Sanctions on Russia could impact Americans at home
Thu, 20 Mar 2014 03:55:54 GMT —
Tensions are high after Russia announced steps to take over the Crimean Peninsula from the Ukraine.
Vice President Joe Biden is calling it a "blatant disregard for international law."
Monday, President Obama and the European Union placed sanctions several Russia and Crimea officials.
While it this crisis may be taking place halfway across the world, UTPA Professor Dr. Penelope Adair said this international struggle will have an impact on Americans living here in the U.S.
The tension between the U.S and Russia is continuing to grow especially after President Vladimir Putin sent troops to Crimea, which Obama stated was a clear violation of Ukrainian constitutions and international law and will not be recognized by the international community.
"Any international incident impacts us. It doesn TMt even have to involve us very much," said UTPA Professor Dr. Penelope Adair.
She said doesn't believe this will escalate to war, but she tells Action 4 the newly placed sanctions on the Russia and Crimea officials will have a widespread economic impact.
"It's not like the old Soviet Union where they had their separate economy and we had our separate economy. It's now so intermixed," said Dr. Adair.
She said people get nervous in times like these and we begin to see it impacting the stock market and companies that have ties overseas like Texas based corporation, Exxon Mobil, which has a multimillion dollar contract in Russia.
"If the sanctions start going against businesses that deal with Russia, then, they'll have to stop temporarily and halt that contract and it will hurt their bottom line," explained Dr. Adair.
If that happens, we could see higher prices at the pump.While Dr. Adair hopes that won TMt happen, she believes more sanctions are to come.
"Because it's tit for tat. We put on sanctions, they put on sanctions, so it kind of escalates and you're never quite sure where it will end," she said.
That is the question lingering on the minds of many people.
However, President Obama did warn that more sanctions could be placed on Russia if they continue to move forward violating the sovereignty of the Ukraine.
The White House announced that Obama has invited leaders of the G7 industrial powers to meet next week in the Netherlands to discuss the Ukraine crisis.