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States, Firms, and Power
Successful Sanctions in United States Foreign Policy
States, Firms, and Power
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George E. Shambaugh - Author
SUNY series in Global Politics
Price: $66.50 
Hardcover - 248 pages
Release Date: August 1999
ISBN10: 0-7914-4271-3
ISBN13: 978-0-7914-4271-5

Quantity:  
Price: $31.95 
Paperback - 248 pages
Release Date: August 1999
ISBN10: 0-7914-4272-1
ISBN13: 978-0-7914-4272-2

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Summary

Analyses the effectiveness of economic sanctions as instruments of statecraft.

States, Firms, and Power uncovers the workings behind frequently maligned and often misapplied economic sanctions and incentives that have emerged as the United States policy tools of choice. Shambaugh uses a theory of economic statecraft to analyze the sources and limitations of power relations between states and firms. The book features a statistical analysis of 66 sanction episodes since 1949, including detailed case studies of U.S. sanctions in the energy, computer, and telecommunications industries in the 1980s, and current U.S. sanctions against foreign companies conducting business in Cuba, Iran, and Libya. Understanding when and why economic statecraft works provides insights into the nature and exercise of power in world politics that can, in turn, guide policy-makers in their use of sanctions and incentives against friends, foes, and firms.

"The case studies are very detailed and for that reason are likely to be cited as the authoritative works on the U.S. government's attempts to impose its will on its trading partners in these areas." -- Kim Richard Nossal, McMaster University

"State, Firms, and Power addresses an important issue area, and provides interesting and relevant case studies. It is also thoughtful and scholarly, providing both qualitative and quantitative analysis. In this last sense it represents an emerging research style in international relations." -- Jonathan Kirshner, Cornell University

George E. Shambaugh is Assistant Professor of International Affairs and Government at Georgetown University. He is coeditor, with J. Samuel Barkin, of Anarchy and the Environment: The International Relations of Common Pool Resources, also published by SUNY Press.


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Table of Contents

List of Tables

Preface and Acknowledgments

1. The Puzzle and Argument: Dominance, Dependence, and Political Power

The Power and Infamy of Sanctions
Can Sanctions Work?
Power, Wealth, and Why Secondary Sanctions Matter
The Theory: Dominance, Dependence, and the Success of Economic Sanctions
Dominance and Political Power
Dependence and Political Power
Sanctions against States and Firms
Sovereign Authority, Sovereign Control, and Secondary Sanctions
Sovereign Authority and Sovereign Control
Conclusion: Dependence As a Positive Heuristic

2. Restricting the Proliferation of Strategic Goods and Technology since 1949

Export Controls and U.S. Foreign Policy
Methodology
Variable Definitions
Research Strategy and Case Selection
Statistical Analyses of U.S. Influence Attempts
The Model
Data Analysis
Conclusion

3. Maintaining Power in an Alliance Conflict: The Trans-Siberian Pipeline Embargo, 1980–84

Comparative Case Studies of Secondary Sanctions
The Pipeline Crisis in U.S. Export Control Policy
Goals of American Pipeline Sanctions
Targets
Means of Enforcement
Sources of U.S. Influence and Predictions of U.S. Success, 1980–84
The Use of Secondary Sanctions
Predictions of Success, 1980–84
Case Analyses: U.S. Influence Attempts by Industry
Dominance and Dependence in the Steel Pipe and Compressor Industries
U.S. Influence over Firms: The First Round of Sanctions
U.S. Influence over Firms: The Second Round of Sanctions
Retaliation and Rebuttal by European and American Governments
End of the Pipeline Crisis
Conclusion

4. Tethering Technology: Operation Exodus, the IBM Letter, and Beyond

Introduction
Operation Exodus and U.S. Export Control Policy
Goals of American High-Technology Controls
Targets
Means of Enforcement
Aggregate Predictions of U.S. Influence
Case Analyses: U.S. Influence in the Computer Industry
Dominance and Dependence in the Computer Industry
U.S. Influence over Firms in the Computer Industry
U.S. Influence over National Governments in the Computer Industry
Case Analyses: U.S. Influence in the Telecommunications Industry
Dominance and Dependence in the Telecommunications Industry
U.S. Influence over Firms in the Telecommunication Industry
Dependence and the Success of U.S. Influence
Summary of U.S. Influence in the Telecommunications Industry
Dependence, Sanctions, and the Third Country Problem
Goals, Targets, and Means of Enforcement
Dependence and the Success of U.S. Influence
Summary of U.S. Influence over Third Countries
Conclusion

5. Conclusion: Threatening Friends and Enticing Enemies in the Post-Cold War World

Power Relations among States and Firms
Securing Extraterritorial Compliance
The Findings and the Implications
Costs and Limitations of Sanctions
The Reciprocal Nature of Dependence
Reliability and Competitiveness of American Firms
Indigenous Development of Restricted Resources
Sanctions in an Increasingly Interdependent World
The Helms-Burton Act
The Iran-Libya Sanctions Act
Dominance, Dependence, and the Likelihood of Compliance
U.S. Vulnerability to Countersanctions

Conclusion: Dominance, Dependence, and Political Power

Appendix: Legal Bases of U.S. Export Control Policy

Domestic Sources of U.S. Export Control Policy
Extending U.S. Regulations Abroad
Conflicts of Concurrent Jurisdiction

Selected Bibliography

Index



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