International Problems

VOL. LXIII, N°. 1, 2011.

Srđan KORAĆ and Aleksandra BULATOVIĆ,
The Emerging European Defence Market

ABSTRACT   The paper deals with prospects of the developing common EU defence procurement market and policy with a view to strengthening the defence identity of the European Union as well as to promoting its external profile and international role. Despite of the European Union’s overall GDP, the Union is not considered a serious military power. The EU processes of market integration and rationalisation have bypassed European defence industries, which are fragmented and increasingly losing ground to their American and some Far East Asian competitors. This has prompted calls for introducing the supranational defence procurement and defence industry policies. The analysis focuses on functioning of the European Defence Equipment Market via application of the EU Code of Conduct on Defence Procurement and reviews EU prospects for establishment of a single defence market from the policy, organisational and commercial perspectives. The authors conclude that in the long run, the voluntary intergovernmental defence procurement regime established between some EU members will open prospects of cutting national defence spending, fostering the global competitiveness of the defence industries of EU member states and building up a respectable military capacity to additionally support the Common Defence and Security Policy.
Key words   defence procurement, defence industry, EU code of conduct on defence procurement, European Defence Equipment Market, European Defence Agency, European/Common Defence and Security Policy

The Crime of Aggression between Consensus and Contestation

ABSTRACT   The efforts to define the crime of aggression as an international crime are accompanied by many problems. Some countries see it as a sign of salvation against foreign interference in internal affairs, while others see it as a limiting factor in achieving their own interests. In the battle between consensus and contestation every victory was a Pyrrhic one and the price of any compromise was high. However, after the Review Conference of the Rome Statute of the International Criminal Court, which was held in 2010, we have many reasons for optimism. In this paper, the author presents the historical development of the crime of aggression from the theoretical discussion to its criminalization as an international crime. It is through a critical analysis of the norms in international documents and judgments of international courts based on them that we point to all the advantages and disadvantages of defining aggression. In his conclusion, the author predicts the future of the crime of aggression, bearing in mind the latest solutions in theory and practice of international criminal law.
Key words   crime of aggression, Nuremberg and Tokyo trials, United Nations Charter, Resolution 3314, International Criminal Court

György SIMON Jr .,
Germany and the European Economy (in English)

ABSTRACT   Germany has traditionally been the powerhouse of the European economy and integration. In this article, an attempt is made to put its economic development in a European context by comparing it with the achievements of the total group of more developed members of the European Union, the EU-15, prior to the current global crisis. The author applies both the methods of statistical analysis and models of mathematical economics to show the combined influence of growth mechanism regularities, economic policy and international economic relations on the long-term development of the German and European economy. Viewing economic growth as the central problem, he investigates the factors of its deviations from the equilibrium state, as well as the regularities affecting productivity and technical progress. His main conclusion is that the current economic crisis can be surmounted with the help of a growth-oriented economic policy based on the intensification of technical progress and, first of all, of its creative component, which would create favourable conditions for improving competitiveness.
Key words   economic growth, European integration, productivity, technical progress, Germany

Vladimir TRAPARA,
The Role of OSCE Field Operations in Transition Countries

ABSTRACT   Organization for Security and Co-operation in Europe (OSCE) currently has 18 field operations in transition countries throughout Southeastern and Eastern Europe, Caucasus and Central Asia. These operations employ around 3000 staff members and spend 80 percent of OSCE annual budget. Effectiveness of these operations in performing their tasks in all phases of conflict cycle depends on consensus between Great Powers; they also employ an informal decision-making process to supplement the consensus in order to be flexible in responding to changes in the situation. Today, those operations are challenged by shifts in global power relations, and their future depends on the outcomes of the current security dialogue which takes place in the OSCE. That dialogue is also an opportunity for transition countries (including Serbia) to benefit from the OSCE field operations reform, in a way that the operations would now become more able to adress the real security problems of these countries.
Key words   OSCE, field operations, transition countries, Great Powers, security dialogue

Demands for Property Restitution of the Former German Minority in Serbia

ABSTRACT   The human rights and freedom corpus in contemporary international law has made topical property rights members of the German minority in Eastern and South-East European countries were deprived of during and after the end of World War II. The goal of dispossessing them of their property was to consolidate the demolished economy and plundered and destroyed national wealth on the part of the Axis powers and above all by, Nazi Germany and its satellites. Taking into account the fact that various categories of persons were dispossessed of their property and not only members of the German national minority that directly or indirectly participated in the occupation and the war of aggression against the states mentioned above, the demand for restitution of their property several decades after also opens the question of their legal and political rehabilitation and then revision of the legal and historical facts that could produce only limited institutional and legal effects within the changed socio-political circumstances. For the complexity of the restitution problem, an analysis should be done of the legal and historical heritage, which does not preclude examination of possible international implications, this also including negative effects that demands for restitution can have on the European integration process.
Key words   restitution, property, german minority, volksdeutschers, Yugoslavia, Serbia, Czech Republic, European Union

