Sometimes, transformation requires a crisis. Economists in particular are very well aware of this maxim. We are reminded of it every time a country undergoes an economic shock. A country in those times is a bit like a patient who gets the last warning from a doctor to drop the unhealthy habits or face irreversible consequences. One of these scenarios has been unfolding in front of our eyes during the past year. Georgia’s neighbor and one of the largest trading partners, Azerbaijan, has been going through tough times. THE UNFOLDING OF A CRISIS In the last...

International crude oil prices, which have hovered at $110 per barrel for the last three and a half years, started a sudden and abrupt downfall in August 2014, reaching a $50 per barrel mark in just five months. More than a year after the event, it looks like the oil price of $50 per barrel is here to stay, at least for the foreseeable future. BLAME THE TECHNOLOGY The primary reason behind the drop was undoubtedly the technological advances in shale oil and gas extraction in the United States – a boom so big, that the US is now poised to become a net ene...