According to Munich University Professor Frederick Haffner, we can combat the crisis using political means if political forces have the will. Along with other German and Ukrainian economists he took part in an international conference on Structural Policy as an Element of Market Transformation of Ukraine held under a project financed by Volkswagen Fund.
At The Day’s request, Prof. Haffner commented on statements by some Ukrainian politicians, who said Ukraine suffered from the economic crisis less than Russia, because it lagged behind in introducing economic reforms.
“I disagree,” he said. “Ukraine was in a worse economic situation compared to Russia before the crisis began. And the reason for this was that economic reforms were introduced more slowly than in Russia. The West believes that the Ukrainian economy depends greatly on the Russian. And if the more powerful Russian economy is in serious crisis, the Ukrainian economy will also suffer from the deep crisis. However, there are some things Ukraine can do to prevent it, such as, for example, continuing privatization, taking into account Russian mistakes.”
As to the help granted Ukraine and Russia, there are two viewpoints in the West. Hard-liners say Ukraine and Russia should be allowed to fall until they themselves begin the rise. Thus far compromises and weak decisions by the government (the Europeans put it delicately) minimize the effect of the aid granted.
“But,” Haffner underlined, “this approach is absolutely asocial. Europe is interested in granting aid to prevent the CIS countries from falling into economic chaos.”
One thing calls forth optimism: students of the Economics Department of Kyiv Shevchenko University took part in the conference. Perhaps within five or ten years these young people will launch structural policies as an element of market transformation in Ukraine.






