“The United States believes that the establishment of diplomatic relations with the People’s Republic will contribute to the welfare of the American people, to the stability of Asia where the United States has major security and economic interest, and to the peace of the entire world.”
The American Presidency Project. December 15, 1978
Unfortunately, this is not a conspiracy theory. 2013 is a decisive year to deter the escalation of a war between Japan & the People’s Republic of China. Who can stop it? According to this impressive video, the United States of America has a decisive role to play in this global arena.
A major conflict between the region’s two largest economies would not only impose a harsh dilemma on U.S. diplomats, but also have a significant impact on the entire global economy. It is in every nation’s best interest that the Chinese and Japanese settle their territorial dispute peacefully.
The team at One Minute MBA explains that
“The conflict between China and Japan has put the United States in a precarious position: if a full-scale war were to erupt, the U.S. would be forced to choose between a long-time ally (Japan) and its largest economic lender (China). Last year, China’s holdings in U.S. securities reached $1.73 trillion and goods exported from the U.S. to China exceeded $100 billion. The two countries also share strong economic ties due to the large number of American companies that outsource jobs to China.
However, the U.S. government may be legally obligated to defend Japan. In November, the U.S. Senate added an amendment to the National Defense Authorization Act that officially recognizes Japan’s claims to the disputed islands; the U.S. and Japan are also committed to a mutual defense treaty that requires either country to step in and defend the other when international disputes occur. Not honoring this treaty could very easily tarnish America’s diplomatic image.
The countries of the Asia-Pacific region are collectively responsible for 55 percent of the global GDP and 44 percent of the world’s trade. A major conflict between the region’s two largest economies would not only impose a harsh dilemma on U.S. diplomats, but also have a significant impact on the entire global economy. It is in every nation’s best interest that the Chinese and Japanese settle their territorial dispute peacefully.”
To read the entire video transcript please visit this link.
Nobel laureate and Classical Liberal economist James M. Buchanan has died today. He was one of the most important economist of the 20th. Century and will be long remembered for his work on the principles of economic self-interest and their use to understand why politicians do what they do.
He received a Doctor Honoris Causa Degree from my home university at Universidad Francisco Marroquin in 2001 (link to video of his visit to UFM) and his books were some of the most important ones in my education during my college years. At UFM I learned about Buchanan with Carrol Rios de Rodriguez. Prof. Rodriguez is one of my favorite teachers and she was the former Director of the a Center for the Study of Public Choice, where the ideas of Buchanan and Tullock first were taught to me.
Here are some interviews to remember the work of this great man and I invite you all to read his books and continue learning!
Hayek and Buchanan: Rawls, Egalitarianism and Social Justice
James Buchanan on Chicago School Thinking: Old and New
James M. Buchanan on Economists and the Great Recession
James M. Buchanan on “Institutional Sources of America’s Fiscal Tragedy”
Rest in Peace James M. Buchanan
(October 3, 1919 – January 9, 2013)
I apologize for posting much these last weeks. I have been quite busy reading journals on Global Value Chains, Deviant Capitalism, Black Market Trade and theories on Global Political Economy. While this has driven me nuts… it has also made me pay attention to the field of Business History.
Business history is not the history of Capitalism and it is also not the history of entrepreneurship. The research in this field is mostly controlled by an European institutionalist approach. And in the latest decades, it has gained more insights from economic and business studies that are highly afflicted by neo-marxist approaches of the 20th Century. So, if you are interested in learning about this particular area of research here is the info for a good article on the topic that may get you also interested, and provide you with further bibliography.
Twentieth Century Flick: Business History in the Age of Extremes
Priemel, Kim Christian (2012)
Journal of Contemporary History vol. 47 (4) p. 754-772
.Full Text (PDF)
This are great news for those of you interested in reading and learning more of the ideas that enabled a revolutionary development of new understandings on Economics and Human Action.
“Murray Rothbard had long dreamed of an Austrian academic journal. In 1986, his dream came true. The Mises Institute published it, and it changed everything. Now they can be conveniently read on your digital device!
The individual issues have been nearly impossible to find, until now. Today you can own the entire set, learn from the pioneering articles that Murray and his co-editors saw as crucial, and see what gave the modern Austrian movement its scholarly momentum.”
GET THEM HERE