Economic And Military Competition From
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In this examination of economic competition in the world today, the author explains how countries compete, why economic competition is relevant to the U.S. armed forces, and what the policy implications are. The author explores wide-ranging themes of national competitiveness, competition for markets and investment, geopolitical competition with economic tools, economical warfare, and competition over the nature of the global economic system.
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Research Questions
- What is strategic competition in economics?
- What is competition equally outcome versus competition as action?
- How do countries compete for markets, technologies, and standards?
- What are the economic tools for geopolitical competition?
- What are the tools of economic warfare?
- What are the three pillars of the current rules-based international economic arrangement, and why is there rising competition to set future rules for the international economy?
- How does U.S. aggregate domestic economical prosperity translate into international ability in the global economy?
- Why is economic competition relevant to the U.South. armed forces?
- What are the policy implications of economic competition?
U.South. foreign policy is built around a fundamental supposition that the United States faces growing competition politically, militarily, and economically. Economic competition in particular can exist examined from a number of different perspectives grouped into two broad categories: The kickoff is contest as result, or the ability to increase standards of living through domestic economic policies. The second is competition equally action, where government policies and programs are applied to further non just economic but geopolitical and military goals.
Taking readers from the 1990s debates near competitiveness to more current outlooks on geopolitical competition using economic instruments, the author explains the unlike types of economic tools and actions countries utilize to compete and whether they more effectively serve to provide for domestic economic strength or to gain advantage in security and geopolitical areas. Along the way the writer explores wide-ranging themes of national competitiveness, contest for markets and investment, geopolitical contest with economic tools, economical warfare, and competition over the nature of the global economic system.
Afterward taking a broad wait at forms of economic competition and competition using economics, the author shifts the give-and-take to why economic contest is relevant to the U.S. armed forces and, finally, what the policy implications are.
Primal Findings
Companies compete economically, but so practise nations
- National economic competitiveness unremarkably refers to the ability to increment productivity and standards of living.
- In that location is disagreement virtually the effects of authorities activeness to support specific technologies or economic sectors and global technology leadership.
Countries deport economical competition beyond ensuring their economies are "competitive"
- Countries compete for export markets, inward foreign direct investment, and leadership in engineering science-intensive industries.
- They compete to ensure standards favorable to their industries are adopted more than widely.
Countries apply economic tools to compete in security and geopolitical domains
- Economic instruments are used to defend national interests and produce favorable political, diplomatic, or security outcomes.
- Sanctions are economic tools used to punish; more aggressive economical actions to coerce tin become economic warfare.
- Innovation and command of new technologies influences a land's prosperity and tin give a defense force and security edge.
Countries compete in setting the rules of global trade, investment, and finance under which they compete economically
- The U.Due south.-led rules-based international economy established post-obit World State of war II was attractive enough that nearly all countries want to freely participate.
- Control of economic institutions has become more than contentious, especially with the rise of Red china.
Economic competition is relevant to the U.Southward. armed forces
- A wealthy country with a large economy may accept larger, more powerful armed forces.
- A nation's overall level of economic development appears to exist related to success in war machine conflict.
- International security interests may follow international economic interests, which is highly relevant for the military.
Recommendations
- Commencement with smart domestic economic policies: focus on responsible and stable fiscal and monetary policies for the long run that strengthen the nation overall.
- Institute general innovation-supporting policies to support overall competitiveness—for example, promoting infrastructure, basic enquiry, patent protections, and technology evolution. Policymakers should avoid attempting to pick specific winners and losers in sectors or companies.
- Take advantage of the relative size of the U.Southward. economy to set rules for the international organization that are conducive to the U.South. economy and attractive to other countries in the long run.
- Be judicious in the employ of economic tools such every bit sanctions and foreign aid considering of the unintended consequences and costs of using such tools as part of geopolitical strategy. The costs of using these economic tools must be weighed confronting their benefits.
- Treat the tools of economical warfare the same as any other instrument of war, assessing positive strategic effect and potential harm done earlier deploying them.
Table of Contents
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Chapter One
Economics as a Domain of Competition
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Chapter Two
Strategic Contest in Economics
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Chapter 3
Economic Competition Across Competitiveness
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Affiliate Four
Geopolitical Competition with Economic Tools
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Chapter 5
Competition over the Arrangement Itself
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Chapter Six
Economic Competition and the Military
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Chapter Seven
Policy Implications for Economic Contest
This research was commissioned and sponsored by the Director of Strategy, Concepts, and Assessments, Deputy Chief of Staff for Strategic Plans and Requirements, and conducted within the Strategy and Doctrine Plan of RAND Project AIR FORCE.
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