'Smart Sanctioning' Russian Oil and Gas
Following the Russian aggression against Ukraine, Western countries imposed major sanctions. However, Russia’s oil and gas exports remain an important lifeline, and at current energy prices these exports are generating an estimated US$1 billion per day. With the EU buying 75% of Russian gas exports and 50% of Russian oil exports, European governments are under increased pressure to scale up their energy sanctions. In this new research paper, Ricardo Hausmann, Ulrich Schetter, et al, explain why an import tariff, not an embargo, could be the most efficient way to sanction Russian energy.
Related: How to Eat Russia's Oil Lunch by R. Hausmann for Project Syndicate