Vol 69, No 6 (2025)
The world at the beginning of the millennium
India and China: Economic-Demographic Development in a Global Context
Abstract
Article seeks to inscribe some empirical evidences, based on an analysis of economic- demographic development of modern China and India, into the long-term theoretical debate on the unity and diversity of modernization processes. Both modern India and China have successfully converted their enormous demographic might into political and economic power. In both, increasing domestic consumption, driven by the rapid economic growth and huge population, help to balance the internal and export-oriented sectors of economy. On the other hand, economic-demographic development of both China and India are unique in many ways. China’s sweeping emergence as a world factory, and multimillion rural-to-urban migration could scarcely be replicated by other developing countries to solve the problems of employment. Unlike China, in India, with its specific political institutions and deeply ground rooted family patriarchy, the quantitative changes turned into qualitative ones more slowly and smoothly. Nevertheless, in India the share ofwomen working outside the households rapidly increased for the last years, platform job boards contributed to modernizing of informal sector, and GDP growth rate became faster than in China. Modern economic-demographic development of both India and China are in a good agreement with multiple modernities and path dependence theories’ reflections on interweaving of unique and universal in global transformations. While the West, as Huntington argued, is unique, China, India, or Russia are unique not in the less degree. Uniqueness’ thesis warns against mechanical replication or imposing of alien patterns but should not prevent from seeing of common in the world development.
World esonomy and international relations. 2025;69(6):5-15
5-15
Mega-Regional Trade Agreements in the Context of Conflicting Strategies for Global Leadership between the United States and China
Abstract
This article examines the evolving role of mega-regional trade agreements (MRTAs) in the context of rising geoeconomic tensions between the United States and China. As economic rivalry between the two powers intensified in the late 2010s, trade and investment policies became central tools for exerting influence on the global stage. The study explores the strategic motivations behind the United States’ push for MRTAs, such as the Indo-Pacific Economic Framework for Prosperity (IPEF) and contrasts them with China’s leadership in agreements. The analysis delves into the economic, political, and security drivers that have shaped these competing trade blocs, emphasizing how both countries seek to bolster their regional influence while countering each other’s economic reach. The United States has framed MRTAs as a means to strengthen economic cooperation with allies and partners, reduce dependence on China, and establish high-standard trade rules. Meanwhile, China has leveraged Regional Comprehensive Economic Partnership (RCEP) to consolidate its economic leadership in the Asia-Pacific by fostering deeper regional integration. The article assesses the sustainability and effectiveness of these trade agreements within an increasingly politicized global economic environment. While MRTAs promise economic benefits such as trade facilitation and supply chain resilience, they also face significant challenges, including differing regulatory frameworks, political uncertainties, and the risk of fragmentation in global trade governance. As economic policies become increasingly intertwined with geopolitical rivalries, the success of these initiatives will depend on the ability of participating nations to balance strategic competition with the economic imperatives of regional cooperation. The study provides an understanding of how MRTAs function not only as economic instruments but also as geopolitical tools, shaping the broader contours of international economic order in an era of great-power competition.
World esonomy and international relations. 2025;69(6):16-25
16-25
Economics, economic theory
Regional Agglomeration Effects in the Innovation Development of European Countries
Abstract
Abstract. In the context of globalization and accelerating digitalization, companies’ patent activity has become a key factor in regional economic growth. This paper examines the impact of spatial concentration and interaction effects, as well as government support, on the number of patents filed by technological companies in European regions. The key differences among Marshall, Jacobs, and MAR (Marshall-Arrow-Romer) effects are analyzed in terms of specialization or concentration, types of interactions, and assessment tools. An econometric analysis was conducted using statistical data from 124 regions for the period 2017-2022. The results demonstrate that a significant share of industrial companies exhibit a high level of technological intensity. The COVID-19 pandemic negatively affected the resilience of European industries, leading to disruptions in supply chains and shortages of goods and components. Nonetheless, industries with high innovation intensity experienced faster growth rates. For most European countries, moderate growth in the number of patent applications was observed, reflecting a general interest in innovation. However, large economies such as Germany, Switzerland, and France continue to dominate, while smaller countries display either rapid growth or unstable trends. Agglomeration processes in regions have a positive impact on companies’ patent activity. The relationship between these two indicators strengthened during the 2017-2022 period, driven by the creation of favorable environments for innovation and knowledge exchange. In regions where enterprises, research institutions, and skilled labor are concentrated, interactions among companies, universities, and research centers intensify, accelerating the diffusion of ideas and technologies. An increase in the Herfindahl-Hirschman Index, which measures market concentration, leads to a decrease in the number of patent applications in European regions. This can be technically explained by the predominance of large and medium-sized companies in the sample, which are the primary filers of patent applications. However, such growth in market concentration may also reduce competition and resource availability for new entrants, as well as diminish incentives to develop new technologies. Addressing this issue requires fostering competition, creating equal opportunities for startups and small businesses, and incentivizing investment in research activities. Government support has a positive effect on patent activity. The scientific novelty of this study lies in identifying spatial and institutional factors that contribute to enhancing the innovation potential of European regions. The practical significance of the research lies in its potential application for developing policy recommendations aimed at stimulating regional innovation activities.
