international relations 3.12.25

Currency Manipulation and Economic Transparency

• The Chinese economy intentionally depresses the yuan through various methods, including debt manipulation and lack of transparency.

• Accusations exist that Beijing is not honest about its economic data, leading to allegations of "cheating."

• Cheating refers to manipulating data to gain economic advantages, diverging from the principles of transparency and accountability.

• While China is highlighted, the issue of financial manipulation can apply to multiple countries.

Neoliberal Institutionalism vs. Realism

• Neoliberal institutionalism acknowledges that the international system is anarchic, similar to realism.

• Unlike realism, which views self-interest as the primary driver, neoliberal institutionalism believes cooperation can align with self-interest.

• Continuous interactions between states can lead to reciprocal behaviors: cooperation and non-cooperation.

• Historical example: Despite their adversarial relationship, the US and China have interdependent cooperation grounded in economic activity.

• Example of cooperation: world leaders from rival states interact to facilitate positive outcomes despite distrust.

Human Psychology and Cooperation

• Neoliberal institutionalists argue that repeated interactions foster cooperation even between differing perspectives.

• The theory posits that familiarity can lead to compromise; adversaries can find common ground through dialogue.

• World War I Truce Example: In 1916, soldiers from opposing sides celebrated Christmas together, illustrating how repeated contact can spur cooperation despite conflict.

The Prisoner's Dilemma

• The prisoner's dilemma exemplifies challenges in cooperation, weighing the benefits of cooperating against self-interest.

• Professor Axelrod's research introduced the tit for tat strategy:

  • Start by cooperating.

  • In subsequent rounds, mimic the opponent's last move (cooperate if they cooperated, defect if they defected).

• This strategy proved successful in computer simulations of the prisoner's dilemma, emphasizing the importance of reciprocity in negotiations.

Strategic Negotiation Advice

• Effective negotiation strategies derived from tit for tat include:

  • Cooperation: Initiate interaction with a cooperative gesture.

  • Retaliation: Respond to defection with retaliation to maintain boundaries.

  • Forgiveness: Be willing to re-establish cooperation after previous defects without holding grudges.

  • Clarity: Be clear about motivations and intentions to facilitate productive negotiation.

Neoliberal Institutionalism in Action

• International institutions serve to facilitate repeated interactions among states, promoting cooperation.

• Through negotiations, institutions clarify issues and provide a framework for resolution.

• Democratic Peace Theory: Democracies are less likely to go to war with one another due to shared governance values.

• Commercial Peace Theory: Nations engaged in substantial trade are less inclined to conflict over resources or territory.

Constructivism in Cooperation

• Constructivism focuses on identities influencing state behavior; shared identities foster cooperation.

• States can evolve their identities towards cooperative norms—example: Japan's post-WWII transformation from militaristic to peaceful engagement in international relations.

Marxist Perspective on Resources

• Questioning the role of resources in conflict, some argue that material interests supersede identity, democracy, or economic ties in driving foreign policy.

• Marxist theory emphasizes that access to resources such as oil shapes international relations and conflicts.