On Sanctionomics and the Externalities of Economic Sanctions

The issues related to the effects that arose as a result of economic sanctions against Russia due to the start and large-scale deployment of Russia’s war against Ukraine are analyzed in the paper. It is obvious that the scale of these economic sanctions actualizes the issue of studying their economic consequences both for the country that fell under the sanctions (i.e., Russia) and the countries that imposed these sanctions as well as other countries that did not fully or partially join these sanctions. The area of economics that studies these issues is proposed to be called sanctiononomics. Particular attention is paid to the study of the externalities of economic sanctions, which are exogenous in nature, in contrast to market externalities, which are qualified as endogenous. The negative and positive externalities of economic sanctions are considered and it is noted that the former are superior to the latter