Fewer Bentleys cruise the streets of Moscow these days, sushi sales are down, and construction on Europe's tallest tower has halted for lack of money. For fashionistas at the opening of the 18th annual Russian Fashion Week on Sunday, the most potent sign of the times was the sight of people wearing last year's styles. "Even the very rich aren't just going out and buying anymore," says Tatyana Ageyeva, a buyer who has worked for élite labels like Kenzo and ...

Muscovites have a new way of greeting each other these days: "How's the crisis?" It's a rare person who gives a positive reply. The global economic meltdown is flattening Russia. In the first week of February alone, some 72,000 jobs vanished, according to Deputy Prime Minister Alexander Zhukov. Some government agencies predict that the number of unemployed may reach 2.8 million by the end of this year, up from 1.5 million at the end of 2008. The ruble has ...