Ase Study-The Russian Ruble Crisis and Its Aftermath
Review the Case Study on the Russian Ruble Crisis and Its Aftermath and respond to the following questions:
1. What were the causes of the surge in inflation in Russia during the early 1990s? Could this have been avoided? How?
2. What does the decline in the value of the ruble against the dollar between 1992 and 1998 teach you about the relationship between inflation rates and currency values?
3. During the mid-1990s the IMF wanted Russia to raise tax rates, close loopholes in the tax system, and cut public spending. Russia was unable to do this. Why?
4. In the early 2000s, Russia cut tax rates for individuals and corporations, and government tax revenues surged. Why? Does the result suggest that the IMF policy prescriptions were wrong?
Please start with a brief 1/2 page intro and finish with a brief 1/2 page conclusion. Please ensure proper APA format is used.