Recently, the possibility of Crimea annexing into Russia has been a huge media frenzy. Now that Crimea has completed a referendum in favor of joining Russia, many people wonder how it will affect Russia's economy. The President Putin of Russia, believes that Crimea "...will replace Egypt as a tourist hotspot, its offshore oil and gas reserves will cement Russia's position as the world's top energy producer, and its spas will revive the state sector's weary workforce...". While others believe it will hurt the economy due to all the reparations that will have to occur to supply Crimea's electricity, food, and water. Over 85% of Crimea's electricity and over 90% of their food and water comes from Ukraine. It is very bad that Ukraine will be able to control Crimea instead of Russia even though Russia now has control over Crimea so that is why Russia needs to help supply the food and electricity.
Reuters. "Crimea Transition to Have 'Serious Impact' on Russian Economy | The Moscow Times." The Moscow Times.
The Moscow Times, 19 Mar. 2014. Web. 19 Mar. 2014. <http://www.themoscowtimes.com/business/article/crimea-transition-to-have-serious-impact-on-russian-economy/496405.html>.
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