The Political Economy Of National Security: A Global Perspective; Beyond Guns And Butter: Recapturing America's Economic Momentum After A Military Decade
Kapstein's introduction to defense and the economy is spare and sophisticated, fruitfully "global" in two senses: its comparisons with other industrial countries help us understand American practice; it recognizes that defense does not function within a closed national economy, but rather is "an integral part of the world economy." Pascall and Lamson, both rich in private-sector experience and one a former director of Business Executives for National Security, readably frame the presence of defense in the national economy, enlivened by examples like the FSX controversy. Their own bipartisan consensus opposes trying to run an industrial policy from the Pentagon. Instead they return to basic reforms, like revamping procurement, that seemed in the "too hard" box two years ago but may not be now.
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Japan faces its biggest foreign policy challenges since World War II. Its leaders must snap out of their deep funk to confront a rising China, a nuclear South Asia, a United States increasingly prone to Japan-bashing, and a world in economic free fall. Instead of sulking over the growing closeness of U.S.-China ties, Tokyo should take the initiative and propose trilateral dialogues with Beijing and Washington on a range of issues, especially Asian security, nuclear disarmament, and macroeconomic policy. Japan's pessimism threatens the world's prosperity. If Tokyo stays on the sidelines, the world will pass it by.
As economic crisis plunges Asia into chaos, old wounds may reopen. The continent still fears Japan, thanks to its World War II brutalities. By refusing to apologize, Tokyo only makes matters worse. A power vacuum results: an unrepentant Japan will never be allowed to lead a suspicious Asia. Instead, flash points may ignite, and East Asia and even America could be dragged into a war. To defuse tensions, America must push its ally to show remorse and Japan must pay its World War II debts. In turn, China and Korea -- age-old enemies of Japan -- must learn to look forward, not back.
After the Cold War, the demands on American leadership are no less stern than they were in Dean Acheson's day. Present again at the creation, U.S. diplomacy must pass a series of tests -- of vision, pragmatism, spine, and principle -- to build a foundation for a new world. This will mean encouraging democracy, stopping the spread of weapons of mass destruction, working to shore up the international financial system, engaging Beijing, and standing up to Baghdad and Belgrade. But America needs resources to lead, and Congress has foreign policy living hand-to-mouth. America cannot afford to abdicate its world role.

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