This article seeks to clarify what is seen as confusion over the fate
of the (European) nation-state, by phrasing the question of the title
in three different ways. First, it is asked whether the existing natio
n-stares are threatened. This is found to be the case, but in the sens
e of a proliferation rather than an obliteration of the nation-state.
In the Balkans and the Caucasus, however, the popularity of the idea o
f the nation-state creates a specific and tragic problem, since ethnic
ally homogeneous nation-states in those areas imply ethnic cleansing.
Second, it is asked whether the nation-state is threatened. Neo-functi
onalist theory predicts the nation-state to become increasingly obsole
te as technological developments make it too small to function effecti
vely. But big nation-states are also nation-states, and if the EU were
able to establish itself as provider of military security, welfare, a
nd collective identity, the Union would, ironically, be transformed in
to a nation-state. There is no evidence that small nation-states an un
able to provide wealth or collective identity, however, and the provis
ion of military security (or welfare) seems not to be integral to the
nation-state. Finally, it is asked whether we witness a reduction in t
he power of the stare as such - nation-state or not. It is argued that
new communication technology and increased private wealth have altere
d the balance between state and markets/individuals in the direction o
f companies, organizations, and individuals, as the state no longer ca
n control the flow of money, programme, and ideas.