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The Peace of Westphalia signed in 1648 signaled the beginning of the modern international system of states. International relations (IR) theory identifies this treaty as the founder of the principle of political sovereignty whereby each nation-state has full control over its territory and domestic affairs, thus it is the beginning of an international system of states. The latter is based on the sanctity and inviolability of interstate borders as its main defining feature. This paper investigates the recent developments in international relations and their significance to the concept of borders in IR theory; on the one hand, a “clash of civilizations” thesis assumes that new “fault lines” borders among civilizations of, mainly, different religions are taking precedence over traditional territorial borders of nation-states, while, on the other hand, a rise in conservative nationalism and, possibly, protectionism, over the traditionally liberal West reasserts the primacy of territorial borders in IR. In particular, this study examines whether such developments signal a paradigm shift in IR theory that may necessitate revisiting certain fundamentals of mainstream respective theories.

This study focuses on the geopolitical situation in the wider East Mediterranean Region at the dawn of the 20th century, based on the analysis of a major infrastructure project, the Baghdad Railway. The process of its construction eventually led to the rivalry between “Politics” and “Economy”, towards increased relative gains for the superpowers of that period. The innovative side of the research extends to the hypothesis that modern economic crises are also related to power games similar to those prevailing almost a century ago. International Relations are linked with the Politics and Economy sectors, considering realistic lessons from the past in order to shape another better in terms of peace and stability future.

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