World esonomy and international relations. 2025;69(6):26-37
26-37
Europe: new realitie
The European Union and Crisis of Arms Control
Abstract
The origins of the European Union’s modern nuclear non-proliferation policy date back to the creation of Euratom in the late 1950s, as well as its accession to the most important international treaties in this area. However, the EU gained a genuine role in the policy of non-proliferation of weapons of mass destruction and arms control after the signing of the Treaty on the European Union (TEU), which endowed it with legal personality and determined the future trajectory of development. Undoubtedly, a certain reference point was the adoption by the EU of its Strategy against the Proliferation ofWeapons of Mass Destruction (WMD) in 2003, which confirmed the European Union’s place among the main international organizations. The presented article analyzes the role of the EU in international policy in the field of nuclear non-proliferation, arms control and disarmament, as well as the most pressing problems limiting this role. It seems that Brussels is ready to resist the disintegration of the international system of non-proliferation and arms control, supporting the work of existing international institutions organizationally and financially. At the same time, it should be recognized that the European Union’s ability to play a more prominent role in arms control is currently limited. Firstly, the EU is unable to overcome even the internal fragmentation between its member states, which have different “nuclear formats”. One of the reasons for the existing fragmentation of the European Union is the cross-membership of a number of countries in the EU and NATO, which reflects the dichotomy in their identity and creates problems for developing a unified line of the Union’s behavior. This is most clearly evident in the attitude of the EU countries towards the Treaty on the Prohibition of Nuclear Weapons. Secondly, apart from stating the threat of WMD proliferation and the alarming arms control situation in the Strategic Compass, the European Union does not have a clear conceptual understanding and plan for overcoming this situation. Perhaps the development of the strategic autonomy of the eU can strengthen internal unity and trigger a more active and independent role in the field of arms control.
World esonomy and international relations. 2025;69(6):38-47
38-47
The Factor of Political Leadership in the EU Foreign Policy Strategy
Abstract
The author analyzes the concept of leaderisation, proposed by European scholars who borrowed it from theories of political communication. Initially, this theory was applied to the conditions of the new communication environment, further it was used to analyze the transformation of political leadership in the European Union along with the European Union’s claims for a role as a global actor. The author determines the influence of a new style of political leadership on the development of the EU foreign policy strategy in the context of the modern crisis. The article characterizes the leadership style and representation of Ursula von der Leyen, the President of the European Commission, in the foreign p olicy arena as the “President” of the EU, which, according to the author, creates in media space a reputation of her as a strong and decisive leader, but calls into question the role of the European Union as an independent global actor. An analysis is given of how the claims of leaders of supranational institutions are perceived by the heads of the EU member states. Leadership is manifested in the strengthening of the role of the European Commission and its President, in the focus on the formation of the European Union as a geopolitical actor and a “defense union”. However, according to the author, this does not mean a change in the quality of political leadership, because it is based on a dichotomous perception of the world as “Us” and “ Them”, and is aimed at increasing confrontation with both external and internal opponents.
World esonomy and international relations. 2025;69(6):48-57
48-57
The Results of European Elections 2024: Institutional Renewal and Policy Adjustment
Abstract
The article analyzes the main results of the elections to the European Parliament (EP) in 2024 and their impact on the formation of the governing bodies of the European Union’s three leading political institutions: the European Council, the European Commission and the European Parliament. A comparison of the available forecasts for the results of these elections, and an explanation of their deviation from the actual results are given, including a change in the structure of the EP due to the emergence of two new Eurosceptic groups in it: “Patriots for Europe” and “Europe of Sovereign Nations”. The influence of the leading European parties on the formation of the European Parliament’s governing bodies and the personal composition of the European Commission (EC) are analyzed. The scheme of distribution of leadership positions in the EP among its leading political groups is shown. The analysis ofthe EC’s new composition and its management structure is presented. A political portrait of Antdnio Costa, the new head of the European Council, is drawn up.
