2. Following Russia’s invasion of Ukraine, the European Union
adopted a number of sanctions in an attempt to immobilize the war
effort. These sanctions will have an impact on own economies of the
EU.
(1) What are these sanctions?
(2) How will they affect inflation in the EU? Real GDP?
Unemployment? Graphical and descriptive analyses are required.
(3) What fiscal and monetary policies will the EU have to
consider to get Europe go through this crisis?
(4) Do you think if the EU government can use a single policy to
simultaneously solve both inflation and unemployment problems?
Explain your answer.
2. Following Russia’s invasion of Ukraine, the European Union adopted a number of sanctions in an attempt to immobilize
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