Counter sanctions and well-being population of Russia: econometric analyses

This article examines the impact of counter-sanctions on the welfare of Russia’s population. We build a multiple-choice model and calculate the probability of being in a particular group of well-being based on the price (cost) of consumed counter-sanctions goods. The next step is the construction of a structural demand-supply system for estimating similar domestic good’s production elasticities. By knowing elasticity estimates we determine the price response to particular import closure. According to our estimates Russia's counter-sanctions led to an increase in poverty by 2.64 %.