Thu, 24 September 2015
As of July 2015, South Korea’s central bank owned foreign exchange reserves worth over 370 billion US dollars -- an astounding amount. This so-called “war chest” is a direct result of South Korea’s painful experience during the Asian Crisis in 1997-1998. Confronted with massive capital flight as foreign investors demanded repayment for the loans they had granted Korean firms -- which were mostly denominated in U.S. dollars -- the Korean central bank quite literally ran out of foreign currency. In effect, the Korean private sector could not get hold of enough U.S. dollars and other major foreign currencies to pay back their cross-border debts. This situation led to a severe financial crisis, which left South Korea no choice but to petition the International Monetary Fund (IMF) for help. The Asian Crisis took a severe toll on Korea: corporate bankruptcy rates skyrocketed and over two million people lost their jobs. To prevent future economic downturns from leading into another foreign exchange crisis, the Korean central bank has been building up massive foreign currency reserves ever since. While this is arguably a rational policy, is it necessarily an optimal strategy in today’s world? Our guest for this episode, Youngwon Cho, argues that South Korea’s foreign exchange “hoarding” also implies significant opportunity costs and that a significant share of this “war chest” would be best allocated elsewhere. South Korea’s attempt to invest its massive reserves has yielded so far mixed results. Youngwon Cho is Associate Professor at St. Francis Xavier University in Canada and Visiting Scholar at Korea University’s Asiatic Research Institute in Seoul. He is a specialist in financial globalization and emerging markets, as well as in the regional security complex in East Asia. Professor Cho has published in several academic journals, including the Journal of Contemporary Asia, Pacific Focus, and the Journal of East Asian Affairs. He was also a recipient of the SAGE Prize in International Scholarship for best article on international affairs for his paper entitled Method to the Madness of Chairman Kim: The Instrumental Reality of North Korea’s Pursuit of Nuclear Weapons, published in International Journal. Professor Cho received his B.A. (Hons) from Carleton University and earned his M.A. and PhD from Queen’s. |
Tue, 15 September 2015
The Sunshine Policy – the idea that South Korea should approach North Korea through dialogue, cooperation and reconciliation – has been highly contentious ever since its inception in the late 1990s. Its initiator, former President Kim Dae Jung, was awarded the Nobel Peace Prize for reaching out to Pyongyang; at the same time, however, critics have branded the Sunshine Policy as [a naive attempt to appease a dangerous dictatorship] naive appeasement with a dangerous dictatorship. Even today the dispute about the right foreign policy approach towards North Korea splits the South Korean political discourse. One of the leading experts on the Sunshine Policy is Chung-In Moon. For this episode we spoke to him about the history of this policy, whether or not it failed, the philosophical underpinnings of the Sunshine Policy’s supporters and opponents, and his opinions about how South Korea and the international community should approach North Korea. Chung-In Moon is Professor of Political Science at Yonsei University and Editor-in-Chief of Global Asia. He is also Executive Director of the Kim Dae-jung Presidential Library and Museum, and previously served as Dean of Yonsei’s Graduate School of International Studies. Professor Moon is currently a member of the Presidential Committee on Unification Preparation of the Park Geun-Hye administration. Previously, under former President Roh Moo-hyun, Professor Moon also served as Chairman of the Presidential Committee on Northeast Asian Cooperation Initiative and was Ambassador for International Security Affairs on behalf of the South Korean Ministry of Foreign Affairs and Trade. |
Wed, 9 September 2015
The late 19th century in Korea was a period of political and social turmoil. Japanese interference culminates in the assassination of Queen Min and King Kojong later seeking refuge in the Russian legation. At the same time, Korea is confronted with vast scale civil strife as Koreans hostile to the growing influence of foreign nations foment riots and angry mobs roam the streets of Seoul. This is the Korea the Sills witnessed between early 1894 and the later months of 1896. John Sill, who had been sent to Seoul as Ambassador of the United States, and his wife, Sally Sill, wrote a steady stream of letters to their children and acquaintances who had remained in America. The Sills’ correspondence is a remarkable account of the lives of Westerners in Korea; the tensions between Western influence and traditional values; Japan’s gradual power grab on the Peninsula; and of the dying days of the Joseon dynasty. Our guest for this episode is Robert D. Neff, who transcribed the Sills’ letters and undertook meticulous research to contextualize them for the general public and scholars alike. The result of his hard work is a fascinating book: Letters from Joseon: 19th Century Korea Through the Eyes of an American Ambassador’s Wife, a detailed account of life and politics during a critical period of late Joseon, as seen by the Sills. Robert D. Neff is a freelance writer and historical researcher specializing in Korean history during the late 19th and early 20th centuries. He has authored and co-authored several books, including The Lives of Westerners in Joseon Korea and Korea Through Western Eyes. His writings have appeared in various publications, including Christian Science Monitor, Asia Times, 10 Magazine, Korea Times and the Korea Herald. Robert Neff’s current research focuses on Western gold mining concessions in northern Korea (1883-1939). |
Thu, 3 September 2015
In the early 2000s, North Korea became increasingly isolated internationally, acquiring nuclear weapons technology while diplomatic channels such as the Six Party Talks came to a halt. During the two presidential terms of George W. Bush, Washington’s policy towards Pyongyang focused on demonization and confrontation rather than engagement – famously placing North Korea on the so-called “Axis of Evil” – and was repeatedly criticized by experts and policymakers alike. Yet the question remains whether the United States deserve the blame – and whether this criticism might paint a one-sided image. To learn more about the American views and policy towards North Korea during the Bush years, we had the honor of talking to Victor D. Cha who was in the White House at the time. He worked as Director for Asian Affairs at the National Security Council between 2004 and 2007 and also served as Deputy Head of Delegation for the United States at the Six Party Talks in Beijing. For this episode, we talked about his time in the Bush administration and his views on the current situation surrounding North Korea. Professor Victor D. Cha is director of Asian Studies and holds the D.S. Song Chair in Government and International Affairs at Georgetown University. He has published articles in numerous academic journals, including International Security and Foreign Affairs, and is a frequent contributor to various media such as CNN, the New York Times and Time. His most recent book, The Impossible State: North Korea, Past and Future was selected by Foreign Affairs as a best book of 2012 on the Asia-Pacific. Professor Cha holds a PhD in Political Science from Columbia University, and Masters in International Affairs from Columbia University and in Philosophy, Politics, and Economy (PPE) from the University of Oxford |