In a global economy, the impacts of a war ripple through the global economy. Yes, there have been wars in the past 70 years, however, few have been at this scale, interrupted global trade at this level, or featured the economic warfare that sanctions represent.
Commodities such as oil, natural gas, wheat, neon (essential to semiconductor manufacturing), and nickel have been affected by the conflict at a time when Vermont industry is already reeling from the pandemic supply chain shocks. These effects pile on to the already massive inflation the economy has suffered from the last two years of supply chain interruptions and market shifts.
Vermont is a very rural state that is highly vehicle dependent, and while the state has many intentions to move to electric and more efficient vehicles, it’s not happened yet and heavier vehicles have not yet hit a level of market ubiquity. The most obvious impact to Vermonters is the pain at the pump.
Last week, Congressman Peter Welch called for the 18.4 cents per gallon gas tax to be suspended at the federal level; six democratic governors proposed this as a solution this week as well. The Governor rejected doing the same at the state level with Vermont’s 30.17 cents per gallon gas tax, citing the need for that revenue for transportation infrastructure.
Legislators moved quickly to send $644,826 in aid to Ukraine, plus a couple of thousand dollars the state has received from the sale of Russian alcohol, the sale of which the Governor banned. The state pension fund also liquidated about $6 million in Russian holdings this week.
Ed. note: Governor Phil Scott, legislative leaders, and others will hold a Freedom & Unity Vigil on the State House steps 6:30 pm Tuesday evening to show support for the people of Ukraine.
Following remarks, Governor Scott will sign into law H.717, An act relating to providing humanitarian assistance to the people of Ukraine.
Scheduled attendees include Governor Phil Scott, Congressman Peter Welch, House Speaker Jill Krowinski, Senate President Pro Tempore Becca Balint, Lt. Governor Molly Gray, Republican, Democratic, and independent lawmakers, members of the public and more.
Members of the public are encouraged to join and bring candles or lights.