Teaching a Tunisian to Fish: An Animating Way to Wield US Soft Power

Journal of Political Risk, Vol. 7, No. 5, May 2018

Two camels (one behind the other) are photographed sitting down in the desert. Both have saddles on.

Source: Creative Commons via Pixabay.

Bhakti Mirchandani

Co-founder of the Global Microentrepreneurship Awards

Economic statecraft, the use of economic instruments to accomplish geopolitical objectives, dates back to the Louisiana Purchase.  American Enterprise Funds, first established by USAID following the collapse of the Berlin Wall and the breakup of the Former Soviet Union, and the Tunisian American Enterprise Fund, launched in 2013, are two examples of both economic statecraft and powerful impact investing tools.  This article provides a window into the Tunisian American Enterprise Fund’s investments, purpose, progress, strategy, and place in US foreign policy.

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The Price Of Paramount Power: Xi Jinping’s Ascension Could Make China A Much Riskier Place To Do Business

Journal of Political Risk, Vol. 6, No. 3, March 2018

A noodle vendor sits beside a poster showing the late Chinese chairman Mao Zedong.

A noodle vendor sits beside a poster showing the late Chinese chairman Mao Zedong in February 2016. Fifty years after the Cultural Revolution spread bloodshed and turmoil across China, the Communist-ruled country is driving firmly down the capitalist road, but Mao Zedong’s legacy remains — like the embalmed leader himself — far from buried. Source: Carsten ten Brink via Flickr.

Richard Hornik

Stony Brook University

One of the peculiar pathologies of western businessmen active in China is an almost religious reverence for its lack of due process, enthralled by the combination of free(ish) markets and political stability proffered by China’s Market-Leninism (a term coined by Nicholas Kristoff). What they miss, however, is the price that must be paid for such short-term control, and during the course of Chinese history that price has proven to be very high.

The latest convert to this envy for authoritarian efficiency is Tesla’s Elon Musk who has spoken and written extensively about China’s ability to conceive, approve and build enormous infrastructure projects in a matter of a few years – or less[1].  No zoning rules, environmental regulations, cost-benefit analyses — much less property rights — can stand in the way of the gleaming high-speed rail lines, shiny new airports, massive harbors and 12-lane highways and bridges that have covered the Middle Kingdom in the past two decades. Likewise with housing developments and mega industrial installations like petrochemical plants, steel mills and refineries.

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U.S., U.K., And Allies Must Increase Support To Saudi Arabia

Journal of Political Risk, Vol. 6, No. 3, March 2018

The British PM Theresa May sits to the right of the Crown Prince of Saudi Arabia, Mohammed bin Salman. A fireplace is located between their 2 armchairs. Both countries' flags are visible in the background.

The PM jointly hosted the inaugural meeting of the UK-Saudi Arabia Strategic Partnership Council with the Crown Prince of Saudi Arabia, Mohammed bin Salman, March 2018. Source: Flickr.

Anders Corr, Ph.D.

Publisher of the Journal of Political Risk

Saudi Arabia’s Crown Prince Mohammad bin Salman (MBS) met British Prime Minister Theresa May in London on March 7, the first leg of his worldwide tour to get trade deals and improve diplomatic support for Saudi Arabia’s growing proxy conflict with Iran. It is unfolding in Syria, Iraq, Qatar, Lebanon, and Yemen. This trip’s agreements with Britain include $2 billion in trade deals, not least of which are Saudi Arabia’s purchase of 48 Typhoon fighter aircraft from BAE. While protesters have raised human rights concerns, and Saudi Arabia does have more than its fair share of religious extremists, the government of Saudi Arabia is actually a moderating influence in the Middle East, and a close ally against the growing alliance of China, Russia, and Iran.

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China’s Strategic Pivot Towards the South Pacific Island Nation of Tonga

A Hybrid Intelligence Preparation of the Operational Environment (IPOE) Analytical Assessment

Journal of Political Risk, Vol. 5, No. 12, December 2017

A 20 yuan note is photographed against the backdrop of the Li River in Yangshuo. Mountains are also visible.

A 20 yuan note against the backdrop of the Li River in Yangshuo. Source: Brian Steering via Flickr.

