In this USA Today video, some of the potential economic repercussions of unfolding events in Ukraine are examined.
Some relevant factors include Ukraine being a crossroads and energy hub between Russia and Europe, Ukraine’s status as a corn and wheat exporter, Ukrainian national debt, the ripple effects of sanctions between major global economies and the impact on oil and gasoline prices.
- Ukraine is an important energy hub between Russia and Europe, including with respect to energy infrastructure like natural gas pipelines; in addition to the fact that the supplies themselves are put to use by Europe, disruption in energy supplies also could impact energy prices
- Any sanctions between what are two top-10 global economies could have ripple effects
- Ukraine is a major wheat and corn exporter, disruptions of which could impact global prices; prices could even rise just based upon fears of disruption
- Ukraine’s government is in debt, already owing $13 billion this year
- Ukrainian already is causing oil prices to increase, along with gasoline prices “at the pump,” apparently given to the interconnectedness of global petroleum prices [and presumably Russia's status as a major oil producer]