International Relations

FSI researchers strive to understand how countries relate to one another, and what policies are needed to achieve global stability and prosperity. International relations experts focus on the challenging U.S.-Russian relationship, the alliance between the U.S. and Japan and the limitations of America’s counterinsurgency strategy in Afghanistan.

Foreign aid is also examined by scholars trying to understand whether money earmarked for health improvements reaches those who need it most. And FSI’s Walter H. Shorenstein Asia-Pacific Research Center has published on the need for strong South Korean leadership in dealing with its northern neighbor.

FSI researchers also look at the citizens who drive international relations, studying the effects of migration and how borders shape people’s lives. Meanwhile FSI students are very much involved in this area, working with the United Nations in Ethiopia to rethink refugee communities.

Trade is also a key component of international relations, with FSI approaching the topic from a slew of angles and states. The economy of trade is rife for study, with an APARC event on the implications of more open trade policies in Japan, and FSI researchers making sense of who would benefit from a free trade zone between the European Union and the United States.

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Daron Acemoglu is Charles P. Kindleberger Professor of Applied Economics in the Department of Economics at the Massachusetts Institute of Technology and a member of the Economic Growth program of the Canadian Institute of Advanced Research. He is also affiliated with the National Bureau Economic Research, Center for Economic Performance, and Center for Economic Policy Research.

His work has been published in leading scholarly journals, including the American Economic Review, Journal of Political Economy, Quarterly Journal Economics and Review of Economic Studies to name a few. Daron Acemoglu's research covers a wide range of areas within economics, including political economy, economic development and growth, human capital theory, growth theory, technical change, and search theory. Acemoglu is also the editor of the Review of Economics and Statistics, and associate editor of the Journal of Economic Growth.

Abstract of paper presented in this research seminar

This paper develops a model where there is a trade-off between the enforcement of the property rights of different groups. An "oligarchic" society, where political power is in the hands of major producers, protects their property rights, but also tends to erect significant entry barriers, violating the property rights of future producers. Democracy, where political power is more widely diffused, imposes redistributive taxes on the producers, but tends to avoid entry barriers. When taxes in democracy are high and the distortions caused by entry barriers are low, an oligarchic society achieves greater efficiency. Nevertheless, because comparative advantage in entrepreneurship shifts away from the incumbents, the inefficiency created by entry barriers in oligarchy deteriorates over time. The typical pattern is therefore one of the rise and decline of oligarchic societies: of two otherwise identical societies, the one with an oligarchic organization will first become richer, but later fall behind the democratic society. I also discuss how democratic societies may be better able to take advantage of new technologies, how an oligarchic society might transition to democracy because of within-elite conflict, and how the unequal distribution of income in oligarchy supports the oligarchic institutions and may keep them in place even when they become significantly costly to society.

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Daron Acemoglu Professor of Economics MIT
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Liz McBride, Director of the Post-Conflict Development Initiative at the London-based Internatinal Rescue Committee will discuss state reconstruction challenges following violent conflict in the developing world. McBride is a visiting researcher in the spring quarter at CDDRL. She has worked in humanitarian relief and post-conflict reconstruction in Tanzania and Rwanda. McBride's responsibilities at the International Rescue Committee include creating and ensuring implementation of new institutional program frameworks in response to the changing nature of humanitarian aid; overseeing technical areas of community driven reconstruction, good governance, civil society, local capacity development, conflict resolution and economic development; and supporting service delivery technical units in defining post-conflict strategies and priorities (i.e. health, education). She also works intensively with the International Rescue Committee's primary target post-conflict countries: Sudan and South Sudan, Democratic Republic of Congo, Afghanistan, Liberia.

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Liz McBride Director, Post-Conflict Development Initiative International Rescue Committee
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Michael A. McFaul
Abbas Milani
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CDDRL Faculty Associate, Michael McFaul and Hoover Institution Fellow, Abbas Milani argue that Iran's nuclear program does not pose a direct threat to the United States. US leaders, therefore, need a radical new approach that would nurture change from within Iran rather than impose change from without.

Even when the European-Iranian agreement to halt Iran's uranium-enrichment program looked solid, the United States was blunt in its disapproval. The ink was barely dry on the accord when the Bush administration, it appears, began trying to derail it.

First, rather than endorse the accord, Secretary of State Colin Powell essentially accused the Iranians of lying when they said their nuclear program was for peaceful purposes. He announced that new intelligence showed Iran is developing a nuclear warhead to arm its Shahab-3 ballistic missiles. Then, at a Nov. 20 meeting of heads of state in Santiago, Chile, President Bush stated unequivocally that Iran is trying to build a nuclear weapon.

Why would the administration take such a combative stance? Because hard-liners within the administration thought Tehran would use the settlement to buy time for building nuclear weapons, and that the United States would be better off bombing Iran's suspected weapons sites.

Proponents of using military force against Iran have not yet won the argument within the Bush administration. But the past two weeks of strong pronouncements about the threat Iran poses suggest that the military option may be gaining ground. And Iran's last-minute attempts to maintain some enrichment capabilities -- which by press time Friday were threatening to kill the European agreement -- no doubt strengthened the hard-liners' hand.

