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Ivane Javakhishvili Tbilisi State University
Ivane Javakhishvili Tbilisi State University

Recent Submissions

The role of geoeconomic factors in ensuring Georgia's national security
(Samtskhe-Javakheti State University, 2026) Veshapidze, Shota; Otinashvili, Ramaz
The present study examines the role of geoeconomic factors in ensuring Georgia’s national security under conditions of geopolitical fragmentation, where the global economic system is characterized by the reconfiguration of supply chains, the strengthening of regional economic blocs, and intensified economic competition. The aim of the research is to analyze how geoeconomics can function as a strategic instrument for a small state in strengthening national resilience and systemic security. The study employs systemic, comparative, and institutional analysis methods, as well as geoeconomic and strategic approaches, which make it possible to assess the interconnection between economic processes and geopolitical transformations. The theoretical framework is based on classical authors of international political economy who emphasize the growing importance of economic power in international relations. The research findings indicate that Georgia’s geoeconomic position as a transit space connecting Europe and Asia creates significant strategic opportunities. Particularly noteworthy are the country’s participation in the “Middle Corridor,” the development of Black Sea ports, and the integration of transport infrastructure into global logistics networks. At the same time, improving the investment environment, diversifying the economy, and developing human capital are considered key mechanisms for strengthening national security. The study concludes that under conditions of geopolitical fragmentation, economic security and geoeconomic policy constitute an integral component of Georgia’s national security system. Economic growth, integration into international value chains, and infrastructural development form the foundation of state resilience and reduce vulnerability to external shocks. Thus, geoeconomics is regarded as a central element of the security strategy model of a modern small state.
Workforce Adaptation and Professional Skills Development in the Context of Digital Transformation
(Samtskhe-Javakheti State University, 2026-01-01) Tkemaladze Irma
Digital transformation represents one of the most significant factors shaping the development of the modern economy, fundamentally altering labor market structures, work processes, and the competencies required for employment. In the context of technological advancement, automation, and the increasing integration of artificial intelligence, the demand for digital skills, professional adaptability, and continuous workforce development is growing significantly. These changes are particularly relevant for transition economies, including Georgia, where ensuring alignment between the education system, labor market requirements, and workforce qualifications remains a major challenge. The aim of this study is to examine the impact of digital transformation on the adaptation of the Georgian labor market and to assess the role of lifelong learning and skills upgrading in contemporary economic conditions. The research is based on the theoretical approaches of human capital theory, Skill-Biased Technological Change (SBTC), and skills mismatch theory. A quantitative research methodology is employed, based on primary data collected through a structured questionnaire. Data processing and analysis were conducted using IBM SPSS Statistics, applying descriptive statistics, reliability analysis (Cronbach’s Alpha), and correlation analysis (Pearson’s correlation coefficient). The findings indicate that the expansion of digital technologies increases the demand for new skills, competencies, and continuous professional development. Maintaining workforce competitiveness requires the advancement of lifelong learning systems, the expansion of reskilling and upskilling opportunities, and stronger alignment between education systems and labor market needs. The study highlights the importance of human capital development in the digital era and provides insights for improving education and employment policies in Georgia
AI in Higher Education: Empirical Evidence of Adoption, Attitudes, and Ethical Concerns from Georgia
(SSRN (Social Science Research Network), 2026-03-03) Teimuraz Kancheli; Irakli Kancheli
The rapid integration of Artificial Intelligence (AI) into research and higher education has outpaced the available empirical evidence regarding its adoption, particularly within Eastern European contexts. This study addresses this scholarly gap by investigating the usage patterns, perceived advantages, and ethical concerns of the academic and professional communities in Georgia. Employing a cross-sectional online survey conducted between April and May 2025, data were gathered from a substantial sample of 950 respondents, including students, instructors, researchers, and professionals affiliated with five major Georgian universities. The analysis, utilizing descriptive statistics and confidence intervals, reveals an adoption rate of 72.6%. Dominant use cases identified were research and information retrieval (75.0%), writing and editing (44.9%), and curiosity-driven exploration (38.8%). Participants cited significant operational benefits, most notably time savings (91.4%) and a reduction in routine tasks (54.6%). However, critical concerns were raised regarding over-reliance (62.6%), the accuracy of AI outputs (53.8%), and the potential degradation of intellectual skills (37.2%). While 21.2% of the cohort expressed cautious expectations, the majority anticipate a sustained expansion of AI within the sector. Although focused on a specific academic cohort rather than the general population, this research provides essential empirical data for the development of institutional policies that reconcile technological innovation with ethical standards in both regional and global educational frameworks.
