China and US Trade - Article Example

Newspaper Article Analysis BY YOU YOUR SCHOOL INFO HERE HERE Newspaper Article Analysis Snowden leaks The most relevant theory to describe this case is realism, stating the global politics are driven primarily by self-determination and self-interest. Realism asserts that there are no regulatory actors that supersede the state and political actions should not be dictated by any authority other than the state and the primary concerns are ensuring the survival of the state. This article is an excellent example of the U.S. government attempting to guarantee its continuance and made appeals to the Russian government to return Snowden as a means of ensuring security. Both Russia and the United States maintain a strong presence in the international community and military might that supports this authority. The Russian government, who refused to expel Snowden (Mazzetti and Schmidt 2013), understood that extradition would be giving influence over its political behaviours if Snowden were to be returned to the United States, which would undermine Russia’s attempts to secure its own political agenda and give influence and control to the U.S. government. Using realism as the appropriate theory, neither President Obama nor Putin would compromise on this issue and continued to pursue the sanctity and sovereignty of their own states. China and US trade This article exemplifies neomercantilism, a policy that promotes continuance and growth of exporting behaviours, generally discourages importation, and where a centralised government controls economic capital. China is attempting to enhance its foreign reserves whilst also maintaining ownership of its domestic assets by placing so much emphasis on exporting activities. With Chinese exporters allegedly inflating their actual export numbers (BBC News 2014), it illustrates the level to which exporting is considered a substantially-critical activity that ensures growth for the Chinese state; to the degree that exporters want to illustrate to the rest of the globe that the economic security of the country is paramount. The government serves as a catalyst for financial centralisation and procuring strategic assets from abroad to serve the state interest. BRIC and MINT countries This article is an example of structuralist theory which asserts that social constructs, global economic structures and institutional behaviours drive the foundation of international affairs. Countries such as Nigeria and Turkey which were once considered to be inferior countries to the rest of the developed world are finding considerable growth in a variety of industries which is improving their national economies. Because of this growth and stability, there is now talk of allowing membership in such organisations as the G20 which would not have been considered prior to achieving higher GDP and modernisation. There is also influence of the Muslim religion within Turkey’s political systems which alters how Turkey builds international relations as compared to non-Muslim countries. Hence, social, economic and institutional behaviours lay the foundation for how nations cooperate and interact with other nations across the world; a structural definition. Migration The article about divided Germans on the poverty migration issue is an example of constructivism, a theory claiming that the nature of international relations are driven by historical and social connections rather than being influenced by dynamics of human behaviour. Elmar Brok, a member of Angela Merkel’s CDU, enraged the Romanian Prime Minister who insinuated that Brok was akin to a Nazi (Hewitt 2014). This illustrates that Romania likely harbours negative animosities against Germany for its role in World War II and the atrocities that occurred. As a result, rather than cooperating to solve the problem of migration, key actors involved are spending time reflecting on historical actions and relationships which is driving the willingness (or lack thereof) to cooperate. China opening markets This is a relatively simplistic definition of mercantilism which states that national economic policy maintain an objective of collecting more financial reserves through the establishment of a positive trade balance with other nations. China, in an effort to support growth, was willing to shed its socially-based policies on youth gaming in order to open opportunities to improve the national economy. Opening opportunities for such manufacturers as Sony and Nintendo would provide the country with billions of dollars that would not have been achievable without improving trade strategies, a basic function of mercantilism. US trade deficit Hegemonic stability theory states that the international community is stabilised when there is a single dominant state in the world. An existing hegemon that falls will greatly destabilise global economies. This article described the economic performance of the United States which is, under most practical assessments, the global hegemon that provides considerable economic and social support to other nations. This is why the world is concerned about the export/import activities and investments of the United States since this country’s economic success will greatly impact the rest of the world. Diminishing economic performance in the United States could cause the country to lose its dominant