Page 7 - Azerbaijan State University of Economics
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THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.72,  # 1, 2015, pp. 5-26



                    77,6  million,  which  has  only  smaller  number  of  Sunni  Muslims  than  Indonesia,

                    India  and  Pakistan.  Unfortunately,  this  country  is  more  densely  populated  in  the


                    Western areas (Istanbul, Ankara and Izmir), what limits the development of trade

                    and people - to - people exchanges with South-Eastern neighbour Iran [2].


                         Besides,  Turkey  enjoys  strong  historical  influence  upon  Turkish  -  speaking

                    countries. The Turkish languages represent a family of at least 35 languages with 170

                    million  native  speakers,  but  if  to  include  the  second-language  speakers,  the  actual


                    number may exceed 200 million people [3]. This especially important with a regard to

                    Azerbaijan,  which  simultaneously  is  Shia  -  Muslim  country  like  Iran,  but  has  the


                    language related to Turkey. The same linguistic connection also typical for the majority

                    of Central Asian states. Iranian leadership boasts only language links to Tajikistan and


                    Afghanistan.  Turkey  opened  a  number  of  schools  in  the  Central  Asia  and  built

                    numerous mosques. So, the ability to project the soft power is considerably bigger in


                    Turkey than is Iran, hit by the international sanctions and isolated in the world.

                         Together  with  Iraq  and  Syria  Iran  and  Turkey  face  long  -  standing  Kurdish


                    problem,  since  Kurds  live  in  South-Eastern  Anatolia  and  in  Iranian  provinces  of

                    Kurdistan, Kemranshah and West Azerbaijan. Iran is populated by 5 million Kurds

                    and Turkey hosts at least 12 million of them [4]. Those people in Iran usually do not


                    conduct guarilla warfare, but in Anatolia they fought for their rights from 1984 in

                    the war of attrition that led to 40 thousands casualities [5]. Moreover, both countries


                    try  to  influence  Kurds  in  Iraqi  Kurdistan  as  in  a  strategic  region  ajecent  to  their

                    common  border.  All  this  creates  nessesary  preconditions  not  only  for  the



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