Digitalization and foreign trade resilience under geopolitical shocks: the case of Georgia
(Ivane Javakhishvili Tbilisi State University Press, 2026) Munjishvili, Tea; Shaburishvili, Shota; Sikharulidze, Davit; Kadagishvili, Leila; Gazdeliani, Irakli; Sigua, Zviadi
This study examines how digitalization and geopolitical shocks interact to shape Georgia’s foreign trade Dynamics and transit resilience within today’s fragmented global environment. The accelerating digitalization of international trade has fundamentally transformed the mechanisms through which trade flows are generated, transmitted, and stabilized– particularly under conditions of geopolitical conflict, sanctions, and supply-chain disruptions. The Russia– Ukraine war has sharply heightened transportation risks, disrupted Black Sea logistics, and accelerated the reconfiguration of Eurasian trade corridors, positioning countries such as Georgia in a strategically sensitive yet potentially advantageous role. In this context, geographic location alone is no longer sufficient to secure sustainable economic benefits; instead, trade resilience increasingly depends on institutional efficiency, digital infrastructure, and the capacity to absorb external shocks. The theoretical foundation of this research draws on both classical and modern gravity models of international trade, as developed by Anderson and van Wincoop and further extended in contemporary empirical literature. Traditional trade theories, including Ricardo’s principle of comparative advantage and the Heckscher– Ohlin model, explain specialization through factor endowments and productivity differences but remain largely static, unable to capture the dynamic effects of geopolitical risk and digital transformation. By contrast, the gravity framework offers a flexible and empirically robust structure for evaluating bilateral trade flows while accounting for both physical and institutional trade costs. In this study, the Standard gravity equation is augmented with indicators of digitalization, proxies for geopolitical risk, and measures of institutional distance to better capture the evolving determinants of Georgia’s trade and transit performance. Empirically, the study employs a multi-method econometric strategy. First, the Poisson Pseudo-Maximum Likelihood (PPML) estimator is applied to address heteroskedasticity and the prevalence of zero trade flows, which are particularly common under crisis conditions. PPML enables consistent estimation of gravity equations even when trade flows collapse due to conflict, sanctions, or logistical breakdowns. Second, the Generalized Method of Moments (GMM) is used to correct for potential endogeneity between trade flows and factors such as digitalization or institutional quality. Lagged values of economic and institutional indicators serve as instruments ensuring that estimated coefficients capture causal relationships rather than reverse causality. Third, the econometric analysis is complemented by author-designed simulation- based gravity models (SAQ1–SAQ4), which extend classical Tinbergen-type trade equations by incorporating variables related to digitalization, data flows, trade preferences, and geopolitical constraints. The SAQ modelling framework represents a key methodological innovation of the study. SAQ2 models bilateral trade volumes as a function of GDP, population, distance, borders, trade agreements, digitalization, and data flows, while allowing coefficients to be optimized through nonlinear simulation. SAQ4 extends this approach by incorporating trade concentration and trade intensity indices, including the QGTI index adapted from Georgian trade statistics. This enables the analysis to move beyond aggregate trade volumes and assess the structural quality and diversification of Georgia’s trade relations under varying geopolitical scenarios. The empirical findings are consistent across PPML, GMM, and simulation- based models. Digital trade facilitation– measured through electronic customs systems, digital logistics platforms, and data-flow intensity– significantly mitigates the adverse effects of geopolitical shocks on bilateral trade flows. Countries and corridors with higher levels of digital integration experience smaller declines in trade volumes during periods of conflict or sanctions, underscoring the stabilizing role of digital infrastructure At the same time, the results highlight that institutional distance and regulatory fragmentation substantially constrain Georgia’s ability to convert its geographic transit advantages into sustainable economic gains. Even when digital tools reduce administrative delays, weaknesses in governance quality, regulatory harmonization, and contract enforcement continue to elevate transaction costs. The DCFTA with the European Union plays a dual role in this context. While it provides a structural framework for regulatory convergence and market access, its short-term trade effects are constrained by adjustment costs and institutional asymmetries. The models suggest that without parallel investment in digital governance and trade facilitation, DCFTA-driven liberalization alone is insufficient to generate sustained trade expansion under conditions of geopolitical stress. The discussion underscores that digitalization functions as a critical mediating mechanism between geopolitics and trade. Digital platforms reduce informational asymmetries, enhance customs transparency, and enable firms to reconfigure supply chains more rapidly in response to shocks. Yet digitalization does not automatically guarantee resilience; it must be embedded within a broader institutional ecosystem that supports interoperability, regulatory trust, and cross-border data exchange. Georgia’s experience demonstrates that partial digitalization without institutional convergence yields only limited resilience gains. From a policy perspective, the findings imply that strengthening Georgia’s role as a Eurasian transit hub requires an integrated strategy that combines digital trade facilitation, institutional reform, and geopolitical risk management. Investments in electronic customs, digital logistics, and data-driven trade administration should be aligned with deeper regulatory convergence with the European Union and regional partners. Moreover, risk-management mechanisms must be incorporated into trade governance frameworks to ensure continuity under conditions of military conflict or sanctions. In conclusion, the study shows that digitalization significantly enhances Georgia’s trade resilience in the face of geopolitical shocks, but its full economic potentialმ can only be realized when supported by institutional convergence and coordinated governance. The combination of gravity-based econometric analysis and simulation-based modelling provides robust evidence that trade sustainability in the modern era depends not only on geography but increasingly on digital and institutional capacity.
