Economic Power Components and Geoeconomic Instruments

A country's ability to produce goods and services, measured by GDP, industrial output, and technological advancement.

Control over a country's currency, banking systems, and capital markets; influencing global trade through financial systems.

The ability to control and influence international trade routes and agreements, including export capabilities and trade organizations.

A national strategy focused on achieving technological independence and supremacy, balancing economic development with national security.

Government-backed research programs aimed at advancing technology.

Subsidies and policies supporting technology sectors within a country.

Reducing reliance on foreign technology providers to improve national security.

Relocating supply chains to countries with shared values and trusted relationships to reduce dependence on rivals and strengthen economic ties with allies.

Targeted restrictions on countries, companies, or individuals to influence their behavior, including asset freezes, trade embargoes, and travel bans.

Financial aid, loans, or grants provided to allies, including arms sales and defense cooperation agreements.

A model of economic development that champions free markets, privatization, deregulation, and minimal government intervention. It's often associated with the United States, the International Monetary Fund (IMF), and the World Bank.

A model of economic development that emphasizes state-led planning, strategic investments in key industries, and a selective approach to globalization. It's frequently associated with China and its Belt & Road Initiative.

The EU's ability to act independently in areas like defense, technology, and trade, reducing reliance on global powers like the US and China.

A form of government intervention where financial assistance is provided to specific industries deemed crucial for national development. Example: South Korea supporting its tech and automotive sectors.

A role of government in shaping business practices through policies that maintain fair competition and prevent monopolies.

A government role focused on establishing rules and regulations that influence business operations, including labor laws, environmental standards, and market regulations.

A key principle of the Washington Consensus emphasizing the reduction of government intervention in the economy to promote free markets and competition.

A key principle of the Beijing Consensus where the state actively takes control of key industries, often through ownership or heavy investment.

A core aspect of the Beijing Consensus where sustained long-term economic growth is achieved through strategic innovation and development of industries like technology and infrastructure.

A key challenge for European strategic autonomy. Disagreements between member states about foreign policy and defense strategies create difficulty in achieving a unified approach.