While much has been written on why states disintegrate, we know little about the consequences of state breakup. Using data from the breakup of the Soviet Union, this column studies the short-run economic costs of its collapse. It demonstrates how political disintegration can lead to the dissolution of trade links, and to a correspondingly large fall in output. In the Soviet case, this mechanism helps to explain the disappointing performance of its successor states in the 1990s. The uncertainty surrounding secessions is an important driver of the fall in present output.
Related
-
Carsten Fink, Ernest Miguelez, Julio Raffo
Most Read
-
Calvano, Calzolari, Denicolò, Pastorello
-
Catillon, Cutler, Getzen
-
Eggertsson, Summers
-
Blundell, Preston
-
Schoenmaker
-
Eichengreen, O'Rourke
-
Eichengreen
-
De Grauwe, Ji
-
Heckman, LaFontaine
-
Krugman
Blogs&Reviews
-
Motta, Peitz
-
Mancini-Griffoli, Martinez Peria, Agur, Ari, Kiff, Popescu, Rochon, Jakab
-
Mody
-
Felbermayr, Fuest, Gersbach, Ritschl, Thum, Braml
-
Ambrocio, Hasan, Jokivuolle, Ristolainen
Vox eBooks
Don't Miss
Guzman, Ocampo, Stiglitz
Marongiu Buonaiuti, Vergara Caffarelli
Eggertsson, Summers
Events
-
15 - 15 March 2019 / London, Royal Society / UK Network of Environmental Economists (UKNEE)
-
28 - 29 March 2019 / European Central Bank, Frankfurt / European Central Bank and the University of Ohio
-
28 - 29 March 2019 / Paris / SUERF - The European Money and Finance Forum Banque de France (BDF)
-
1 - 3 April 2019 / Florence, Italy / Florence School of Banking and Finance, European University Institute
-
8 - 10 April 2019 / Florence, Italy / Florence School of Banking and Finance, European University Institute
CEPR Policy Research
-
Gobillon, Solignac
-
Giglio, Maggiori, Stroebel, Weber
-
Summers, Fatás
-
Favero, Galasso
-
Butt, Churm, McMahon, Morotz, Schanz
-
Eichengreen, Avgouleas, Poiares Maduro, Panizza, Portes, Weder di Mauro, Wyplosz, Zettelmeyer
-
Baldwin, Beck, Bénassy-Quéré, Blanchard, Corsetti, De Grauwe, den Haan, Giavazzi, Gros, Kalemli-Ozcan, Micossi, Papaioannou, Pesenti, Pissarides , Tabellini, Weder di Mauro
-
Baldwin, Nakatomi
-
Thimann
-
Goodhart, Perotti