The genesis of the world monetary order from “Paris” to “Post-Jamaica” (historical-logical analysis)
(Ivane Javakhishvili Tbilisi State University Press, 2026) Papava, Vladimer; Mekvabishvili, Elguja
The article argues that the old world order is rapidly being replaced by a new one. The previous order, established after World War II, was shaped by the global rivalry between two superpowers with opposing political and socio-economic systems: The United States and the Soviet Union. In the early 1990s, the collapse of the USSR, and, with it, the so‑called “socialist camp,” gave rise to a unipolar world order dominated by the United States, replacing the former bipolar system. At the heart of any world order lies the global economic order, understood as the systemic unity of rules, laws, norms, and the supporting infrastructure of supranational organizations that define and regulate economic relations among states. The unipolar order that emerged carried a distinctly liberal character, sustained by a global economic framework rooted in free trade. The article conceptualizes the international economic order as the integration of global trade, financial, and monetary systems. It traces the historical development of the global monetary order, from the Paris monetary orderto the post-Jamaica monetary order, emphasizing how each subsequent order arose as an attempt to resolve the systemic contradictions inherent in its predecessor while maintaining essential connections to the previous system. Before the COVID‑19 pandemic, the US‑led unipolar world order propelled a phase of hyperglobalization, reinforcing the central role of the US dollar in the global economy. In this context, the dollar’s clear dominance in both international trade and global foreignexchange reserves can be described as “monetary globalization.” However, Western sanctions imposed on Russia began to challenge this dominance. The outbreak of Russia’s war in Ukraine ushered in a phase of confrontational globalization, accelerating the shift toward a multipolar structure: a transformation that inevitably impacted the global monetary order. Currency geopolitics, where geopolitical factors increasingly shape both the currencies used in international trade and the composition of foreign exchange reserves, is not a new phenomenon. Since the First World War, geopolitical motives have played a significant role in determining the choice of international currency. Although the geopolitical dimension remains influential in the era of currency globalization, it does not fully dominate the system. This suggests that currency globalization and currency geopolitics are complementary forces, with one generally prevailing over the other at any given historical moment. In the current uncertain geopolitical landscape, coupled with the risks stemming from Western sanctions against Russia, two notable developments are emerging: the accumulation of gold as an alternative reserve asset, and the growing use of diverse currencies in international trade. The euro, however, cannot be regarded as a reliable universal reserve asset. Structural and political limitations within the European Union, particularly the absence of coordinated fiscal policies among member states, undermine its stability and diminish its appeal as a viable alternative to the US dollar. China’s expanding role in global trade has fueled the rise of the yuan as an international currency. Nevertheless, objective constraints, such as strict government controls on capital flows, limited transparency in financial markets, and the centralization of one‑party political power, make many countries hesitant to adopt it as a reserve currency. The BRICS nations have announced plans to establish a new reserve currency, backed by a basket of their national currencies and gold. Yet unresolved institutional, organizational, and technical challenges leave that initiative far from realization. Three key conclusions emerge. First, a new world monetary order is taking shape, combining elements of monetary globalization and currency geopolitics, with the latter assuming a dominant role. Second, the growing geopolitical dimension of currency cannot be ignored. Third, while the future global monetary system is likely to be multipolar, the US dollar will, at least in the short to medium term, continue to hold its position as the primary instrument of international trade settlement and the world’s principal reserve currency.