This book examines, in rigorous, quantitative detail, the structure of trade between Japan and the United States, tracing the evolution of trade interdependence and the causes of its increasing intensity. It also looks at sectoral differences in interdependence--at the patterns behind changes in the composition of trade and the complex factors that determine how individual sectors of each economy respond to economic change in all the others. In the first part, the author designs and estimates a multicountry, multisectoral general equilibrium model. The model is operationalized with careful estimates of the parameters that govern demand, production, and trade in both economies. In the second part, the model is employed to explore various aspects of interdependence and commercial policy. Peter Petri's findings indicate, among other things, that the American and Japanese economies are more closely related than one might judge from the size of their trade. As a result of differences in the structures of the two economies, their interdependence is sharply asymmetric, with economic events in the United States having a greater impact on Japan than vice versa. The study also shows that the roots of bilateral conflict can be traced to structural causes, and suggests that recent structural changes may have increased the incentives for protectionism.

" How globalized information networks can be used for strategic advantage Until recently, globalization was viewed, on balance, as an inherently good thing that would benefit people and societies nearly everywhere.Now there is growing concern that some countries will use their position in globalized networks to gain undue influence over other societies through their dominance of information and financial networks, a concept known as “weaponized interdependence.” In exploring the conditions under which China, Russia, and the United States might be expected to weaponize control of information and manipulate the global economy, the contributors to this volume challenge scholars and practitioners to think differently about foreign economic policy, national security, and statecraft for the twenty-first century. The book addresses such questions as: What areas of the global economy are most vulnerable to unilateral control of informationand financial networks? How sustainable is the use of weaponized interdependence? What are the possible responses from targeted actors? And how sustainable is the open global economy if weaponized interdependence becomes a default tool for managing international relations? "

An examination of how America can strengthen its approach to China by building on its existing advantages “This book is essential reading for anyone interested in understanding how the United States can renew its advantages in its competition with China.”—Ambassador Susan E. Rice, former U.S. National Security Advisor “Ryan Hass has provided an indispensable and timely contribution to understanding our critical path forward with China.”—Jon M. Huntsman, former U.S. Ambassador to China and Russia Ryan Hass charts a path forward in America’s relationship and rivalry with China, a path rooted in the relative advantages America already possesses. Hass argues that while competition will remain the defining trait of the relationship, both countries will continue to be impacted—for good or ill—by their capacity to coordinate on common challenges that neither can solve on its own, such as pandemic disease, global economic development, climate change, and nuclear nonproliferation. Hass makes the case that the United States will have greater success in outpacing China economically and outshining it in questions of governance if it focuses more on improving its condition at home than on trying to impede Chinese initiatives. He argues that the task at hand is not to stand in China’s way and, in the process, turn a rising power into an enemy but to renew America’s advantages in its competition with China.

In this book, Aaron Forsberg presents an arresting account of Japan's postwar economic resurgence in a world polarized by the Cold War. His fresh interpretation highlights the many connections between Japan's economic revival and changes that occurred in the wider world during the 1950s. Drawing on a wealth of recently released American, British, and Japanese archival records, Forsberg demonstrates that American Cold War strategy and the U.S. commitment to liberal trade played a central role in promoting Japanese economic welfare and in forging the economic relationship between Japan and the United States. The price of economic opportunity and interdependence, however, was a strong undercurrent of mutual frustration, as patterns of conflict and compromise over trade, investment, and relations with China continued to characterize the postwar U.S.-Japanese relationship. Forsberg's emphasis on the dynamic interaction of Cold War strategy, the business environment, and Japanese development challenges "revisionist" interpretations of Japan's success. In exploring the complex origins of the U.S.-led international economy that has outlasted the Cold War, Forsberg refutes the claim that the U.S. government sacrificed American commercial interests in favor of its military partnership with Japan.

In Reliability and Alliance Interdependence, Iain D. Henry argues for a more sophisticated approach to alliance politics and ideas of interdependence. It is often assumed that if the United States failed to defend an ally, then this disloyalty would instantly and irrevocably damage US alliances across the globe. Henry proposes that such damage is by no means inevitable and that predictions of disaster are dangerously simplistic. If other allies fear the risks of military escalation more than the consequences of the United States abandoning an ally, then they will welcome, encourage, and even praise such an instance of disloyalty. It is also often assumed that alliance interdependence only constrains US policy options, but Henry shows how the United States can manipulate interdependence to set an example of what constitutes acceptable allied behavior. Using declassified documents, Henry explores five case studies involving US alliances with South Korea, Japan, the Republic of China, the Philippines, Australia, and New Zealand. Reliability and Alliance Interdependence makes a substantial contribution to our understanding of how America's alliances in Asia function as an interdependent system.

The perspectives of technologists, economists, and policymakers are brought together in this volume. It includes chapters dealing with approaches to assessment of technology leadership in the United States and Japan, an evaluation of future impacts of eroding U.S. technological preeminence, an analysis of the changing nature of technology-based global competition, and a discussion of policy options for the United States.

This title was first published in 2000: An investigation of the issue of financial markets interdependence or integration through the application of recently developed and powerful techniques in time series econometrics. The text provides coverage of theoretical analysis and applications in the context of the Asia-Pacific region.

Is it true that the forces of technology and interdependence have undermined the sovereignty of modern states? This book argues powerfully that the opposite is true: that over the past quarter century the major industrial states - the US, Britain, France, Germany and Japan - have mostly used these forces, often in novel ways, to pursue national purposes. The nation-state framework has, over that period, remained the basis of legitimate political authority and law. There has been a huge increase in the scope, incidence and detail of state regulation to manage, among other things, both the domestic economy and the effects of transnational flows. International management almost invariably depends upon state consent. The power of the state has never, anywhere, been absolute and its methods of management have always been changeable. But there is no evidence that its managerial effectiveness has, overall, been less in 1995 than in 1975 or 1965. This book therefore takes strong issue with much of the literature on interdependence and international organisation which has appeared in recent times. It is especially useful for those trying to understand the larger framework within which business must operate or the sources of authority for anyone's plan to manage problems of financial or population flows, of transnational conservation problems or of trade. The book will also be of particular use in graduate and senior undergraduate courses in international relations or organisation.