Before the United States even considers such a drastic step as airstrikes against suspected nuclear weapons sites -- or even trying to compel the United Nations to endorse new economic sanctions against Iran -- it is essential that our leaders be clear about what they are trying to accomplish in Iran and whether such actions will help or hurt.

If the ultimate goal is to create a democracy -- one that would not fear the United States and therefore have less use for the bomb -- then dual-track diplomacy with Iran's government and with its people is more likely to work than military action.

Probably the most important question the administration's leaders should ask themselves is whether Iran, even a nuclear-armed Iran, poses a direct threat to the United States and its allies.

The answer, we believe, is no.

The mullahs who rule Tehran long ago gave up their ideological quest to "export'' revolution. Like the last generation of octogenarians who ruled the Soviet Union, Iran's leaders today want nuclear weapons as a means to help them preserve their power, not to help them spread their model of theocratic rule to other countries.

Deterrence works

In other words, even if Iran's rulers succeeded in building nuclear bombs, they would be very unlikely to take on the United States and its vast nuclear arsenal or to attack Israel. (The mullahs in Tehran understand that any nuclear attack against Israel would trigger full retaliation from the United States.) In dealing with Iran, deterrence works.

Tehran would also be unlikely to pass a bomb to Islamist terrorists, despite its support of Arab terrorist organizations that continue to attack Israel. One reason, again, is deterrence. Iran's rulers know that the United States would probably be able to trace the weapon back to them and retaliate.

The threat of a nuclear Iran comes, instead, from the reaction it is almost sure to spark in the region and the world, possibly sending Egypt and Saudi Arabia on their own quests for nuclear weapons.

Such an arms race would undermine the longstanding Treaty on the Non-Proliferation of Nuclear Weapons, an agreement signed by nearly 190 countries, that has proved indispensable in preventing the spread of nuclear weapons.

Bush administration hard-liners want to save that arms-control treaty by using arms. In advocating a "surgical'' military strike against Iran's most important nuclear facilities, including the once hidden enrichment plant in Natanz, they cite Israel's airstrike against Iraq's nuclear complex at Osirak in 1981 as a model of success. They argue that an American (or Israeli) strike would not end Iran's nuclear aspirations, but would dramatically slow its program and make the mullahs reconsider the costs of trying to restart it.

Attack would backfire

But a pre-emptive military strike would instead do just what the hard-liners in Tehran hope for: It would unite their people behind them.

Even a precise bombing campaign would kill hundreds if not thousands of innocent Iranians; destroy ancient buildings of historical and religious importance; trigger an Iranian counterstrike, however feeble, against American targets and friends in the region, and spur the mullahs to increase their direct support for American enemies in the Shiite part of Iraq.

Even more important, an attack would only encourage Tehran to redouble its efforts to build a bomb, just as Saddam Hussein sped up his efforts after the 1981 strike. It would also hurt the democratic opposition movement inside Iran, which is already in retreat and cannot afford another setback. After an attack, Iranians, not unlike Americans, are sure to rally around the flag and their government.

If the administration decides, in the end, that American military options are limited and counterproductive, the only serious way to impede the development of Iranian nuclear weapons is through negotiation. Iran's recent accord with France, Britain and Germany is only temporary, and negotiations are expected to continue.

If the United States were to jump in now, it could try to ensure that our European allies accept nothing less than a permanent and verifiable dismantling of Iran's enrichment capabilities, as well as banning any plutonium production.

Allowing the Iranians to enrich even some uranium, which they say will be used merely to feed their nuclear power plant, makes it too easy to cheat. To make the deal work, the United States would need to join with Europe, Russia and China in pledging to guarantee Iran a permanent and continuous supply of enriched uranium. To make the deal even more attractive, the fuel could be offered at reduced prices.

Even under the strictest inspection regime, Iran's leaders will cheat, as they have often done in the past, and they will eventually divert enriched uranium from peaceful to military purposes. But the harder and more transparent the allies can make it, the longer it will take Iran to begin building bombs.

In the long run, the world's only serious hope for stopping Iran from developing nuclear weapons is the development of a democratic government in Tehran. A democratic Iran will become an ally of the Western world no longer in need of a deterrent threat against the United States.

Democracy in Iran therefore obviously serves U.S. national interests. Yet Bush administration officials (as well as their predecessors in the Clinton, Bush and Reagan administrations) have not succeeded in developing a strategy for advancing the cause of Iranian democracy.

New strategy

What is needed is a radical new approach that would nurture change from within the country, in alliance with Iran's democratic movement, rather than impose change from without.

A first step would be to establish an American presence in Tehran, as many in Iran's democratic opposition have proposed. Now decades old, the U.S. policy of isolating Iran has not weakened but instead strengthened its autocratic government.

Of course, we are not suggesting that the United States open an embassy in Tehran and turn a blind eye to human rights abuses; that would only contribute to the further consolidation of the mullahs' hold on power. But we are suggesting a new strategy that would allow American government officials, as well as civic leaders, academics and business people, to engage directly with Iranian society.

