The economics of soft power: Reliance on economic resources and instrumentality in economic gains

Abstract Soft power is commonly presented as an alternative or a complement to harder forms of power, such as military and economic might. However, while it is safer to say that soft power does not depend on military capabilities, it is not as straightforward to separate soft power from its economic counterpart. Juxtaposing various soft power rankings with a country’s economic assets may reveal how soft power relies on economic resources. Moreover, when closely scrutinised, it is possible to appreciate how dynamics of attraction are also closely intertwined with economic gains. In an increasingly connected world, soft power could prove to be instrumental in achieving economic success. Economic effects are expected to be more consistent, observable, and attainable when compared to political ones, such as spreading democracy. Far from arguing that soft power is unable to assist in achieving political goals in the long term, this paper aims instead to highlight how a narrow culture-centred analysis of soft power greatly limits the understanding of this power in the real world, and results in the underestimation of its value and impact. China’s quest to connect the world through its Belt and Road Initiative (BRI) is a topical case through which to further explore the soft–economic power nexus.