From among the Western Balkan countries Bosnia and Herzegovina has been
experiencing the most unfavourable economic and political developments. Analyses of the economic developments in Bosnia and Herzegovina can be
prepared from two profoundly different perspectives. The first variant of
economic research concentrates on the macroeconomic trends, external and
internal balances (GDP growth, fiscal deficit, public debt etc.) and attempts
to identify the underlying long-term processes and the most likely directions
they may take in the future based on economic calculations and models. Economic
policy recommendations and proposals are formulated in the context of economic
growth and stability against this background. The other type of analysis
however would rather concentrate on the political economic framework and place
emphasis on the particular political, constitutional and economic circumstances
under which the country operates and which render normal economic decision
making difficult or even impossible. A political economic analysis like the
latter one must examine the international political and security policy
interests and the domestic political relations in a multidisciplinary and
complex way. The country cannot be properly described using the terms of a
standard economic and political framework. (Click on the picture!)
