“Russia is committing economic suicide with the war in Ukraine,” said the director of the German Economic Institute (IW) of the “Stuttgarter Zeitung” and the “Stuttgarter Nachrichten”. Russia is also being “politically degraded” and is not achieving its military goals.
According to Hüther, Russia is a “resource-based oligarch economy” with extreme corruption. The country will not find a replacement for the collapsing natural gas markets in the west in the short term because the necessary pipelines are lacking.
In fact, Germany will never buy gas from Russia again. The switch to liquefied natural gas from other countries is irreversible because the construction of the import infrastructure is so expensive, said Hüther.
underestimated democracies
The “organizational ability of liberal democracies” was “once again underestimated during the crisis,” said the economist. At the same time, he expressed the hope that a devastating record of the Russian war of aggression could herald the end of conventional wars.
From a “rational economic point of view” these can no longer be managed today. “Thinking positively, that could also mean: It is the last such war that will be waged.”
Source: Nachrichten