Mark Anthony Taylor
Macquarie University

The aim of this research is to critically examine the refocusing of Chinese aid, economic involvement and diplomatic attentions towards the small South Pacific island nation of Tonga.  The research seeks a deeper understanding of China’s behaviour towards Tonga and promotes a reevaluation of how the US and its allies should respond to China’s strategic calculus. China’s actions in Tonga, although appearing benign, represent a cloaked threat to Tonga’s independence, democracy and U.S. regional aspirations.  Furthermore, owing to the comparative strength of the Chinese economic and diplomatic approach, a competitive soft-power response from the US may prove inadequate. In consequence, it may be more advantageous for the US to pursue a heightened hard-power response to ameliorate any potential threat. Through undertaking an analysis of China’s fundamental motivations for the soft-power Tongan pivot and an exploration of the modus operandi employed by China to affect its strategic goals, the project will endeavour to provide a clear answer to the following research question: “Is this Chinese pivot towards Tonga merely an example of cheque-book economic diplomacy, or does it entail a cloaked malignant threat to the security and autonomy of the US and its allies?” Utilising a hybrid adaption of the Intelligence Preparation of the Operational Environment (IPOE) analytic method[1], this project will apply a structured framework in order to probe and reconceptualise the Chinese pivot towards Tonga in an effort to unravel the underlying motivations of China. In line with this approach, the project will firstly scrutinize the situational variables resident in each nation that comprises the terrain of the issue. The significant and unique political, military, economic, social, infrastructure and informational system factors (PMESII) that contribute to the rapid intensification of China/Tongan relations will be explored. From this point, the focus will be turned towards an analysis of the usefulness of the two polar theoretical explanations (liberal and realist) for the current Chinese Course of Action (COA) in Tonga. Lastly, a detailed investigation of the two key Centres of Gravity (COG’s) that underpin and impact upon the China/Tonga relationship will ensue, exploring the cultivation of pro-China sentiment in Tonga and the degree of the US pivot to the South Pacific. The project will draw from a diverse variety of academic publications, expert opinion pieces and news media sources. The analysis reveals that the Chinese strategic pivot into the nation of Tonga superficially appeared to be motivated by benign economic opportunism. However, engagement with Tonga was found to hold a minimal benefit to China in terms of resource supply or economic gain. The major strategic benefits that were found to accrue to China were through the potential securing of Tonga for the establishment of a forward operating military base in the South Pacific. Consequently, China’s pivot may be motivated by concealed Chinese hegemonic designs (the realist perspective) rather than by benign economic opportunism (the liberal perspective). This motivation was found to pose a significant security threat to the US-lead regional order.  Two significant COG’s are bolstering the effectiveness of China’s Tongan pivot. Firstly, China has successfully executed a “hearts and minds” program to facilitate the broad interweaving of pro-China sentiment into the psyche of Tongan society. Secondly, the absence of US attention towards soft-power regional engagement with Tonga has aided China’s pivot. In terms of an effective US response to China’s strategy in Tonga, a revised US soft-power push was assessed as constituting an ineffective strategy due to the resilient China-Tonga relationship that now exists and because of China’s deep aid pockets. Consequently, the evidence points towards the need for a revitalised US hard-power military presence in the region as the most viable option for dampening China’s future militaristic ambitions towards Tonga.

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Invite Taiwan Navy To RIMPAC Exercise In Hawaii

Journal of Political Risk, Vol. 5, No. 7, July 2017

The nose of the guided-missile cruiser USS Princeton (CG 59) is photographed following behind Chinese Navy multi-role frigate Hengshui (572), guided-missile destroyer Xian (153) and replenishment ship Gaoyouhu (966).

The guided-missile cruiser USS Princeton (CG 59) steams behind Chinese Navy multi-role frigate Hengshui (572), guided-missile destroyer Xian (153) and replenishment ship Gaoyouhu (966) while participating in maneuvering drills during Rim of the Pacific, 2016. A Chinese navy fleet, including five ships (the missile destroyer Xi’an, the missile frigate Hengshui, the supply ship Gaoyouhu, the hospital ship Peace Ark, the submarine rescue vessel Changdao), three helicopters, a marine squad and a diving squad with 1,200 officers and soldiers, set sail from Zhoushan to Hawaii to join the RIMPAC 2016 on June 15. It is the second time that Chinese navy has participated in RIMPAC, a multilateral naval exercises led by the USA and held every two years. Source: Picryl.

Anders Corr, Ph.D.
Publisher of the Journal of Political Risk

In 1971, the U.S. started holding international naval exercises in Hawaii, and called them RIMPAC (Rim of the Pacific). We invited our closest allies to participate. Now, the U.S. Navy is inviting not only allies, but Russia and China as well. Since a brief thaw in the 1990s, Russia and China are increasingly acting as adversaries rather than responsible international partners to the U.S. Most recently, China seems to have helped rather than stopped North Korea’s nuclear ambitions. It is time to invite Taiwan, not China, to RIMPAC.

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