powers. Cyber thieves This article about infected cash machines by cyber thieves is a prime example of liberalism. This is a worldview that asserts there should be equality and liberty as guiding cornerstones of the ideology. The individuals who were hacking the cash machines may have been attempting to promote a liberalist philosophy in which they felt that centrally controlled economic systems were providing an inequity and injustice, providing only opportunities for those that maintained access to high monetary resources. By hacking the machines, it would have provided the thieves with more financial resources, thereby creating equality even if through criminal activities. European Parliament, social unrest, unemployment and inflation Dependency theory states that resources which flow from poor states and those with more wealth ultimately enrich the wealthier state at the expense of the underdeveloped nation. The European Union forces a dependency between itself and other nations through the bonds of banking, politics and culture that has negative impact on less-wealthy nations whilst wealthier countries exploit the poorer state. The divide between different nations about the viability and appropriateness of the European Union show such dependencies that people want removed to explore their own interests without reliance on the EU in multiple sectors and industries. EU and economic stability This article is an example of neomercantilism. Rather than allowing Latvia to continue to operate independently, the government wants its inclusion into the EU in order to assist the broader European Union economy. Neomercantilism encourages export products and aims to centralise currency decisions under the jurisdiction of a single government force. This is what is occurring in the scenario involving Latvia as it is believed that centralising Latvia’s economic strength and business prowess will ensure longevity and economic support for all member nations of the EU. By being part of the European Union, the centralised government will have more foreign assets and will thereby increase its foreign reserves. Gold mines in Indonesia Structuralism stresses that the impact of global economic systems maintain impact on the social dynamics of a nation. Indonesia, in the article, is experiencing potential human health problems as a result of importing illegal levels of mercury for gold mining. Countries that are exporting Mercury to Indonesia are securing their own economic interests even though the outcome to Indonesia is pollution and social concerns about human welfare. Hence, without having control over other nations’ exporting activities, Indonesia is structurally impacted by nations that will not cease delivering mercury. Shanghai Free Trade Zone This article is a prime example of mercantilism, with the objective of obtaining higher financial reserves through a positive trade balance with other nations. The Shanghai Free Trade Zone will open trade opportunities with many different countries, thereby improving the economic condition of China. Shanghai is adjusting its long-standing principles on trade in order to take advantage of new trends in global trade so as to improve its monetary reserves. Impact of US Debt on global economy This article is yet another example of hegemonic stability theory. If the United States were to shutdown, it would have lingering impacts on global society, as well as its own domestic interests. Hegemonic stability theory asserts that there are dangers and problems that occur when a single dominant nation state crumbles. This article describes a government shutdown’s impact on the stock market, which impacts the entire world economy, which is unavoidable due to the inter-connections that the dominant state maintains in a variety of industries and sectors. The dollar index This article provides support for realism, in which states seek out their own self-interest primarily and where the United States does not have their activities dictated by any other authority or regulatory force. The U.S. realised that it would have to shut down the government for a period in order to sustain its budgetary constraints. Even though this had economic impacts across the world, the government chose to sustain its own financial position in order to ensure longevity of itself. However, it was a realist decision to shutdown despite the potential consequences worldwide. The world usually challenges the U.S. when it makes decisions that create global uncertainty, however the country does not succumb to these criticisms and pressures, but instead guarantees its own sovereignty and decision-making. IMF and US Debt crisis This article provides support for dependency theory, in which a wealthier nation becomes wealthier through the utilisation of resources held by poorer nations. The United States is a prime example of sending companies overseas to exploit the cheaper labour and cheaper resources in foreign countries which has enriched the country historically. However, now that the U.S. is facing default and running the government out of money without raising the debt ceiling, less-wealthy nations are panicked that the United States will no longer provide stability and economic support through commerce and trade. The International Monetary Fund describes the inter-dependency of nations, showing the heavy