Chapter 9: International Economics: Basic Theory and Core Institutions

Outcome:

You have not endeared yourself to the international community. Your bid to join international institutions meets with strong opposition from many world powers, other small countries, and several countries in Eastern Europe and Central Asia. By instituting high tariffs and rejecting membership in a regional trade block, you have sent a clear message to the international community that your economic doors are closed. Joining international institutions without embracing the world economy is difficult.

While you have taken concrete steps to bolster the domestic economy, you have done so in a way that isolates Abkhazia from global markets. Such isolation carries a non-economic price as well, as other countries are hesitant to partner with a fledgling state with a closed-door policy. You have chosen a strictly protectionist path, for better or worse. You will now have to learn and deal with all of the costs and benefits of such a policy.