role in Russia’s woes. The sanctions regime stemming from the Ukraine crisis has played a major contributing role. What’s interesting though is Paul’s point that most countries would have a set of tools to grapple at least with the drop off in oil revenues. But Russian kleptocracy, ranging from oligarchs who stash their cash overseas to military adventurism in Ukraine and much more, have created a perfect storm for the Russian economy and put many or most of those tools off limits. Very interesting read.