YUGOSLAVIA: Tito's Epochal Funeral

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The serious threat to Yugoslavia is likely to be more internal than external. The country is a patchwork of six nationalistic republics—plus two so-called autonomous provinces—that have their own languages, religions and cultures. The Soviets might try to exploit the traditional hostility between the Serbs and the Croats; together they constitute more than 60% of Yugoslavia's 22 million people. Another potential trouble spot is the southern province of Kosovo, the country's poorest region, where friction is developing between Serbs and the rapidly exploding ethnic Albanian population. Two months ago, 50 ethnic Albanians in Kosovo were charged with fomenting political unrest. This could conceivably serve as a Soviet pretext for stirring up trouble in Yugoslavia, as could the thinly disguised Bulgarian claims on Macedonia, the country's southernmost republic.

The country's uneven economy could work either for or against stability. On the one hand, the industrial and urban transformations wrought by Tito have had a cohesive influence. "People have been concentrating on a better standard of living instead of hating their neighbors," says a Western diplomat in Belgrade. But a severe economic downturn could aggravate the glaring inequities, and consequent animosities, between the developed northern republics like Slovenia and hinterlands like Kosovo. Lately the economy has been ailing. Unemployment, estimated at more than 13%, is growing. The current annual inflation rate is estimated at 35%, compared with 14% in 1978. Productivity has slowed, and workers, under the self-management system, have voted themselves inflationary wage increases. Worst of all, the country's trade deficit has ballooned in a year by more than 40%, to $6.4 billion, caused mostly by oil and consumer goods imports.

But in the end it will be up to the Yugoslav leaders to secure the country's future. They have all the effective levers of power in their hands, including the apparent loyalty of the army. They appear to have taken every conceivable precaution against subversion. One haunting question remains: Who or what could replace Tito's towering personality? The answer to that question will determine not only the future of Yugoslavia, but possibly the shape of Europe for years to come.

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