World esonomy and international relations. 2025;69(6):58-69
58-69
The Ukrainian Factor in Relations of Visegrád Group Countries with Russia (1991–2014)
Abstract
After the start of the SMO in 2022, the Central European states (V4) were among the most active supporters of Kyiv and initiators of the European Union’s anti-Russian sanctions policy. The article attempts to analyze the reasons for the approach taken by these countries. The period preceeding the outbreak of the Russian-Ukrainian conflict in 2014 is considered. It is noted that from 1991 to 2014, despite the progressive development of Russia - Central Europe relations, patterns of perception of Kyiv and Moscow were formed, which subsequently led to the degradation of relations with Russia. It is revealed that the countries did not consider fruitful cooperation with the Kremlin as a valuable capital and were ready to easily sacrifice it to achieve their strategic goals. The latter included membership in Euro-Atlantic structures and according benefits from it. It is noted that after 2004, Ukraine began to be viewed as an object for efforts to consolidate the positions of the Central European states in the EU. Meanwhile, Kyiv’s domestic political problems and its rapprochement with Moscow were alienating Ukraine from the V4 countries, while the opposite trends, on the contrary, led to a convergence of positions. It is shown that involvement in Ukrainian affairs was limited to loud statements that had no actual implementation until 2014. It is proven that episodes of pragmatic cooperation between the V4 countries and Russia were partly based on the pan-European course and the desire to adapt to it (Poland, Czechia), or dependence on Russian oil, gas and nuclear fuel (Hungary, Slovakia).
World esonomy and international relations. 2025;69(6):70-79
70-79
China: domestic and foreign policy
Features of International Reserves’ Management in China
Abstract
This study explores the unique characteristics of international reserve management in China, an area that has received limited attention in existing literature. While most research focuses on the excessiveness of China’s reserves based on International Monetary Fund (IMF) optimality criteria or on challenges in reserve accumulation driven by domestic and international events, less emphasis is placed on the institutional and strategic distinctions shaping China’s approach. This article aims to address this gap. By comparing international practices guided by IMF recommendations with China’s distinctive methodologies, this paper highlights two critical aspects. First, China’s reserve management is characterized by institutional specificities, where sovereign wealth funds handle investments, and reserve operations are coordinated at the governmental level rather than solely by the central bank. Second, China adopts a broader interpretation of the functions of international reserves, exceeding the conventional IMF standards. Beyond serving as a buffer against external shocks, these reserves are leveraged as tools for economic development. This paper demonstrates that China employs its reserves to enhance export competitiveness by maintaining the Yuan’s exchange rate below parity, to secure access to global markets and technologies, and to fund external projects that solidify its economic standing in the global system. Additionally, reserves are utilized to stimulate domestic investment through bank lending. Consequently, expanding reserve holdings beyond IMF-defined thresholds imposes minimal economic costs for China.
World esonomy and international relations. 2025;69(6):80-91
80-91
Escalation of Contradictions between China and United States and Prospects for Bilateral Economic Relations
Abstract
The article evaluates the current state and prospects of economic relations between China and the United States. The US share in China’s foreign trade is gradually decreasing. China’s position looks stronger. The expansion of domestic demand allows China to overcome the effects of reduced exports due to US restrictive measures. At the same time, Chinese products also enter the American market through other countries. China is not critically dependent of exports, as well as imports from the US but is dependent on US technology. Foreign capital is important for China as it attracts new technologies. The China’s economic policy is not related to mercantilism. China gradually reduces import tariff protection, applies national treatment to foreign manufacturers, attracts foreign direct investment and actively invests abroad. At the same time, China uses well-known protectionist methods in foreign economic activities. The main contradictions between China and the United States relate to the US trade deficit; US prohibitive measures against Chinese supplies of high-tech products; restrictions on supply of US advanced technology and equipment to China; China’s restrictions on imports of US commodities, etc. The economic contradictions between China and the United States have caused a trade war and a mutual increase in import duties. However, both sides have so far refrained from drastic measures. The trade war with China has become a political tool of the US administration to constrain China’s development, primarily in the field of technology. Under any U.S. authorities, tensions in Sino-American trade and economic relations will remain, as well as the predominance of a policy of containment and severe measures against China on the US side.
