Georgia's Choice: The European Union or the Eurasian Economic Union

Abstract

The economic foundation of the Eurasianist doctrine is a "society with a market," and not "market economy." In the modern era, an alliance of countries on the basis of the Eurasianist economic model is close to impossible to establish. The EAEU rests on a redistribution mechanism for oil and gas revenues. The EAEU is far more corrupt than the EU, with underdeveloped market institutions, and an unequivocal delay in technological development. Although attaining membership of the EAEU is much easier than that of the EU, the negative aspects described above ensure that this option holds no appeal for Georgia.

Keywords: Georgia, Eurasianist economic model, European Union, Eurasian Economic Union

JEL Classification: F15, O57, P52