Original scientific paper
https://doi.org/10.52328/t.7.1.1
Economic nationalism in Yugoslavia: Reflections on its impact 30 years later
Milica Uvalić
orcid.org/0000-0002-7347-2629
; European University Institute, Florence, Italy
Abstract
The paper analyses the contribution of economic factors to the break-up of the Yugoslav federation, particularly the role of “economic nationalism”. Despite policies of the federal government to ensure income redistribution in order to accelerate economic development of the less developed parts of the country, the gap in GDP per capita between the more and the less developed republics and regions increased through the decades. Institutional reforms, especially those in the 1970s, have contributed to the strengthening of economic nationalism in Yugoslavia, to the fragmentation of the Yugoslav market and to tendencies of closing up within republican borders. Such developments led to a lively debate about the “unified Yugoslav market”, as growing concerns were expressed about its fragmentation, particularly in the early 1980s when the political and economic crisis started developing. Economic problems after 1980 – negative GDP growth rates, high inflation, drop in real wages, increase in unemployment, shortages of goods – directly contributed to the rising dissatisfaction of the population. The
topic of “exploitation” – unfavourable economic position of the single republics/regions in the Yugoslav federation – gained importance, additionally strengthening nationalistic sentiment and contributing to Yugoslavia's break-up. Nevertheless, the causes of Yugoslavia's break-up are to be sought primarily in the political frictions and the impossibility of finding a compromise solution on how to reform the Yugoslav federation. After the break-up, for most successor states of Yugoslavia, the economic costs have been much higher than initially anticipated and are likely not to have been fully compensated by expected benefits. During the post-1991 period, the successor states of Yugoslavia incurred a series of negative direct and indirect consequences of disintegration: the loss of a large protected market, of the monetary, customs and economic union, and of institutional and international advantages of the Yugoslav economy; the postponement of many transition-related economic reforms; delayed entry into the European Union; and slow long-term economic development.
Keywords
Economic nationalism; fragmentation of common market; crisis and break-up of Yugoslav federation; transition; slow economic development
Hrčak ID:
319021
URI
Publication date:
9.7.2024.
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