World esonomy and international relations. 2025;69(6):92-102
92-102
In the post-Soviet space
ASEAN and the European Union as Models of Regionalism for Central Asia
Abstract
The international p olitical activity of the five Central Asian republics has been determined in recent years by a trend aimed at forming an independent region in this part of the post- Soviet space. The “Central Asian Five” may eventually make an application for international subjectivity, as there is a clearly defined desire to present a united front on global issues and initiatives. The regionalization process launched in Central Asia is closely linked to the practices of transformation into sustainable structures of a number of internationally recognized associations. These include such well-known regional formats as the Association of Southeast Asian Nations (ASEAN) and the European Union (EU). The attractiveness of these two models does not exclude their potential incompatibility with the political culture, traditions, and international priorities of the Central Asian countries in a number of parameters. Unlike European states, which, having become members of the EU, transferred control of most of its processes to supranational structures, the “Central Asian Five” are not ready to give up their recently achieved sovereignty and therefore prefer to coordinate economic, political and international problems exclusively within the framework of national states. Central Asian countries can learn a lot from ASEAN’s experience in regional integration and the creation of mechanisms to protect themselves from external influences. With ASEAN, it seems very promising to create a mechanism for inter-regional dialogue, possibly in the “C5+ASEAN” format. Such a negotiation platform should be based on issues relevant to both Central Asia and ASEAN. This is the creation of free trade zones, as well as conditions for the unrestricted movement of labor, capital, goods, and services. Projects in the fields of energy, transport logistics, countering drug trafficking and the spread of extremism may become important.
World esonomy and international relations. 2025;69(6):103-114
103-114
National Identity and Ontological Security in School History Textbooks of Kazakhstan
Abstract
This article examines how collective biographical narratives presented in Kazakhstan’s school history textbooks construct and reinforce the continuity of statehood, contributing to the country’s ontological security and maintenance of a stable national identity. History textbooks play a crucial role in shaping national consciousness by transmitting official interpretations of the past and establishing a symbolic link between different historic stages of state development. These narratives serve as an essential mechanism for fostering a sense of historical continuity and national legitimacy. By analyzing collective biographical narratives of statehood in textbooks, this study explores how historic events, figures, and concepts are employed to construct a coherent understanding of Kazakhstan’s development trajectory. Special attention is given to how these educational materials establish the legitimacy of Kazakhstan’s statehood, its resilience in the face of external challenges, and its role in consolidating national identity. The study also considers how these narratives position Kazakhstan within a broader regional and historical context, emphasizing its sovereignty and independent development. The research is based on a qualitative content analysis of history textbooks published between 2018 and 2021. This analysis identifies key strategies used in textbooks to represent Kazakhstan’s historical legacy and examines how these collective biographical narratives contribute to ontological security by reinforcing a stable and continuous self-image of the state. The findings demonstrate that historical narratives in textbooks serve as a critical tool for shaping public perceptions of statehood and national identity, ensuring a sense of stability and continuity in a rapidly changing geopolitical environment.
World esonomy and international relations. 2025;69(6):115-126
115-126
Africa today and tomorrow
“Big Man” of East Africa: National Issue in Kenya
Abstract
The article is about the national issue in Kenya. It is noted that the socio-economic and political situation in Kenya is largely determined by such a factor as tribalism. The author examines the national issue and tribalism in connection with the development of Kenyan statehood, problems of internal politics and stability, party life, security problems in the country and the region, the federal experience of the country at the dawn of independence and since the 2010s. The “majimbo” (regionalism, federalism), devolution (transfer of powers from the upper level of government to the lower, to the county level) system adopted in Kenya defines the country’s role in the regional East African federal process. Kenya is called the “big brother”, the “big man” of East Africa. It is the most economically developed country in the region. Kenya’s political weight is determined by its special allied relations with the United States and Great Britain, and leadership in the East African Community. It is planned to create a political federation based on EAC, preceded by the creation of a confederation. The country’s system of “majimbo”, devolution provide grounds for currently considering Kenya a “regional, semi-federal” state. The administrative and territorial structure, the borders of the regions correlate with the national/tribal composition of the country. Also since independence, the origin of a leader from a certain tribe has determined the phenomenon of “ethnic eating”, the system of distribution of material and symbolic benefits in the state among representatives of different nationalities, and there are at least 40 of them in Kenya. The origins of this phenomenon date back to the colonial period, when the British administration established “ethnic boundaries”, divided and ruled Kenyans, clashing the economic and political interests of tribal groups that differ in language, culture.
World esonomy and international relations. 2025;69(6):127-136
127-136
