POLI 360 - Lecture (Jan. 19th)

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American allies benefited enormously from access to american markets, in addition to their security relationships. Japan and south korea prospered as development states; recognized need for domestic reorganization as well as engaging in developing links with the american economy. Therefore, sometimes having too much aid/resources is a curse; receiving too much money abroad results in easy means, which creates an uncompetitive, unequal economies that are not innovative. Economic power is needed to maintain military capacity. Countries whose economic resources are threatened (imperial japan?) engage in military action. Sanctions are often put forward by economically strong states upon vulnerable states in order to change the target state"s policies. Can be used to deter military aggression in targets. Also sometimes used to alleviate human rights violations. Most favoured nations status (mfn); lowest tariff will be established for these countries. Embargo one country seeks to put pressure on another by restricting trade for private companies; can be seen in strategic materials.

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