reliance on the economic stability of a major international hegemon. China, environment and opening of new markets for economic development This article is an example of realism. China has no force other than its own government to determine how to be environmentally conscious. Instead, China, in an effort to improve its economy, decided to put industry before human health standards. In order to be competitive across the world, China must export products and produce domestic goods to sustain the Chinese people. This has led to industry pollution that could have been controlled with a more cooperative stance and adherence to internationally accepted standards of pollution control. As a realist decision, China chose economic growth over responsible governance of the environment. China, labour costs, exports/trade This article provides a solid support for dependency theory. As the United States and other countries attempted to exploit cheap labour in China and procure less-expensive products for importation from the country, these nations increased their wealth at the expense of the Chinese labourer. Today, however, new efficiencies in production and changing labourer attitudes have forced some companies to raise their wages in order to stop employees from leaving the company (Bradsher 2014). China is now sustaining an export surplus as demand from foreign buyers increases year after year. The United States and Europe are now dependent on Chinese imports to sustain the quality of life that Americans are accustomed to sustaining. The article mentions that trade relationships could be full of tension if it is perceived that China is somehow negatively impacting U.S. job growth or stalling global economic recovery. Dependency theory states that wealthy nations sometimes resort to military force to resist unwanted influences by developed states or through the process of economic sanctioning. Tensions between important trade partners that could lead to threats and aggression by those impacted by China’s growth would be an example of dependency theory behaviours. It is clear that other countries are concerned about China’s growth and influence in the global economy and significant changes to Chinese economic and export policies could threaten the stability of other countries. References BBC News. (2014). China ‘overtakes’ US as world’s largest goods trader. [online] Available at: http://www.bbc.co.uk/news/business-25678415 (accessed 14 January 2014). Bradsher, K. (2014). Even as wages rise, China exports grow, The New York Times. [online] Available at: http://www.nytimes.com/2014/01/10/business/international/chinese-exports-withstand-rising-labor-costs.html?ref=business (accessed 14 January 2014). Hewitt, G. (2014). Romania and Bulgaria migration issue divides Germans, BBC News Europe. [online] Available at: http://www.bbc.co.uk/news/world-europe-25635864 (accessed 14 January 2014). Mazzetti, M. and Schmidt, M.S. (2013). Officials say U.S. may never know the extent of Snowden’s leaks, The New York Times. [online] Available at: http://www.nytimes.com/2013/12/15/us/officials-say-us-may-never-know-extent-of-snowdens-leaks.html?pagewanted=1&_r=2 (accessed 14 January 2014). http://www.nytimes.com/2013/12/15/us/officials-say-us-may-never-know-extent-of-snowdens-leaks.html?_r=0 Snowden Leaks Security Realism http://www.bbc.co.uk/news/business-25678415 China and US Trade Trade, International Trade Neo- mercantilism http://www.bbc.co.uk/news/magazine-25548060 BRIC and MINT countris International Trade and Finance Structuralism http://www.bbc.co.uk/news/world-europe-25635864 Migration Security, Constructivism http://www.bbc.co.uk/news/technology-25635719 China opening markets Technology, Trade Mercantilism http://www.bbc.co.uk/news/business-25637268 US Trade Deficit International Trade Hegemonic Stability Theory http://www.bbc.co.uk/news/technology-25550512 Cyber-thieves Security, Technology Liberalism http://www.bbc.co.uk/news/world-europe-25547651 European Paliament, social unrest, unemployment, inflation Security, Finance, Dependency Theory http://www.bbc.co.uk/news/business-25332243 EU and Economic Stability International Monetary and Finance Neo Mercantilism http://www.nytimes.com/2014/01/03/business/international/small-scale-gold-mining-pollutes-indonesian-lands.html?ref=earth Gold Mines in Indonesia and environmental degradation Environmental Security (Global Security) Structuralism http://www.bbc.co.uk/news/business-24322313 Shanghai Free-Trade Zone Trade, International Trade Mercantilism http://www.bbc.co.uk/news/business-24328353 Impact of US Debt on Global Economy Trade and Finance Hegemonic Stability Theory http://www.bbc.co.uk/news/business-24344727 The Dollar Index Trade and Finance Realism http://www.bbc.co.uk/news/business-24384759 IMF and US Debt Crisis Finance Dependency Theory http://www.nytimes.com/2013/12/31/business/international/opportunity-beckons-in-china-smog.html?ref=greenhousegasemissions China, Environment, opening of new markets for Economic Development Environmental Security (Global Security), Economic Development Realism http://www.nytimes.com/2014/01/10/business/international/chinese-exports-withstand-rising-labor-costs.html?ref=business China, Labor Costs, Exports/Trade International Production and Trade, Monetary and Finance, Knowledge and Technology Dependency Theory Read More