Throughout the last 200 years of Azerbaijan's history, since the conquest of North Azerbaijan by the Russian Empire, Azeri intellectuals have debated how they should embrace modernity and how to reconcile it with tradition, said Chingiz Mammadov, professor, Economic and Management School, Khazar University; program manager, Counterpart-International; and fellow, Woodrow Wilson Center. Speaking at a recent Kennan Institute event, Mammadov stated that this debate has continued after Azerbaijan regained its independence in 1991.

The name "Azerbaijan" can be traced to ancient times, Mammadov said. One possible etymology links the name to Athropat, who ruled the territory as the satrap of Alexander the Great. Another theory links it to the word azer, which means "fire" in Middle Persian, after the country's famous oil resources. The modern history of Azerbaijan was greatly influenced by Turkic states, including the Seljuk, Gara Goyunlu, Ag Goyunlu, Safavid, and Gajar states. In Western and Russian historiography, the Safavid and Gajar empires were mistakenly called "Persian," although these rulers never called themselves "Persian." This is misleading, Mammadov noted, because it obscures the connections between North and South Azerbaijan, and impedes understanding of Iranian history and politics.

In its current borders, the Republic of Azerbaijan encompasses only half of what was taken by the Russian Empire from the Gajar state at the beginning of the 19th century. Mammadov presented maps showing how the territory of North Azerbaijan shrank with each major upheaval during the last two centuries. After the de facto recognition of Azerbaijan by the Treaty of Versailles in January 1920, the Soviet authorities gave large portions of Azerbaijan to Armenia and Georgia during Stalin's time. Following the acceptance of Azerbaijan into international organizations such as the United Nations, Armenia continues to occupy 16–17 percent of Azerbaijan's territory, Mammadov said.

From being a titular ethnicity in the Gajar state, Azeris began to feel like second class citizens within the Russian Empire, Mammadov stated. As the 19th century drew to a close, Azeri intellectuals responded to this status positively by discussing the reasons for their defeat by Russia. At the same time, the Russian Empire began to modernize itself, and this process affected its constituent parts, including Azerbaijan. These two factors together contributed to an awakening among the Azeri people, according to Mammadov. Numerous cultural figures such as Kazim-bey, Akhundov, and Mamedguluzadeh argued that to overcome this legacy, Azeris should embrace modernity. The discussion lasted from the late 19th century through World War I.

Mammad Emin Rasulzade epitomized the evolving debate within Azeri society, as early in his career he moved between four ideologies that competed for the minds of Azeris at the beginning of the 20th century: Pan-Islamism, social democracy, Pan-Turkism, and Azeri nationalism. After being involved with the Pan-Islamist Muslim Youth in 1902, Rasulzade founded Hummet (Endeavor), a Muslim organization with a social democratic orientation in 1904. After going into exile in Iran in 1908, he founded Irane-Now, the first modern newspaper in Persian in Tehran. He then went into exile in Turkey. Upon his return to Baku, then in the Russian Empire, Rasulzade adopted a leading position in an Azeri nationalist party, and took on a leading position in the Azeri independence movement.

While in the Russian Empire, Mammadov noted, Azerbaijan underwent a dramatic modernization. Education in the Azeri language became widespread, while the first Azeri-language newspaper Ekinchi appeared in 1875. The first girls' schools in the Muslim world were founded in Azerbaijan, along with modern cultural institutions such as operas, theaters, and ballets. The first democratic republic in the Muslim world was declared in May 1918, which featured parliamentary rule and universal voting rights. This brief experiment in statehood was brought to an end by the Red Army in April 1920, although its legacy lived on in local communists, many of whom struggled to protect Azeri autonomy within the Soviet Union. Northern Azerbaijan continued to be part of the Soviet state until 1991. Since 1991, the country has been ruled by Abulfaz Elchibey and then by Heidar Aliev and his son Ilham Aliev. Despite many differences between Elchibey and Heidar Aliev, and the sometimes hostile relations between their supporters, Mammadov noted, they have taken a course toward strengthening the independence of Azerbaijan in a difficult neighborhood.

South Azerbaijan continued to be a part of Iran through the tumult of World War I. The ruling Gajar dynasty relied on several institutions for their power. This included the monarchy, the Shia clergy, the wealthy merchant class, and the loyalties of various ethnic groups or tribes. The city of Tabriz is at the center of a region heavily populated by ethnic Azeris. At the time of the Gajar Empire, Tabriz was the most developed city in Iran, as well as the seat of the crown prince. During the Constitutional Movement in Iran, South Azerbaijan played the most active role. After World War II in 1945–46, the Azerbaijan People's Republic was declared, an event that is currently subject to contentious interpretations. Some argue that it came about as the result of an independent nationalist movement, while some claim it was a Soviet client movement. Mammadov asserted that regardless of interpretation, this event is important for understanding the contemporary situation in Iran.

South Azerbaijan retains a legacy in Iranian politics today. Mammadov noted that in comparison with the repressive rule of the shah, the Islamic Republic, despite its many shortcomings, represents a step forward for national minorities, who were given more autonomy. During the shah's rule, theories were "invented" that denied the Turkic origins of the Azeris living in Iran and sought to divide those in the north and south into essentially different groups. Similar theories were "invented" in the Soviet Union as well, Mammadov observed. A lot of attention was paid to the ancient states on the territory of Azerbaijan, while relatively recent history was ignored, he said.

In the modern period, the division between North and South Azerbaijan has become a contentious issue. Because there are no scientific, quantitative, or qualitative tests on this issue, the self-consciousness, identity, and aspirations of these people are the decisive factors, Mammadov stated. He described two extreme views on the subject. Some say that Azeris on both sides of the Araz River constitute one nation and compare the division to the situation of Germany during the Cold War and Korea today. This view is widely shared in the Republic of Azerbaijan. Opinion in the South is divided, as many ethnic Azeris also self-identify as Iranians. Mammadov observed that only the people themselves and history can answer this question. The nation exists only when it exists in the minds of a significant number of people, he stated, and the elite plays the most important role in this process.

Mammadov stated that, currently, Azeri identity is a combination of many factors. Generally, Azeris are of Turkic origin, and are culturally and geographically part of the Muslim world, the former Soviet Union, Europe, and the Middle East. Azeris support the anti-terror coalition, rejecting extreme religious views. Finally, the identity of many Azeris has moved from an ethnically based identity to a state-based identity, which is based on the borders of the Azerbaijan that gained independence in 1991.