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The conflict between Russia and Ukraine is affecting the global economy via thre

The conflict between Russia and Ukraine is affecting the global
economy via three main channels: financial sanctions, commodities prices, and
supply-chain disruptions. 
The war in Ukraine has a major impact on global inflation and
growth. EIU Viewpoint is a platform that provides unmatched global
insights on the political and economic aspects of nearly 200 countries. The
analysis and forecasts on this case study can also be found in EIU Viewpoint.
Information is available from the EIU
website and further research should be conducted for more comprehensive and
update data.   Some extra and helpful
sources are as follows:
https://www.eiu.com/n/campaigns/impact-of-war-on-g7-economies-russia-and-ukraine/
https://www.eiu.com/n/global-economic-implications-of-the-russia-ukraine-war/
Task:
Using
appropriate economic theory, outline the principles of micro-economics and
discuss how global trading
environment will be affected by the war between Russia and Ukraine.  Diagrams and graphs
containing relevant statistical data should be used where appropriate. 
You should
consider:
·        
Supply and
demand/Pricing mechanism (with diagrams)
·        
Supply-side
decisions
·        
Market structure
and Failure
·        
Social Costs of
Consumption/Production (with diagrams)
·        
The
law of comparative advantage
·        
Trade
restrictions
·        
Balance
of payment
·        
Circular
Flow of Income
·        
Multinationals
and FDI
Take care to present clear arguments that are supported by
economic theory and appropriate evidence from academic and other
sources.  The
application of economic theory to real world cases is designed for students to
improve communication, problem solving and decision-making skills.  Hence, theory employability skills are
expected. 
It is also
expected that your work should not be too descriptive but should focus on
critical and analytical discussion. 
Please note that any words included as part of a diagram
or table are not included in the word count.
The assessment guidelines
below offer guidance on marking criteria and outline expectations in this
module regarding word limit, referencing, submission format and consequences
for non-compliance. Submissions exceeding the word count by more than 10% will
be penalized. Claims without proper in-text citations and referencing will
result in automatic failure

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