Announcements OIL POLICIES and the FUTURE of INDIGENOUS TERRITORIES IN THE ECUADOREAN AMAZON Dr....

Announcements OIL POLICIES and the

FUTURE of INDIGENOUS TERRITORIES IN THE ECUADOREAN AMAZON Dr. Pablo Ortiz

Andean University

Thurs., Feb. 5th, 4:00 Hagey Hall

150 POSTPONED!POSTPONED!

Waterloo-Germany Exchange Open to all students. Receive UW credits-

language fluency-International experience!

Info session from 12:30-1:30 p.m. Thursday, Feb. 5, 2004, ML 245

Check out the web site at: http://germanicandslavic.uwaterloo.ca/exchange/.

Mid-Term Exam

short answer (paragraph) 60% three sections – each worth equal weight each section will present choice of two

questions Section A – Axioms of Political Science

and Introduction to Globalization Section B – Global Institutions I

• WTO, NAFTA, EU Section C – Global Institutions II

• World Bank, IMF, UN

Globalization & Third World Development

World Bank and the IMF

February 3rd, 2004

The IMF -- Function functions – to promote...

international monetary cooperation expansion of trade exchange rate ($$) stability allow member countries to correct maladjustments in

balance of payments balance of payments=exports-imports to allow countries to continue paying for imports without

imposing import controls provides short-term loans at market-related rate of interest

• lower interest rates for poor countries (as of mid-1980s)– requires structural adjustment plan

The IMF -- Programs Poverty Reduction and Growth Facility (PRGF)

Poverty Reduction Strategy Papers concessional lending (i.e. low interest) http://www.imf.org/external/np/exr/facts/prsp.htm

Highly Indebted Poor Countries (HPIC) Initiative debt relief (joint IMF/World Bank) http://worldbank.org/hipc/about/about.html “eligible HPIC countries undertake sustained

implementation of integrated poverty reduction and economic reform programs”

The IMF -- Structure all loan arrangements must be approved by

Executive Board fund is based on quotas on members

based on the relative size of their economies in the world economy

votes based on size of quota contribution IMF and the US --

http://www.nytimes.com/2004/01/08/business/08FUND.html?ex=1075525200&en=2e26ea5a76a51764&ei=5070

IMF, Votes by Country, 2002

US17%

Japan6%

Other61% France

5%

Germany6%

UK 5%

The Washington Consensus principles underlying the policies of World Bank and

IMF new model of neo-liberal economic development

market liberalization privatization economic stabilization deregulation

World Bank and IMF structural adjustment policies (SAPs)

argument that loans were ineffective in fostering development without changes to ensure a healthy economy

countries had to be able to pay loans back countries had “to get the basics right” SAPs -- conditional loans issued to countries to

pursue policy reforms in keeping with 4 goals above

The World Bank, IMF and Structural Adjustment

the critique “In who’s interest? Just ask...who set it up?”

former Jamaican President, Michael Manley

World Bank allows rich western industrialized countries to dictate the path of

development in their own interests project their preferred model of development on the domestic policies of

developing countries wield imperialistic power over developing countries through the

mechanism of debt IMF

as above, plus... allows rich western industrialized countries to expand their markets ensures that debts of developing countries (to interests in developed

countries) are paid


the defense what is the alternative?

would anyone argue that poor countries be denied IMF and World Bank loans?

capital (necessary for development) would not otherwise be available on the open market

however, cannot simply give money away... countries must be able to show that they will be able to pay it back best way to do so is to “get the basics right” – create conditions for

economic development• to some significant degree, this is where the difference lie

basic problems of poverty and underdevelopment are not created by World Bank and IMF


the counter-critique international institutions (e.g. IMF, World Bank) would be more

sensitive to needs of developing countries if they had stronger representation of developing countries

there are other alternatives e.g. debt relief

International Relations

Managing Interdependence

February 3rd, 2004

International Political Framework

states are the main playersare sovereign exist in international systemare interdependent

to manage interdependence, states can: devise rules, mechanisms for peaceful co-existence

foundation for international law, institutions international regime: regularized pattern of

interaction between countries, through law, institutions, diplomacy

resort to force or threat of force

International Political Framework managing interdependence is difficult

different preferences re. domestic politics, international order

international inequalities of power domestic concerns about loss of sovereignty

International Political Framework – Major Changes

end of the Cold War interdependence is increasing

“Globalization...means an ever larger and more demanding international agenda, more engagement by countries in each other’s affairs over matters farther and farther behind each other’s borders, and, even among friends, more collisions of interest.” Jessica Matthews, Estranged Partners

domestic politics are more and more affected by politics at the international level and vice versa

