WACO, Texas (FOX 44) – Texas A&M Professor Dr. Raymond Robertson focuses on international economics. He shares with us how the Ukrainian-Russian war impacts the global economy.
“Global economy is very connected and interconnected right now. And so what sanctions do is they restrict the amount of goods and services that other countries can import,” says Raymond Robertson, Professor, Texas A&M University Bush School of Government & Public Service. Director, Mosbacher Institute for Trade, Economics, and Public Policy.
We’re seeing prices on fuel and food go up. Back in February we saw gas prices and inflation at its highest mark.
“So that with the conflict and the war that we’re seeing, that’s keeping farmers from planting and it’s keeping other crops from being harvested, which means that food markets are also going to be very significantly affected,” says Robertson.
Robertson says the global trade system has been disrupted by the Ukrainian war, with neighboring countries also seeing a financial hit.
“And that’s been interrupting both of their economies. One of the things most people don’t talk about is how dependent developing countries, Egypt and other countries are really dependent on that Russian- Ukrainian wheat,” says Robertson.
With the U.S banning Russian oil imports, Robertson says it can lead to other issues in Europe.
“They have these shortages. We’re not only going to see disruptions in the economy, but I think we’re also expecting very significant increases in hunger and famine in the not too distant future,” says Robertson.
And whether or not things will change in the near future.
“So that even if the war were to resolve itself, we would expect the economic ramifications to last. Well, throughout the rest of this year,” says Robertson.