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91. The Future of the Liberal World Order

Author:
G. John Ikenberry
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
There is no longer any question: wealth and power are moving from the North and the West to the East and the South, and the old order dominated by the United States and Europe is giving way to one increasingly shared with non-Western rising states. But if the great wheel of power is turning, what kind of global political order will emerge in the aftermath? Some anxious observers argue that the world will not just look less American -- it will also look less liberal. Not only is the United States' preeminence passing away, they say, but so, too, is the open and rule-based international order that the country has championed since the 1940s. In this view, newly powerful states are beginning to advance their own ideas and agendas for global order, and a weakened United States will find it harder to defend the old system. The hallmarks of liberal internationalism -- openness and rule-based relations enshrined in institutions such as the United Nations and norms such as multilateralism -- could give way to a more contested and fragmented system of blocs, spheres of influence, mercantilist networks, and regional rivalries. The fact that today's rising states are mostly large non-Western developing countries gives force to this narrative. The old liberal international order was designed and built in the West. Brazil, China, India, and other fast-emerging states have a different set of cultural, political, and economic experiences, and they see the world through their anti-imperial and anticolonial pasts. Still grappling with basic problems of development, they do not share the concerns of the advanced capitalist societies. The recent global economic slowdown has also bolstered this narrative of liberal international decline. Beginning in the United States, the crisis has tarnished the American model of liberal capitalism and raised new doubts about the ability of the United States to act as the global economic leader.
Topic:
United Nations
Political Geography:
United States, China, Europe, and India

92. Getting the Military Out of Pakistani Politics

Author:
Aqil Shah
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
The United States has a major stake in Pakistan's stability, given the country's central role in the U.S.-led effort to, in U.S. President Barack Obama's words, "disrupt, dismantle, and defeat" al Qaeda; its war-prone rivalry with India over Kashmir; and its nuclear arsenal. As a result, U.S. policy toward Pakistan has been dominated by concerns for its stability -- providing the reasoning for Washington's backing of the Pakistani military's frequent interventions in domestic politics -- at the expense of its democratic institutions. But as the recent eruption of protests in the Middle East against U.S.-backed tyrants has shown, authoritarian stability is not always a winning bet. Despite U.S. efforts to promote it, stability is hardly Pakistan's distinguishing feature. Indeed, many observers fear that Pakistan could become the world's first nuclear-armed failed state. Their worry is not without reason. More than 63 years after independence, Pakistan is faced with a crumbling economy and a pernicious Taliban insurgency radiating from its Federally Administered Tribal Areas (FATA), the semiautonomous seven districts and six smaller regions along its border with Afghanistan. It is still struggling to meet its population's basic needs. More than half its population faces severe poverty, which fuels resentment against the government and feeds political instability. According to the World Bank, the Pakistani state's effectiveness has actually been in steady decline for the last two decades. In 2010, Foreign Policy even ranked Pakistan as number ten on its Failed States Index, placing it in the "critical" category with such other failed or failing states as Afghanistan, the Democratic Republic of the Congo, and Somalia. The consequences of its failure would no doubt be catastrophic, if for no other reason than al Qaeda and its affiliates could possibly get control of the country's atomic weapons. The Pakistani Taliban's dramatic incursions into Pakistan's northwestern Buner District (just 65 miles from the capital) in 2009 raised the specter of such a takeover.
Topic:
Government
Political Geography:
Pakistan, Afghanistan, United States, Washington, Middle East, India, and Kashmir

93. The Post-American Hemisphere

Author:
Russell Crandall
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
On August 18, 2010, a Venezuelan drug trafficker named Walid Makled was arrested in Colombia. U.S. officials accused him of shipping ten tons of cocaine a month to the United States, and they made a formal extradition request to try him in New York. Although the Venezuelan government had also made an extradition request for crimes Makled allegedly committed in Venezuela, senior U.S. diplomats were confident that the Colombian government would add him to the list of hundreds of suspects it had already turned over to U.S. judicial authorities in recent years. So it came as a surprise when Colombian President Juan Manuel Santos announced in November that he had promised Venezuelan President Hugo Chávez that Makled would be extradited to Venezuela, not the United States. Colombia, Washington's closest ally in South America, appeared to be unveiling a new strategic calculus, one that gave less weight to its relationship with Washington. What made the decision all the more unexpected is that the U.S. government still provides Colombia with upward of $500 million annually in development and security assistance, making Colombia one of the world's top recipients of U.S. aid. For the United States in Latin America today, apparently, $500 million just does not buy what it used to. Across the region in recent years, the United States has seen its influence decline. Latin American countries are increasingly looking for solutions among themselves, forming their own regional organizations that exclude the United States and seeking friends and opportunities outside of Washington's orbit. Some U.S. allies are even reconsidering their belief in the primacy of relations with the United States. Much of this has to do with the end of the Cold War, a conflict that turned Latin America into a battleground between U.S. and Soviet proxies. Washington has also made a series of mistakes in the years since then, arrogantly issuing ultimatums that made it even harder to get what it wanted in Latin America.
Topic:
Cold War
Political Geography:
United States, New York, Washington, Colombia, South America, and Latin America