This engagement cannot occur on a widespread scale without some level of diplomatic relations and some revision of the American sanctions against Iran. Then, more Western foundations would be able to make grants to pro-democracy Iranian organizations, while business people -- and especially the Iranian-American business community in the United States -- would be able to leverage their capital and know-how to influence economic and political change inside Iran. A U.S. presence in Iran would, not incidentally, also enhance the West's ability to monitor Iran's nuclear program.

Critics of engagement argue that diplomatic relations with Iran will reward this "axis of evil'' member for years of supporting terrorism and pursuing nuclear weapons. In fact, an American presence in Iran is the mullahs' worst nightmare.

Iran's government has long used its ongoing tensions with the United States, as well as the embargo, as an excuse for the economic difficulties that are, in fact, the direct results of the regime's incompetence and corruption. Tehran's leaders have conveniently labeled nearly all of their opponents as "agents of America.''

Most important, part of the regime's self-declared legitimacy lies in its claim to be the only Muslim country fighting what it sees as U.S. imperialism. If the United States could prove it's not an enemy of the Iranian people, the legitimacy of Iran's leaders would diminish.

Reagan's course

In the first years of his presidency, Ronald Reagan labeled the Soviet Union the "evil empire'' and went out of his way to avoid contact with such a regime.

Over time, however, Reagan charted a new course of dual-track diplomacy. He engaged Kremlin leaders (well before Gorbachev) in arms control, while also fostering contacts and information flow between the West and the Soviet people in the hope of opening them up to the possibilities of democracy.

In the long run, it was not arms control with the Soviets, but democratization within the Soviet Union, that made the United States safer.

If George W. Bush desires a foreign-policy legacy as grand as Reagan's, now is the time to think big and change course as dramatically as Reagan did.

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"Taiwan's Democratization, American Democracy Diplomacy and China's

Democratic Future"

Sheng-Chung "Jeffrey" Hsiao, Shorenstein APARC Visiting Fellow from the Ministry of Foreign Affairs, Taiwan

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"A Rhetorical Analysis of U. S. Foreign Policy Towards Taiwan"

Pingshen "Benson" Wang, Shorenstein APARC Visiting Fellow from the Ministry of Foreign Affairs, Taiwan

Okimoto Conference Room

Sheng-Chung "Jeffrey" Hsiao APARC Visiting Fellow from the Ministry of Foreign Affairs Taiwan
Pingshen "Benson" Wang APARC Visiting Fellow from the Ministry of Foreign Affairs Taiwan
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U.S.-Russian relations are adrift. After a promising start, George W. Bush has failed to capitalize on his personal relationship with Russian President Vladimir Putin to develop a comprehensive and meaningful relationship between the United States and Russia. Although neither country has adopted an openly hostile position toward the other, the level of engagement between Russia and the United States could be and should be much broader than it is today.

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Publication Type
Policy Briefs
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Center for American Progress
Authors
Michael A. McFaul
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Assistant Professor of Political Science and CDDRL Faculty Associate, Jeremy Weinstein, will present a paper on whether or not states embroiled in violent conflict are better able to emerge with a stable peace when left to their own devices as opposed to receiving aid from the international community. Weinstein's research has focused on civil war and insurgencies in Africa in particular. He is the author of the forthcoming book manuscript, Inside Rebellion: The Political Economy of Rebel Organization.

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Jeremy M. Weinstein Assistant Professor of Political Science , Faculty Associate Speaker CDDRL
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Isabela Mares, Assistant Professor of Political Science and Victoria Schuck Faculty Scholar will discuss social security and social protection systems in the developed and developing world. Mares has written extensively on social welfare systems and social policy development in France and Germany. Her recent research has also touched on comparisons with developing states. Mares is the author of the 2003 Cambridge University Press book The Politics of Social Risk: Business and Welfare State Development.

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Isabela Mares Assistant Professor of Political Science Stanford University
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"If Russia eventually reverts to a full-blown autocratic regime, it is not inconceivable that tension and competition once again will define Russian-American relations. At this critical moment in Russia's internal development, American foreign policy makers cannot afford to be disengaged."

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Journal Articles
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Current History
Authors
Michael A. McFaul
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Professor Thomas Risse of Freie University in Berlin, Germany will lead off the weekly CDDRL research seminar on October 6 at 12 pm. Professor Risse is a renowned international relations scholar. Among his varied research interests are new forms of state sovereignty in failed and failing states.

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Thomas Risse "Areas of Limited Sovereignty" Freie University, Berlin
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Creative destruction "revolutionises the economic structure from within," Joseph Schumpeter famously said, "incessantly destroying the old one, incessantly creating a new one." Innovation in business-new goods, new markets, new methods of production, new ways of organizing firms-is the "fundamental impulse that sets and keeps the capitalist engine in motion" (Schumpeter, 1975, p. 82). Does the economy have enough flexibility? Are there barriers in the way of entrepreneurship? This paper develops a framework for quantifying creative destruction.

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Publication Type
Working Papers
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CDDRL Working Papers
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