The Memory of the Future: The Second Edition of the Drama of 'the 1998 Crisis'

Abstract:     
"Hegel once said: history is repeating itself. He forgot to mention – the first time as a tragedy, and the second time – as a farce..." (C. Marx, The Eighteenth Brumaire of Louis Bonaparte).

We have forgotten everything and have learned no lessons. The Central Bank is doing this again. We are “stepping on the same rake” a second time. Just like in 1998, we have first pushed the economy into the economic crisis living though a recession, and only after that and under the pressure of the circumstances, are devaluating the ruble to
the extent required for restoration of production growth.

Keywords: Currency crises, Russia, 2008-09 recession, exchange rate

JEL Classification: F41, P24

Accepted Paper Series