Impact of Loans from International Financial Institutions on the Economy of Serbia

ABSTRACT   The rapid foreign credit growth has been one of the main drivers of growth in Serbia in recent years. As growth has accelerated, the Serbian economy has become burdened with considerable external imbalances and current account deficits. As a result of the growing debt financing of the external deficit, the foreign debt rose to 22.7 billion EUR in late December 2009. Since the gains from privatization in the 2008-2010 period are not means of servicing the loans that could be counted on in the long run, the issue of sustaining the existing dynamics of paying off the foreign loan has been brought into question. International financial organizations have an important role in Serbia’s economic development and convergence with the European Union. Its resources have been mainly focused on spurring economic growth and promoting the policies that stimulate foreign direct investment and create employment, restructuring and ownership change in the enterprise sector.
Key words   foreign debt, economic growth, current account deficits, international financial organizations, structural reforms

International Problems

VOL. LXIII, N°. 2, 2011.

Goran NIKOLIĆ and Predrag PETROVIĆ,
Will the Global Economic Crisis Induce Seismic Geopolitical Changes?

ABSTRACT   The paper begins with an analysis of the causes of strong rebalancing of the world economy at the end of the first decade of the 21st century, which leads to weakening of the relative economic importance of developed countries. Then, the authors analyze whether we are in the process of creating a new multilateral geopolitical stage and how much has become important the role of some groups of countries (BRIC and G20). The authors analyze the changes in the global financial architecture defined after World War II under the predominant US influence. In the next two sections the authors first discus how the global crisis will affect the geopolitical constellation and second, they present some estimates that the U.S. dominance, with some dispersion of its global power, could be retained. The authors have concluded that not any of constant geopolitical elements in the leading world countries has substantially changed since 2007, although the economic supremacy of developed economies has significantly decreased in comparison with developing countries and China, in particular. The U.S. leadership is not just a result of its economic and military superiority, but it also results from the relative attractiveness of its ideas and values. So, it is hard to believe that a strong geopolitical reconfiguration could be caused by the global economic crisis, especially in the medium term.
Key words   global economic crisis, geopolitics, economic growth, China, U.S.A.

Biljana PESALJ,
Competitive Advantages of Multinational Companies – The Review of Theoretical Approaches (in English)

ABSTRACT   According to knowledge and network-based theories of multinational companies (MNCs), the main source of MNC competitive advantage is the creation and transfer of knowledge within the MNC system. The processes of knowledge creation and knowledge transfer are extensively investigated in the present literature. However, there are issues that are still underdeveloped, such as control and organizational mechanisms as a micro foundation of modern MNC theories. This paper is aimed at presenting an overview of the modern theoretical approaches of MNC competitive advantages from the managerial point of view. The applicability of these concepts is further considered in the case of MNC affiliates doing their business in transition economies in order to provide guidelines for future empirical research.
Key words   multinational companies, knowledge-based theory, network-based theory, transition economies

Miroslav ANTEVSKI, Dobrica VESIĆ and Ljiljana KONTIĆ,
Regional and International Aspects of Energy Security (in English)

ABSTRACT   Energy security may be defined, generally, as the availability of clean energy sources at affordable prices. If a country or region does not have its own sources of energy in the necessary extent, their energy security is in a long-term threat. To this point, countries seek to achieve diversification of energy sources and transport routes. This is one of the reasons for launching new energy projects in Europe and Asia; the other is an attempt by Russia to consolidate its dominant position on the part of the international energy market; the third factor is the oil transnational corporations. Russia is the dominant natural trading partner and Europe’s energy supplier. Problems with the transit of natural gas and oil from Russia to Europe, which directly threaten its energy security, were the reason to launh the new energy projects.
Key words   energy, security, projects

Institutional Forms of Contemporary Ecumenical Dialogue

ABSTRACT   The article deals with ecumenism and the most important examples of its “institutionalisation”. It is stated that ecumenism implies the doctrine (idea), universal inter–church movement and the proclaimed goal of achieving Christian unity. It possesses at least theological, sociological and political determinants. The World Council of Churches is a universal inter–church forum for dialogue and cooperation that lacks clear ecclesiological identity. However, it is getting the characteristics of a typical international political movement. The Conference of European Churches is a similar European organization. The Parliament of World Religions tends to found and promote “global ethics” in order to accomplish pacifistic goals in the world.
Key words   ecumenism, ecumenical movement, World Council of Churches, Conference of European Churches, Parliament of World Religions

