This article discusses the economic effects of a potential cut-off of the German economy from Russian energy imports. We show that the effects are likely to be substantial but manageable. In the short run, a stop of Russian energy imports would lead to a GDP decline in range between 0.5% and 3%...

Russia's invasion of Ukraine was a wake-up call for Europe regarding its unhealthy levels of dependence on the energy and metals fronts, and the associated threats this posed to its competitiveness. Meanwhile, the need to decarbonize the economy has become ever more pressing. Soon after the...