| In the section | From the Chief Editor |
| Title of the article | The World Economy: The Perfect Storm |
| Pages | 7-37 |
| Author |
Pavel Aleksandrovich Minakir Academician RAS, Doctor of Economics, Professor, Research Supervisor Economic Research Institute FEB RAS 153 Tikhookeanskaya St., Khabarovsk, 680042, Russian Federation This email address is being protected from spambots. You need JavaScript enabled to view it. ORCID: 0000-0002-5451-5662 |
| Abstract | The article shows that economic sanctions that have been tested for a long period of time as an instrument to demonstrate the dominance of the dollar-centered world economic system, with the beginning of the Ukrainian crisis finally took shape as a new regulatory institution of global political and economic rules. The reasons led to negative shocks in global economic and financial system have been analyzed. It is demonstrated that underestimation of influence on short-term and long-term conditions of global equilibrium of the isolation of a large national economy (Russia), which has an oligopoly in a number of world commodity markets, causes a chain reaction of distortion of commodity stocks balance and fragmentation of the world commodity market itself. It is suggested that an abstract concern over defragmentation of the seemingly unshakable global monetary financial architecture started generating not yet very clear, but getting increasingly more specific and spatially diverse block frameworks, leading in the medium term to regionalization of global monetary financial system as far as settlement of payments and debt financial market are concerned, and to reformatting of the entire system of global finance and money, including the function of measure of value, in the long term. The article discusses the impact of the forced restrictions in global rules and guarantees for functioning of global market and global money as the institution to serve it, blocked access to this system for individual national economies on short-term and long-term modifications of conditions and mechanisms of performance of global economic financial system |
| Code | 339 |
| JEL | F33, F51, F63 |
| DOI | https://dx.doi.org/10.14530/se.2022.2.007-037 |
| Keywords | global financial system ♦ economic sanctions ♦ recession ♦ equilibrium ♦ USA ♦ Russia |
| Download | |
| For citation | Minakir P.A. The World Economy: The Perfect Storm. Prostranstvennaya Ekonomika = Spatial Economics, 2022, vol. 18, no. 2, pp. 7–37. https://dx.doi.org/10.14530/se.2022.2.007-037 (In Russian) |
| References | 1. Collapse or Renaissance. Is the Global Economy in for a Deep Crisis. Agentstvo Ekonomicheskoy Informatsii = Business News Agency, 2022, 16 May. Available at: (accessed May 2022). (In Russian). 2. Degotkova I. Experts Suggested that Russia Create a New Payment Unit. RBK [RBC], 2022, 30 March. Available at: (accessed April 2022). (In Russian). 3. Demchenko N. The IMF Announced the Risk of Weakening the Dollar’s Position Due to Sanctions. RBK [RBC], 2022, 31 March. Available at: (accessed April 2022). (In Russian). 4. Dolzhenkov A., Obukhova E. The Ruble is Going to Ram. Ekspert [Expert], 2022, 27 March. Available at: (accessed April 2022). (In Russian). 5. Erozbek D. The Central Bank will Begin Testing the Digital Ruble in April 2023. Kommersant [Businessman], 2022, 25 May. Available at: (accessed May 2022). (In Russian). 6. Executive Order on Prohibiting Certain Imports, Exports, and New Investment with Respect to Continued Russian Federation Aggression. The White House, 2022. 11 March. Available at: (accessed April 2022). 7. Golyashev A., Grigorev L.,Kudrin A., Kolomiets A., Nekrash A., Fedorenko D., Fedorenko S. New Diversification in the Gas Markets. Energy Trends. Analytical Center for the Government of the Russian Federation, 2022, vol. 107, 16 p. (In Russian). 