The concept of economic warfare has been traditionally used for addressing the complementary economic tactics of armed conflict. In the near future it could represent a way of conducting war per se.
The balance of forces amongst states is no longer only measured by assessing the strength of conventional armed forces. The years since 1990 are often defined as the “geo-economics’ era”. Following the end of the Cold War, the economic domain has become the main criterion of measuring the state’s power, at both the regional and global level.[i] The current trend sees the balance of forces measured by economic indicators rather than by military capabilities. Hence, the confrontation amongst competitors in a certain region is often played by exploiting the points of weakness and dependencies of the opponent/s as well as putting in place financial measures aimed at damaging it or limiting its influence rather than threatening it with military means. In short, geopolitics seem to be experiencing a renaissance, heavily impacting–at times dominating–the realm of international relations due to a decrease in the likelihood of full-scale military escalations.
In effect, without the constraints of a defined world order, risks of local military escalations have become great at the point that full-scale military actions are very few while more limited interventions and/or wars by proxy have increased.