Professional Documents
Culture Documents
Craig Jeffries
A50038324
IRCO 410
2/14/09
Introduction
This case is a good example of an information problem, where both sides are not sure
about each other’s intentions or incentives to misrepresent those intentions. However, this case
also shows some signs of being a commitment problem. For example, nuclear weapons
acquisition is in itself an object that affects military strength; therefore it is hard for each side to
accept each other’s commitments as credible for fear of losing relative power in future
bargaining arrangementsi.
The preferences of Bill Clinton and George W. Bush (and as I will argue, Barrack
Obama) appear to be consistent; they are in rank order: 1) a nuclear-free Korean peninsula; 2)
avoiding war in East Asia; and 3) appeasing domestic actors who have a stake in the North
Korean crisis. Conversely, Kim Jong-Il’s preferences are: 1) to remain in power and retain
control over his most salient constituency, the military— by developing his economy through
foreign aid and access to international loans; and 2) avoid war with the United States.
North Korea’s Desire to Obtain Nuclear Weapons and its Behavior Since 1993
North Korea has stated that its nuclear weapons are for defensive purposes, needed in
response to the U.S.-South Korea security pact. However, scholars point to an alternative
justification; this being that North Korea seeks nuclear weapons to use them as a bargaining
chip in order to receive benefits via negotiationsii. I find this a compelling assumption due to the
fact that it is Kim Jong-Il’s best strategy for gaining the financial benefits needed to pay off his
military constituency, and consequently stay in power. Using Sagan’s “domestic model”
approach, I would argue that the acquisition of such weapons is central to Kim Jong-Il’s ability
to placate his security forces. Kim—like all dictators of the world—relies upon his security
apparatus to keep him in power; and by acquiring nuclear weapons, he is showing his military
Kim Jong-Il’s strategy since 1993 in pursuit of nuclear weapons appears to be rational
when looking at his preferences. In order to maintain absolute political control over his state, he
has made the case to his military constituency that the regime’s safety was being jeopardized by
foreign enemies; and to defend against such a danger, a nuclear deterrent was required. Kim’s
message most likely resonated with this security-minded constituency because they saw how the
U.S. dealt with Saddam Hussein’s Iraq, which lacked a nuclear deterrent.
By agreeing to negotiate with U.S. while hiding his true peaceful intentions, Kim was
able to both avoid war and keep his regime alive—through payments of fuel oil, food and other
financial benefits. By negotiating, Kim Jong-Il was also buying time to build up his nuclear
arsenal, which would then increase his future bargaining position. To hold the attention of
periodically showed that it was still a threat by testing nuclear weapons, launching missiles, and
The U.S. in response, pursued a two-track policy to North Korea, which sought to deter
Kim Jong-Il from gaining nuclear weapons, while at the same time actively engaging his regime
The Clinton administration’s legacy with regard to North Korea is the 1994 Agreed
Framework, which essentially froze Pyongyang’s nuclear program in exchange for the U.S.
supplying Kim’s regime with fuel oil, light-water reactors and a non-aggression pledgeiv. Clinton
defends his efforts saying that if the Framework were not in place; North Korea would have a far
greater arsenal than it does todayv. However, many in the U.S., particular hawkish Congressional
Republicans, saw this as a form of appeasement, saying that Clinton was rewarding the bad
behavior of a tyrannical dictatorship. Clinton eventually had to pay attention to his Republicans
opponents, as they won the 1994 midterm elections, subsequently gaining a majority in both
chambers of congress, enabling them to block funds needed to uphold Clinton’s commitments to
North Korea.
Bush continued Clinton’s approach of engagement and deterrence setting up the six-
party talks to limit Kim’s ability to blackmail the U.S. Victor Cha, suggests that Bush’s main
policy toward Pyongyang was to test Kim Jong-Il’s commitment to live up to past agreementsvi.
