Lecture 23 ID

Autarky

A policy of economic self-sufficiency in which a state minimizes reliance on foreign trade or inputs. Historically associated with wartime mobilization and nationalist development models, tends to reduce efficiency and growth but appeals to states seeking insulation from
external shocks or coercion

Free trade

The removal of barriers to international exchange, allowing goods and services to move across borders with minimal tariffs or quotas. Advocates emphasize efficiency gains and consumer benefits; critics highlight the loss of domestic policy control over its consequences

GATT/WTO

Established a rules-based system to lower
barriers and prevent protectionist spirals. In 1995 it became the
adding services, intellectual property, dispute settlement, and deeper multilateral commitments
— but has since struggled with gridlock, great-power rivalry, and institutional paralysis

Tariff

A tax imposed on imported goods that raises their price relative to domestic products. Protect infant or strategic industries and satisfy political constituencies but risk retaliation, higher
consumer costs, and distortions in global supply chains

Offshoring/onshoring/nearshoring/friendshoring

Shifts production to lower-cost or specialized foreign locations; Brings it
back home for security or resilience; Moves it to geographically closer countries; Relocates supply chains to political allies. Together they describe a spectrum of
corporate and state strategies for balancing efficiency, risk, and geopolitics in a fracturing global economy

Weaponized interdependence

The use of a state’s privileged position in global networks financial, digital, logistical to coerce others by exploiting chokepoints. Coined by Farrell and Newman, it explains how globalization created asymmetric vulnerabilities that the U.S., China, and EU increasingly
leverage for sanctions, surveillance, and strategic pressure

Decoupling/derisking

Aims to sever or sharply reduce economic ties with a rival, particularly in critical
technologies or supply chains. Focuses on reducing
excessive dependencies and vulnerabilities without fully unwinding integration a softer, more targeted form of strategic diversification

Gastrodiplomacy

Strategy that uses national cuisine to build soft power, shape global
perceptions, and market a country’s culture. Popularized by Thailand, Korea, and Taiwan, it leverages food’s universal appeal to create positive associations that traditional diplomacy
cannot as easily manufacture.