Dzhamilya Nigmatulina assesses the impact of sanctions following the 2014 annexation of Crimea on Russian sanctioned firms. The capital, materials inputs, and revenue of sanctioned firms actually increased relative to non-sanctioned firms and to firms sanctioned at a later date. This can be explained by mitigating support from the Russian government through subsidies, government contracts, and loans. The effectiveness of current sanctions must be evaluated in the context of endogenous Russian support.

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19 November 2022

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Vox EU

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https://cepr.org/voxeu/columns/how-us-sanctions-increased-economic-activity-sanctioned-russian-firms

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