yesThis paper focuses on why shared sovereignty in general has been problematic and why the political economy of liberal peace has had limited impacts on poverty and the role of crime in Southeast Europe. The analysis begins with shared sovereignty and its relevance to economic development. The paper then outlines the discouraging economic situation evidenced by documentation and fieldwork. I then ask the question `how do people cope?¿, and try to answer this with reference to the labour market and the non-observable economy. The argument is that economy of survival has been both a negotiation with, and resistance to, economic policies introduced from outside. Finally, the paper contemplates political economy approaches that emphasise production and employment creation
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