Hungary: Orban’s Atypical Programme of Solving the Crisis

ABSTRACT   The article deals with the political and economic situation in Hungary in the last several years. The author firstly points to the causes of decline of influence of the previous socialist government and the heavy defeat of the socialists in the 2010 elections and the success of the right party Fidesz. After winning the elections, the Viktor Orban government started, at an accelerated rate, to implement the pre-election programme of Fidesz that had been prepared for a long time while it was an opposition party. The author is of the opinion that this programme is atypical, very radical and unique by many characteristics in the Europe of today. He points out that only a year after Fidesz victory the government and the parliament adopted quite a number of laws, a new Constitution and a set of risky measures of recovery that should lead to a substantial economic reform. The author particularly underlines the fact that the government decided to break of negotiation with IMF, reject its recommendations and try to overcome over-indebtedness by carrying out its own ideas.
Key words   Hungary, Fidesz, Viktor Orban, identity, economy, Constitution

International Problems

VOL. LXIII, N°. 3, 2011.

Roozbeh (Rudy) B. BAKER,
New Institutionalism and International Relations: A Step Forward

ABSTRACT   The behavioral revolution of the 1960s which engulfed the social sciences, and particularly Political Science and Sociology, led to a large-scale disinterest in the study and structure of institutions. The 1980s saw a new movement emerge upon the social sciences, which stressed the centrality of institutional analysis in the study of politics and society and resurrected the study of institutions as key variables. Dubbed the New Institutionalism, this movement would have profound effects on the direction of research in Political Science and Sociology. Unfortunately, the New Institutionalist movement has been largely ignored by International Relations theorists and practitioners, even though it has generated both a useful toolkit of methods, and a rich source of findings that could be of much use to International Relations theory.
Key words   international relations, theory, policy, New institutionalism

Gavrilo OSTOJIĆ and Marija BLAGOJEVIĆ,
Use of Hegemony in Settlement of International Disputes over Sources of Drinking Water

ABSTRACT   Sources of drinking water are a renewable but limited natural resource that is unevenly distributed on the Earth. The rapid development of human society, this especially including the period from the beginning of the last century up to the present days, has resulted in the increased consumption of water in agriculture, industry and in urban areas. Environmental pollution caused by by-products and climate change which have been prominent in the last decades, have made water become a resource in globally short supply. The aspiration to dominate the lacking sources of drinking water especially in arid and sub-arid regions, resulted in the increased number of international disputes. In some cases, they were settled by imposing special conditions that were dictated by economically developed and powerful states that were parties to the dispute. The paper points to the situation with sources of drinking water in the world, the development of international water law in settling international disputes presenting the most striking examples of the use of hegemony in settling the disputes
Key words   hegemony, sources of drinking water, conflicts and international disputes

The Chinese “(Big) Polar Game“

ABSTRACT   Climate changes have caused ice melting in the Arctic, thus creating new conditions in the region. Apart from making access to hydrocarbon deposits the Arctic region is rich in, new ways of transportation have appeared. In summer, the region is almost completely passable, thus making the routes between America and Asia much shorter. This has drawn attention not only of Arctic states, but also of some others, these especially including big exporters of consumer goods, as China and Japan are. The paper analyses the position of China with regard to other countries that are interested in exploitation of the Arctic region with focus on transport, in particular. Special attention is directed towards the strategic orientations of the Chinese management, this including the analysis of its approach, but also the positions of the international and especially the Chinese academic circles concerning the political and economic implications of joining of China to “the Arctic race“.
Key words   Arctic, transport, China, “Arctic process“, geoeconomics

Abuse of Internet for Terrorist Purposes

ABSTRACT   In this analysis, the author tried to establish a relationship, similarities and differences between the expression of terrorist organizations on the Internet and in conventional media. It is particularly important that the terrorists use the Internet as a weapon, as a means of communication and among activists as a conventional medium. The paper analyzed only the third way – use the Internet as a conventional media.
Key words   Internet, terrorism, the media, the terrorist organization, the United States

Mihajlo VUČIĆ,
The Right to Environmental Information as a Technique for the Protection of the Environment (in English)

ABSTRACT   By analysing legal documents and case law the author has tried to show how the right to environmental information can be used as a technique for the protection of the environment, given the wide and numerous possibilities its provisions cast upon the entire society. Despite these obvious possibilities, the exceptions from the general rule of free access, are defined widely, and are so numerous that it is a real danger of public authorities abusing these exceptions, thus annihilating positive effects of the existence of such a right. Therefore, access to justice is an irreplaceable complementary right, since for the effective use of the right of access to environmental information, it shows itself as an inevitable remedy. As for the situation regarding the legal system in the Republic of Serbia, while the real results of the effectiveness of this right in the protection of the environment have yet to happen in future, it is important that most of the basic legal documents dealing with provisions on the access to environmental information have created a good basis for the judicial system to build upon.
Key words   environment, information, right of access, public participation, justice

International Problems

VOL. LXIII, N°. 4, 2011.

