The Strategic and Geopolitical Analysis of the Impact of Economic Power on Foreign Policy
Abstract
In the contemporary international system evolving toward multipolarity where economic competition tools intertwine with security policies, analyzing mechanisms through which economic power parameters shape foreign policy capacity holds critical importance. This research examines how gross domestic product, foreign trade volume, foreign exchange reserves, foreign direct investment, and technology production capability transform into diplomatic effectiveness. The study develops an original theoretical framework synthesizing structural realism, interdependence theory, and structural power theory, explaining the multilayered nature of the economic power-foreign policy relationship. This synthesis enables comprehensive understanding of material resources, relational asymmetry, and structural control dimensions. Employing systematic document analysis within qualitative research paradigm, content analysis of twenty-two fundamental sources and comparative examination of five critical cases were conducted. Methodological reliability was confirmed with Cohen's Kappa coefficient of zero point eighty-six. Findings demonstrate that six fundamental mechanisms confirm the hypothesis at an average rate of ninety-four point five percent (ranging from ninety-two to ninety-eight percent): creating economic influence through trade agreements, increasing voting weight in international financial institutions, strengthening alliances through strategic investments, enhancing bargaining power in negotiations, economic dependency limiting autonomy, and vulnerability to sanctions. US-Iran, China Belt-Road, Germany-Russia, Japan-Southeast Asia, and Saudi Arabia cases concretize geopolitical transformation of economic tools across diverse contexts. The study reveals that economic power stems from structural control capacity rather than material resources, economic dependency systematically limits strategic autonomy, and technological transformation redefines traditional parameters. Digital economy, artificial intelligence, and climate change necessitate updating the concept of economic power. The research transcends fragmented approaches in literature by offering an integrated analytical model and proposing trade diversification, technological independence, strategic reserve strengthening, and regional integration deepening strategies for preserving economic autonomy. Findings are supported by short, medium, and long-term policy recommendations, providing applicable tools for states to minimize economic vulnerabilities.
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