Additionally, Bush was not sure what Kim’s true intentions regarding the acquisition of nuclear
weapons were; and being a rational actor, sought to avoid a costly military conflict. Thus, he
pursued a peaceful multilateral engagement policy rather than acquiescing to his more hawkish
advisors, advocating regime change and military strikes on an admitted nuclear power, which
domestic constituents—with North Korea was never backed up with tough action, leading
Pyongyang to conclude that it could continue to extract concessions while also continuing to
expand its nuclear arsenalvii. In fact, both administrations appear to have capitulated to Kim
Jong-Il. Every time North Korea threatened non-cooperation, Washington’s engagement strategy
resulted in paying off Pyongyang with fuel, food and outright financial benefits, while also
shielding them from attack. In return, Washington received empty promises to denuclearize,
demonstrating that the relationship was plagued by commitment problems. Clinton and Bush
were also unsure whether Kim Jong-Il was withholding private information about his intentions;
specifically whether he viewed his weapons capability as a vehicle for profit or a way to cause
nuclear havoc. Thus, U.S. policy resulted in cautious diplomacy with Washington eventually
President Obama has proclaimed that the “most urgent threat to the security of America
and the world” is the spread of nuclear weaponsviii. Thus, he has signaled his desire to continue
the six-party talks to try to persuade North Korea to give up its arsenal. President Obama’s
options, however, seem to be the same as his predecessors. First, he can continue to negotiate, in
handicapped by information and commitment problems. However, as both parties learn more
about each other’s intentions over time, the two sides could eventually come to an agreement,
pact. The problem with this solution however, is that it would signal to the world that the U.S.
A second option would be to end negotiations with Kim Jong-Il and impose sanctions, or
more dramatically, strike at suspected nuclear sites. The sanctions approach would probably be
ineffective as North Korea’s economy is not developed enough for sanctions to have a pinching
effect; additionally, Kim has shown his apathy toward his countrymen by allowing over a million
people to die during the mid-90’s famine. Launching military strikes seems unlikely due to the
extremely large costs associated with a war against a small and threaten nuclear state, not to
mention the displeasure this would cause the people who put Obama in the White House.
Therefore, it is safe to assume that Obama will continue negotiations with Pyongyang.
As the two sides are essentially bargaining over an issue that is itself a source of power
and prestige, a problem of how each side can credibly commit to any agreement will always
exist. In this case, Washington cannot credibly commit that it would not attack a non-nuclear
North Korea; while Kim Jong-Il’s regime cannot credibly commit that it would actually give up
its valuable security deterrent, which produces vast benefits at the negotiating table. This last
point demonstrates that this case is also about information problems. Ultimately, the U.S. is not
sure whether Kim Jong-Il wants nuclear weapons to serve as a military deterrent or as a
continue.
Kim’s strategy of using nuclear weapons as a bargaining tool—while hiding his peaceful
intentions—has allowed him to achieve his most important goals: avoiding war with the U.S.,
and remaining in power by placating his military constituency with the benefits received through
concessions gained in negotiations. Kim Jong-Il knows that the U.S. has a limited set of effective
options for dealing with his regime, as well as being cognizant of the fact that Washington views
an attack on his regime to be an extremely costly strategy. Therefore, Kim will probably
conclude that his stratagem of blackmail via negotiation will continue to reap benefits while also
North Korea has shown that its word is not worth much; therefore the U.S. must induce
North Korea to act as a responsible international actor and give up its nuclear weapons. The U.S.
has to show what benefits a non-North Korea could receive. Offering a long-term self-enforcing
economic development for denuclearization partnership seems to be the best strategy. As this
settlement runs its course, both parties will be able to learn more about each other’s intentions,
subsequently reducing the probability of war and leading to more effective bargaining.
Reference Notes
i
Powell, Robert. P.194
ii
Carpenter, Ted Galen p.71-73
iii
Sagan, Scott p. 73
iv
Cirincione, Joseph p. 247
v
Clinton William J. p. 828
vi
Cha, Victor D. p. 106
vii
Mazarr, Michael J. p. 94
viii
Obama, Barack p.8
Bibliography
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Cirincione, Joseph. "Deadly Arsenals: Tracking Weapons of Mass Destruction." Washington, DC: Carnegie
Endowment for International Peace, 2002. 241-253.
Clinton, William J. "My Life." New York: Alfred a. Knopf, 2004. 591, 602-03, 608, 624-25, 828.
Mazarr, Michael J. ""The Long Road to Pyongyang"." Foreign Affairs (September/October 2007): 75-94.
Obama, Barack. "Renewing American Leadership." Foreign Affairs (July/August 2007): 8-9.
Powell, Robert. "War as a Commitment Problem." International Organization 60 (Winter 2006): 169-203.
Sagan, Scott. "Why Do States Build Nuclear Weapons?: Three Models in Search of a Bomb."
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