Friday, August 29, 2008

An Embattled Enclave Yearns to Be Free (and Liechtenstein)

The New York Times had an interesting piece today on the (potential) future of South Ossetia. It's worth a read if you have the time, but in short, the South Ossetians are looking at some of Europe's microstates as a model to follow in the development of their country (and that of course assumes that South Ossetia can make good on Russia's recognition of their independence).

One model is to become a banking haven like Liechtenstein. The more interesting idea though is to pattern themselves after the tiny state of Andorra (sandwiched between France and Spain) and become a destination for mountain sports and adventure. In an odd way the last 16 years of political limbo are a help in this regard since they kept development in South Ossetia to a minimum, leaving the mountains in a largely natural state.
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