Alexander LUKIN,
China’s New Foreign Policy Strategy and Russia’s Concerns (in English)

ABSTRACT   The recent trends in Beijing’s foreign policy have become a broadly discussed topic throughout the world. China’s economic success over the last ten years has led Beijing to take a more assertive approach to China’s relationship with the outside world. This shift has manifested itself in a more hard-line approach to China’s relationship with her partners, less inclination toward compromise, and a tendency to respond to the external pressure with more pressure, to the external bumps with harder bumps. The new assertiveness of China can be understood. After all, it is merely the natural urge of a new, large, and successful regime to actively pursue its interests. At the same time, it is true that the successful economic development of the last ten years has led to the growth of nationalism among the elite. If the nationalist tendency prevails in the Chinese foreign policy, China’s neighbors, including Russia, will have to do some serious rethinking of their approach to the growing giant.
Key words   China, Russia, USA, Nationalism, Foreign Policy, Assertiveness

Srđan MARINKOVIĆ, Isidora LJUMOVIĆ and Aleksandar ŽIVKOVIĆ,
Foreign Direct Investment in Serbian Banking Industry: an Exploratory Study of Motives

ABSTRACT   The paper is an attempt to assess relative importance of selected motives for foreign banks entry into Serbian banking market, as well as the changes that followed it, above all in terms of level of competition. We used questionnaires structured according to the main findings that come out of existing theoretical and empirical research on motives for FDI in banking industry. In addition, the goal of this study is to reveal the links between paradigms and theories, which are up to explaining determinants and motives of FDI in banking and the other industries, find common features, peculiarities and use it to refine research methodology.
Key words   foreign direct investment, Serbia banking industry, motives, Eclectic paradigm

International Criminal Courts – between Law, Justice, Reconciliation and Rights of Victims

ABSTRACT   Since the ancient times till the present the international community has provided various forms of co-operation for the purpose of criminal prosecution and punishment of perpetrators of the most serious criminal acts that in the most severe and violent ways violate the rules of international law breaching or jeopardising the humanity and other property, which are protected by the international system of legal rules. Among them the most important form consists of the establishment and acting of international criminal courts that in the interest of justice and in the name of the civilised part of the mankind or enlightened peoples presses criminal charges and pronounces sentences and other criminal sanctions against perpetrators of international criminal acts. There are several kinds of international judicial bodies with different law features and duration. The paper deals with their characteristics, roles and organisation both from the theoretical and practical aspects.
Key words   international law, crimes, courts, responsibility, punishment

Željko Đ. BJELAJAC, Dragan DAŠIĆ and Milovan SPASOVIĆ,
EU Environmental Policy and its Criminal Law Framework

ABSTRACT   A man by his actions in pursuit of better living conditions, particularly in recent decades, threaten the natural environment, violating the eternal mutual, harmonious and dependent relationship and balance that existed in the living world, and making their own survival uncertain. The importance of environmental protection as well as goods of general interest is incorporated in the fundamental determinants of EU policy, which coincides with the trend expressed ecological consciousness at the global level. Protecting the environment through criminal law response to the expansion ecological crime that inflicts significant damage to the environment and human health.
Key words   environment, threat to environment and its protection, environmental policy, environmental crime, criminal law

Nagorno Karabakh Problem in the Light of Bilateral Relation of OSCE Minsk Group Member Countries

ABSTRACT   This paper analyses confrontation that occurred between Armenia and Azerbaijan concerning Nagorno Karabakh territory, as well as the many attempts to finally get this conflict resolved. The war between Armenia and Azerbaijan over the territory of Nagorno Karabakh ended with the ceasefire agreement under the auspices of the OSCE Minsk Group, which is empowered for final resolvment of this issue. This process has been going on for years, but a solution is yet to come. The European Union in recent years is trying to reduce dependence on Russian natural gas and orients to new suppliers, primarily in the southern Caucasus region. Western countries are interested in resolving conflicts in South Caucasus due to its economic and political interests in the region and the fact that these conflicts pose a risk to investment. The authors of the paper will bring forth the views of all stakeholders in addressing the problem of Nagorno Karabakh and analyze their interests in an attempt to predict the possible final solution to the conflict.
Key words   Nagorno Karabakh, “frozen conflict”, Minsk Group, OSCE, Madrid principles, project Nabucco, South Stream project, European Union, Russian Federation