Daily Archives: October 8, 2017

Tatoul Manasserian “Economic diplomacy: from theory to real life”

Economic diplomacy: from theory to real life
Tatoul Manasserian
Founder, Research Center ALTERNATIVE

Executive summary
Our purpose is to reveal the relationship between the basic principles of
economic diplomacy and current trends of economic globalization, particularly in
post-soviet countries (based on Armenia’s case). The efficiency of the second generation
economic reforms being implemented in the Republic of Armenia, in our
opinion, is highly correlated with (associated with/attributed to) the ability to
respond to both internal (domestic) and external challenges properly. If the impact
(consequences) of the internal challenges can be, mainly, assessed (estimated) using
the indicators/variables of the domain of economic threats and explain the
(respective) potential of economic security, then the external challenges, in addition
to the imperative of neutralizing (canceling out) the external economic threats, require
clear direction and program of economic diplomacy.
Obviously, the meaning, forms and ways of economic diplomacy vary from
country to country depending on the level of economic development1. At the same
time, nearly each nation in the modern (contemporary) world stresses (pays close
attention to) the role of economic interests in political processes; the trends (patterns)
observed in building international economic relations; and identification of the new
role of the state in regulating external economic relations. Therefore, the need for
designing both applied and theoretical methods and approaches to be utilized in
economic diplomacy and to explain possible developments with regard to shifts in
the respective directions. Meanwhile, the issues of high efficiency of participation of
the economic agents; ensuring favorable conditions; methods used by the
Government to address problems, and diplomatic specifics of measures in
international economic relations are stressed.

Economic globalization and economic diplomacy
It is of a particular importance to design the Concept Note of Economic
diplomacy in the current stage of economic globalization, when the estimated impact
of the latter one on the national economy being interpreted differently forces the
policy makers to find out (look for) ways to stabilize the situation and to report
progress in the future. Both state officials and the nation’s economic elite need to set
more specific objectives for the design/formulation of diplomacy by the diplomatic
institutions established since the independence of Armenia favoring economic
development and for educating/training respective competent
officials/professionals for these institutions.
It is noteworthy, that the dynamic developments of the global economy directly
affect the forms, methods, tools and principles of the economic diplomacy, while
increasing the circle of influence and getting other players engaged in diplomacy.