Geopolitical Constraints on Development Policies of Small Countries

Abstract

Unlike competitive markets with theoretically infinite number of agents whose decisions merge into a large mass of other agents’ decisions, forming prices as allocation parameters controlled by no one, international arena is characterized by a limited number of discernible subjects whose decisions have system-wide impacts and turn out significant for policies of other agents. Policies pursued by any country concern not only the country in question but in?uence other countries and oftentimes significantly a?ect the degree and manner of reaching their policy objectives. Due to the limited number of acting entities the nexus of international interactions has a notable con?ict potential. Small countries are in a special situation due to their almost implied modest power implying further a significant number of independent agents whose interests have to be seriously taken into account in framing their own development and many other policies. Policies of various countries come out visibly interdependent so that other agents’ interests and actions uninterruptedly define wide enough set of constraints to be observed in formulating and implementing development policies of the country in question.

Particularly important are the large, economically developed and militarily powerful countries. Their aspirations have to be carefully observed and meticulously studied by the small and relatively weak countries. There might emerge, and in Serbian countries almost regularly emerges, a con?ict between highly valued national goals deeply rooted in history, popular myths and collective memory, on the one hand, and interests of the big powerful international players on the other. These are settings in which baleful strategic mistakes are occasionally made and in Serbian history the frequency of such mistakes was rather pronounced. There has been far above the optimum courage in Serbian history conspicuously exercised by both elites and popular masses. The consequences of such “determinations for the kingdom of heavens” are perilous and mistakes are dearly paid in terms of hundreds of thousands of lost lives and wasted chances for economic and general social development.

The paper ends with recommendation that the small countries endeavor to carefully fit into interests and policies of great powers, invest equally large e?orts into choosing the right allies and adjust pragmatically to their aspirations and, as the case might be, even to their orders. No matter how strange it may sound, bending ?exibly to the interests of the mighty may be the optimal strategy of pursuing the genuine national objectives. For, no matter how elevated and majestic they are, they dwindle to little value if they are blocked in the process of realization and the high-minded e?orts invested in their realization get ultimately frustrated.