|   | | | | SITE February 2025 Newsletter
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| | | | In this February edition of the SITE Newsletter, we reflect on key economic and political developments shaping Europe and beyond. As the war in Ukraine has now entered its third year, we examine why continued Western support remains crucial and review Sweden's contributions to Ukraine's defense. On the domestic front, we assess the impact of Sweden's gasoline tax cuts and their broader economic and environmental trade-offs. Meanwhile, we take a closer look at Russia's economy, questioning its perceived resilience. Finally, in this month's Editor's Choice, we explore how Poland's support for Ukrainian refugees over the past three years has influenced its political landscape.
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| THE WEST MUST STAY COMMITTED
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 | Photo: Anna Pasichnyk, Shutterstock
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| Ukraine's Fight Is Our Fight: Why The West Must Stay Committed
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| Western support for Ukraine is at a crossroads, and the stakes couldn't be higher. A new policy brief from the Stockholm Institute of Transition Economics (SITE), authored by Torbjörn Becker, Maria Perrotta Berlin, Anders Olofsgård, and Jesper Roine, argues that continued aid is not only a moral duty but also an economic necessity for Europe, emphasizing that the cost of allowing Russia to win would far exceed the price of sustained assistance.
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| NEW REPORT
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 | Image: Esfera, Shutterstock
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| | How Much Has Sweden Contributed To Ukraine's Defense? |
| A new SITE report explores Sweden's military and financial support in a global context, analyzing its impact on public finances and future security scenarios.
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| THE GAS TAX IN SWEDEN
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 | Photo: Designifty, Shutterstock
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| | Sweden's Gasoline Tax Cuts Make Driving Cheaper — But At What Cost? |
| Sweden has slashed gasoline taxes, making driving more affordable, but experts warn of long-term consequences. A new policy brief by Julius Andersson, researcher at SITE, examines how recent fuel tax cuts have lowered prices while increasing household vulnerability to oil price spikes and slowing the shift to electric vehicles.
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| RUSSIAN ECONOMY
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 | | Russia's Economy Isn't As Resilient As It Seems |
| At the conference hosted by the European Parliament Office in Stockholm on February 18, 2025, Torbjörn Becker, Director of SITE, presented his analysis of Russia's war economy.
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| | EDITOR'S CHOICE |
 | Photo: Kotelnikov Andrii, Shutterstock
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| | Three Years On: How Poland's Support For Ukrainian Refugees Is Shaping Politics |
| | By: Artur Król, Michal Myck & Monika Oczkowska (CenEA) |
| The Russian invasion of Ukraine in February 2022 sparked an unprecedented wave of solidarity among the Polish society and generous official support from the Polish government. Three years later, both the level of support and attitudes towards Ukrainian refugees in Poland continue to occupy headlines, raising questions about public policies, as well as economic and social impact. These questions will likely gain in prominence, as the electoral campaign ahead of this year's presidential election enters its crucial stages. This policy paper by researchers from the Centre for Economic Analysis (CenEA) explores these issues, challenging misleading claims and highlighting the importance of accurate data.
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| | | | FREE NETWORK POLICY BRIEFS | |
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 | | | | Could A Cashback System Make Congestion Pricing More Popular?
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| | | | Traffic jams waste time, pollute the air, and slow down cities, but most people still resist congestion pricing—the system of charging drivers for using busy roads. A new policy brief suggests that returning the toll money to drivers as public transport credits could make congestion pricing more acceptable. This policy brief examines surveys from Riga and Vienna, showing that a cashback mechanism increases public support for congestion pricing.
Photo: Daniel Avram, Shutterstock | |
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 | | | | Can Social Assistance Influence Election Outcomes? A Look At Georgia
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| | | | By: Giorgi Papava & Mariam Katsadze, ISET-PI
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| | | | Does government aid help people in need—or does it help politicians win votes? A new policy brief suggests that social assistance programs in Georgia may have played a role in shaping the 2024 parliamentary elections. This policy brief finds a significant link between an increase in welfare recipients and the vote share of the ruling Georgian Dream party, raising concerns about whether social assistance is being used as a political tool.
Photo: EvaL Miko, Shutterstock
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 | | | | Can Gender Diversity Drive Innovation In Post-Communist Economies?
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| | | | By: Natalja Apanasovich & Radzivon Marozau, BEROC | |
| | | | Diverse workplaces aren't just about fairness—they may also be a key to innovation. A new policy brief explores how gender diversity in business ownership and workforce composition influences firm innovation in post-communist economies. The study finds that diverse teams enhance problem-solving, technology adoption, and managerial practices, leading to more innovation.
Photo: XArtProduction, Shutterstock
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| | | | (Listed from oldest to most recent as of this month.) | |
| | | | "Expert: The tariffs may disadvantage Russia)" / "Expert: Tullarna kan missgynna Ryssland" (Dagens Industri) | |
| | | | "Russia is 1 year away from an economic collapse" / "Ryssland ett år från en ekonomisk kollaps" (EFN Ekonomikanalen) | |
| | | | "Energy security and the green transition" (ScienceDirect) | |
| | | | Feb 17 | Chloé Le Coq, Research Affiliate at SITE, published a research paper in ScienceDirect. Read the paper >> | |
| | | | "This is how Russia's economy could be affected by a peace agreement" / "Så kan Rysslands ekonomi påverkas av fredsavtal" (EFN Ekonomikanalen) | |
| | | | "The 'mineral agreement' between the US and Ukraine may soon be finalized" / ""Mineral-avtalet" mellan USA och Ukraina kan snart vara klart" (Sveriges Radio, P1 Morgon) | |
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| | | | March 5 | Roundtable Discussion: Integration and inclusion of Ukrainian displaced people in Sweden | |
| | | | SITE and the Stockholm School of Economics (SSE) in Riga will host a roundtable discussion on March 5, 2025, focusing on the integration and inclusion of displaced Ukrainians in Sweden. LEARN MORE >> | |
| | | | March 25 | SITE Seminar with Marta Lachowska | |
| | | | On Tuesday, March 25, Prof. Marta Lachowska, W.E. Upjohn Institute for Employment Research, will present their working paper at SSE and online via Zoom. MORE INFO TBA >> | |
| | | | June 9 | SITE Seminar with Georgy Egorov | |
| | | | On Monday, June 9, Prof. Georgy Egorov, North Western Kellogg, will present their working paper at SSE and online via Zoom. MORE INFO TBA >> | |
| | | | N/A | SITE 2025 Energy Day | |
| | | | N/A | SITE 2025 Development Day Conference | |
| | | | N/A | FREE Network Academic Conference | |
| | | | N/A | FREECE 2025 Workshop | |
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| | | | THANK YOU FOR READING
THIS MONTH'S NEWSLETTER
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Until then, see you in the next newsletter!
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