8. Hu Weijia. Unilateral Sanctions Add to Evidence that it’s no Longer Safe to Hold Assets in US. Global Times, 2022, 20 May. Available at: (accessed May 2022). 9. James H. International Monetary Cooperation Since Bretton Woods. IMF. New York: Oxford University Press, 1996, 742 p. 10. Koroleva A. A New Benchmark for Gas. Ekspert [Expert], 2022, 24 March. Available at: (accessed March 2022). (In Russian). 11. Mashenskikh D. Special Economic Operation. Ekspert [Expert], 2022, 25 March. Avai-lable at: (accessed March 2022). (In Russian). 12. Medvedev Predicted Economic Collapse due to Anti-Russian Sanctions. Agentstvo Ekonomicheskoy Informatsii = Business News Agency, 2022, 13 May. Available at: (accessed May 2022). (In Russian). 13. Minakir P.A. Evolution and Revolution: Lessons of a Century-Long Experiment. Prostranstvennaya Ekonomika = Spatial Economics, 2017, no. 4, pp. 9–22. https://dx.doi.org/10.14530/se.2017.4.009-022 (In Russian). 14. Minakir P.A. Is the Сrisis Economic or Institutional? Kondratevskie Volny = Kondratieff Waves, 2018, no. 6, pp. 219–229. (In Russian). 15. Minakir P.A., Izotov D.A. World Money in Time and Space: A Blow to the Dollar or a Blow by the Dollar? Prostranstvennaya Ekonomika = Spatial Economics, 2022, vol. 18, no. 1, pp. 7–33. https://dx.doi.org/10.14530/se.2022.1.007-033 (In Russian). 16. O’Neil D. Another Global Recession? Project Syndicate, 2022, 17 May. Available at: (accessed May 2022). (In Russian). 17. Ogorodnikov E. Crayfish on the Mountain Top Whistled, and the Financial Authorities of Russia Heard It. Ekspert [Expert], 8 May. Available at: (accessed May 2022). (In Russian). 18. Pimenova M. Kovalik, a Lecturer at the University of Pittsburgh: US Sanctions are Destroying the Role of the Dollar. Obshchestvennaya Sluzhba Novostey [Public News Service], 2022, 2 April. Available at: (accessed April 2022). (In Russian). 19. Pop V., Fleming S., Politi J. Weaponisation of Finance: How the West Unleashed ‘Shock and Awe’ on Russia. Financial Times, 2022, 6 April. Available at: (accessed April 2022). 20. Putin Spoke about the ‘Short-Sighted’ Sanctions of the West. Agentstvo Ekonomicheskoy Informatsii = Business News Agency, 2022, 12 May. Available at: (accessed May 2022). (In Russian). 21. Rising Caseloads, a Disrupted Recovery, and Higher Inflation. World Economic Outlook, 2022, January. Available at: (accessed May 2022). 22. Strumpf D. Chinese Tech-Giants Quietly Stop Doing Business with Russia. The Wall Street Journal, 2022, 6 May. Available at: (accessed May 2022). 23. Tkachev I. The Central Bank Gave the First Official Forecast on the Depth of the Recession. RBK [RBC], 2022, 29 April. Available at: (accessed May 2022). (In Russian). 24. U.S. Treasury Announces Unprecedented & Expansive Sanctions Against Russia, Imposing Swift and Severe Economic Costs. U.S. Department of the Treasury, 2022, 24 February. Available at: (accessed April 2022). 25. U.S. Treasury Imposes Immediate Economic Costs in Response to Actions in the Donetsk and Luhansk Regions. U.S. Department of the Treasury, 2022, 22 February. Available at: (accessed April 2022). 26. United States, G7 and EU Impose Severe and Immediate Costs on Russia. The White House, 2022. 6 Aprill. Available at: (accessed April 2022). 27. War Sets Back the Global Recovery. World Economic Outlook, 2022, April. Available at: (accessed May 2022). 28. Wigglesworth R., Ivanova P., Smith C. Financial Warfare: Will there be a Backlash Against the Dollar? Financial Times, 2022, 7 April. Available at: (accessed April 2022). |
| Submitted | 27.05.2022 |
| Approved after reviewing | 30.05.2022 |
| Accepted for publication | 06.06.2022 |
| Available online | 30.06.2022 |