94. How to Save the Euro - and the EU

Author:
Henry Farrell and John Quiggin
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
The European Union is in danger of compounding its ongoing economic crisis with a political crisis of its own making. Over the last year, crises of confidence have hit the 17 EU members that in the years since 1998 have given up their own currencies to adopt the euro. For the first decade of this century, markets behaved as though the debt of peripheral EU countries, such as Greece and Ireland, was as safe as that of core EU countries, such as Germany. But when bond investors realized that Greece had been cooking its books and that Ireland's fiscal posture was unsustainable, they ran for the door. The EU has stopped the contagion from spreading -- for now -- by creating the European Financial Stability Facility, which can issue bonds and raise money to help eurozone states. Together with the International Monetary Fund, the European Financial Stability Facility has already lent Greece and Ireland enough money to cover their short-term needs. But such bailouts are only stop-gap measures. Portugal and Spain, and to a lesser extent Belgium and Italy, remain vulnerable to pressure from bondholders. Portugal is likely to receive 50-100 billion euros over the next few months. But should Spain also need a bailout -- which could cost as much as 600 billion euros -- the 750 billion euro European Financial Stability Facility would soon be exhausted. In that event, the main euro creditors, primarily British, French, and German banks, might have to accept so-called haircuts, substantial cuts in the principals of their loans. (The banks' tax-avoidance strategies might inflate this total, but the Bank for International Settlements has estimated that the exposure of British, French, and German banks to the group of vulnerable debtor states referred to as the PIGS -- Portugal, Ireland, Greece, and Spain -- amounted to more than $1 trillion in mid-2010.) Encouraged by Germany, some of the states in difficulty have sought to placate bond markets by making ruthless cuts in government spending. But as many economists have pointed out, these measures are hindering growth without satisfying bondholders that their money is safe; bondholders worry that these measures are not politically sustainable. In fact, they are likely to undermine Europe's political union.
Political Geography:
Europe, Greece, Germany, Belgium, and Ireland

95. After Doha

Author:
Susan C. Schwab
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
It is time for the international community to recognize that the Doha Round is doomed. Started in November 2001 as the ninth multilateral trade negotiation under the auspices of the General Agreement on Tariffs and Trade and its successor, the World Trade Organization (WTO), the talks have sought to promote economic growth and improve living standards across the globe -- especially in developing countries -- through trade liberalization and reforms. Yet after countless attempts to achieve a resolution, the talks have dragged on into their tenth year, with no end in sight. To be sure, world leaders, negotiators, and commentators have expressed their unanimous support for a successful outcome -- the “balanced” and “ambitious” agreement called for by so many summit statements. But concluding a trade agreement is like pole-vaulting. Everything must come together at once -- after the extensive preparation and the building of momentum, there is that one giant leap -- with the hope that the entire body will sail over the bar. Most trade agreements survive several failed attempts before success is achieved. But the Doha Round keeps crashing into the bar.
Topic:
World Trade Organization

96. Who's Afraid of the International Criminal Court?

Author:
David A. Kaye
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
Last February, soon after Libyan leader Muammar al-Qaddafi unleashed his forces against civilian protesters, the United Nations Security Council unanimously voted to refer the situation in Libya to the International Criminal Court. Days later, the ICC's chief prosecutor, Luis Moreno-Ocampo, announced the launch of an investigation of members of the Qaddafi regime, promising, "There will be no impunity in Libya." With the UN Security Council injecting the court into one of the year's biggest stories, the ICC may seem to have become an indispensable international player. It already is looking into some of the gravest atrocities committed in recent decades -- in the Democratic Republic of the Congo, Sudan, and Uganda, among others -- and its investigation into the 2007 election-related violence in Kenya is shaking up that country's elite. But a closer look suggests that the ICC's sleek office building on the outskirts of The Hague houses an institution that is still struggling to find its footing almost a decade after its creation. The court has failed to complete even one trial, frustrating victims as well as the dozens of governments that have contributed close to $1 billion to its budget since 2003. The ICC's first trial was nearly dismissed twice. Its highest-profile suspects -- Sudanese President Omar al-Bashir and Joseph Kony, the leader of the Lord's Resistance Army (LRA), the rebel group that has terrorized northern Uganda and neighboring areas -- have thumbed their noses at the court and are evading arrest. And with all six of the ICC's investigations involving abuses in Africa, its reputation as a truly international tribunal is in question.
Topic:
Security and United Nations
Political Geography:
Uganda, Sudan, Libya, and Democratic Republic of the Congo

97. Recalibrating Homeland Security

Author:
Stephen Flynn
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
The United States has made a mess of homeland security. This is hardly surprising. The policymakers responsible for developing homeland security policy in the wake of September 11, 2001, did so under extraordinary conditions and with few guideposts. The Bush administration's emphasis on combating terrorism overseas meant that it devoted limited strategic attention to the top-down law enforcement and border-focused efforts of the federal departments and agencies assigned new homeland security responsibilities. President Barack Obama has largely continued his predecessor's policies, and congressional oversight has been haphazard. As a result, nearly a decade after al Qaeda struck the World Trade Center and the Pentagon, Washington still lacks a coherent strategy for harnessing the nation's best assets for managing risks to the homeland -- civil society and the private sector. For much of its history, the United States drew on the strength of its citizens in times of crisis, with volunteers joining fire brigades and civilians enlisting or being drafted to fight the nation's wars. But during the Cold War, keeping the threat of a nuclear holocaust at bay required career military and intelligence professionals operating within a large, complex, and highly secretive national security establishment. The sheer size and lethality of U.S. and Soviet nuclear arsenals rendered civil defense measures largely futile. By the time the Berlin Wall came down and the Soviet Union collapsed, two generations of Americans had grown accustomed to sitting on the sidelines and the national security community had become used to operating in a world of its own. To an extraordinary extent, this same self-contained Cold War-era national security apparatus is what Washington is using today to confront the far different challenge presented by terrorism. U.S. federal law enforcement agencies, the border agencies, and the Transportation Security Administration (TSA) are subsumed in a world of security clearances and classified documents. Prohibited from sharing information on threats and vulnerabilities with the general public, these departments' officials have become increasingly isolated from the people that they serve.
Topic:
Cold War and Development
Political Geography:
United States, Washington, and Soviet Union

98. What is Totalitarian Art?

Author:
Kanan Makiya
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
Igor Golomstock's encyclopedic tome on the art produced in the Soviet Union, Nazi Germany, Fascist Italy, and communist China makes a good case that totalitarian art is a distinct cultural phenomenon. But a new postscript on art under Saddam Hussein is less compelling, writes a former Iraqi dissident.
Topic:
Government
Political Geography:
China, Iraq, Soviet Union, Germany, and Italy

99. Progress and the Past

Author:
Peter Hakim
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
No abstract is available.
Political Geography:
China, America, Brazil, Latin America, Syria, Venezuela, and Bolivia

100. The Impending Squeeze

Author:
Tim W. Ferguson, Charles B. Heck, and Mitchell W. Hedstrom
Publication Date:
05-2011
Content Type:
Journal Article
Journal:
Foreign Affairs
Institution:
Council on Foreign Relations
Abstract:
ESSAY American Profligacy and American Power Roger C. Altman and Richard N. Haass The U.S. government is incurring debt at an unprecedented rate. If U.S. leaders do not act to curb their debt addiction, then the global capital markets will do so for them, forcing a sharp and punitive adjustment in fiscal policy. The result will be an age of American austerity. Would you like to leave a comment? 1CommentsJoin To the Editor: Roger Altman and Richard Haass ("American Profligacy and American Power," November/December 2010) persuasively argue that continued American profligacy promises to undermine American power. But the situation is even more urgent than they suggest. Although Altman and Haass expect markets to remain calm "possibly for two or three years," the rising price of gold suggests otherwise. Gold has risen from $460 per ounce to $1,400 per ounce in the last five years -- representing a 67 percent devaluation of the U.S. dollar per unit of gold. As former U.S. Federal Reserve Chair Alan Greenspan has said, gold is "the ultimate means of payment." Moreover, on top of new government debt over the next several years, maturing existing debt will need to be refinanced. At 4.6 years, the average maturity of the U.S. federal debt held by the public (debt that now totals $9.1 trillion) is tight relative to, for instance, the average maturity of 13.5 years for British government debt. According to the International Monetary Fund, the maturing debt of the U.S. government will equal 18.1 percent of U.S. GDP during 2011 alone. Altman and Haass rightly note that the U.S. government's annual interest expense will rise dramatically as its stock of debt increases and interest rates inevitably rise. Further debt increases would substantially darken the fiscal outlook for the federal government. And even a relatively small rise in interest rates would have a significant impact. TIM W. FERGUSON Editor, Forbes Asia CHARLES B. HECK Former North American Director, Trilateral Commission MITCHELL W. HEDSTROM Managing Director, TIAA-CREF
Topic:
Government
Political Geography:
United States, America, and Asia