America’s War on Terrorism Sept.11th contributed to erasing the line between

foreign policy and domestic politics for the US war on terrorism -- main US foreign policy

challenge is defined as homeland security ensuring homeland security is a project firmly

embroiled in domestic politics• Office of Homeland Security• civil liberties

homeland security depends on successful foreign policy

requires maintaining an international coalition (despite having pushed US towards military unilateralism)

avoiding creating new threats in addressing existing threats

International Organizations

Security -- The United Nations

February 5th --2004

Managing Interdependence -- The United Nations establishment

precursor – League of Nations (1919)

established 1945 primary objective – peace and

security preamble of the UN Charter

WE THE PEOPLES OF THE UNITED NATIONS DETERMINED... to save succeeding generations from the scourge of war, which twice in our

lifetime has brought untold sorrow to mankind, and to reaffirm faith in fundamental human rights, in the dignity and worth of the

human person, in the equal rights of men and women and of nations large and small, and

to establish conditions under which justice and respect for the obligations arising from treaties and other sources of international law can be maintained, and

to promote social progress and better standards of life in larger freedom,AND FOR THESE ENDS... to practice tolerance and live together in peace with one another as good

neighbours, and to unite our strength to maintain international peace and security, and to ensure, by the acceptance of principles and the institution of methods, that

armed force shall not be used, save in the common interest, and to employ international machinery for the promotion of the economic and social

advancement of all peoples,HAVE RESOLVED TO COMBINE OUR EFFORTS TO ACCOMPLISH THESE AIMS.

The United Nations – What is It? Chpt.1, Article 2, 1: The Organization is based on the

principle of the sovereign equality of all its Members. organization of voluntary member countries

"Membership in the United Nations is open to all peace-loving states which accept the obligations of the Charter and, in the judgement of the Organization, are willing and able to carry out these obligations.”

51 countries in 1945• including US and Iraq!

191 countries in 2003 based on the “sovereign equality” of each of its

member

The United Nations – Aims and Functions primary objective – peace and security

recognition of the interrelated nature of various spheres of interdependence

security dependent upon other aspects (rights, social progress, etc.)

multiple areas of focus security (UN Security Council) economic development (UN Development Program) health (World Health Organization) human rights (Office of the UN High Commissioner for Human

Rights) refugees (Office of the UN High Commissioner for Refugees) women (UN Development Fund for Women) children (UN Children’s Fund)

The UN and Security powers and functions (Security Council)

Chpt.5, Article 24, 1: ...its Members confer on the Security Council primary responsibility for the maintenance of international peace and security, and agree that in carrying out its duties under this responsibility the Security Council acts on their behalf.

Chpt.7, Article 43, 1: All Members of the United Nations...undertake to make available to the Security Council, on its call...armed forces...necessary for the purpose of maintaining international peace and security.

main difference with former League of Nations

The UN Security Council organizational structure

15 members 5 permanent

US, Great Britain, France, Russia, China each holds veto power

10 rotating members elected from UN General Assembly two year terms Germany, Guinea, Mexico, Pakistan, Spain, Syria, Angola,

Bulgaria, Cameroon, Chile decisions on substantial matters

requires nine votes votes of all five permanent nations

The United Nations – What is It? different from “government”

no direct relationship with people of member countries not directly elected by the people or accountable to them link between “the people” and the UN in some cases is through

non-democratic governments has no ability to tax or raise revenues

dues on each member country based on country’s share of the world economy

29% of countries not paying dues in full or on time largest share (38%) of unpaid dues attributed to US (UN

Wepbage)• however, US pays highest dues (22% of UN budget)

has no independent military no way to independently enforce its decisions

The United Nations – What is It? result?

can only undertake activities that its members agree to and only to the extent that they provide the resources to do so

especially dependent on those that provide the most resources

only wields influence to the degree that membership broadly or individual members of specific importance (e.g. US) accept its legitimacy

The UN and the Iraq Situation

UN Security Council & the Iraq Situation

challenge for Security Council – avoid irrelevance balance between...

rubber-stamping US foreign policy goals obstructing US foreign policy goals (forcing US to act

unilaterally) Resolution 687 (1991)

Iraq shall unconditionally accept removal of weapons of mass destruction, ballistic missiles, and related production facilities

provides for establishment of a system of ongoing monitoring and verification of Iraq’s compliance

Resolution 1441 (November 2002) finds Iraq in material breach of SC Res687 provides “final opportunity” to comply with

disarmament obligations Security Council to convene if Iraq fails to comply warns that Iraq faces “serious consequences”


proposed resolution US, UK, Spain “...Iraq has failed to take the final

opportunity afforded to it in resolution 1441.”

memorandum opposing use of force France, Germany, Russia

• conditions for using force against Iraq have not been fulfilled

• calls for “reinforced inspections”


US, UK and Spain rescind proposed resolution on March 17th

Why?• would not pass

– France vows to veto

– also unclear if support sufficient to pass even in absence of French veto

• if the resolution is defeated, use of force would be clearly contrary to the wishes of UN Security Council

US argues that use of force legal under Resolution 687

48 hour warning issued Monday, March 17th

first missiles launched March 19th

The UN Charter and the Iraq Situation

Chpt.1, Article 2, 4: All Members shall refrain in their international relations from the threat or use of force against the territorial integrity or political independence of any state...

Chpt.5, Article 25: The Members of the United Nations agree to accept and carry out the decisions of the Security Council in accordance with the present Charter.

Chpt.7, Article 39: The Security Council shall determine the existence of any threat to the peace, breach of the peace, or act of aggression and shall make recommendations, or decide what measures shall be taken...to maintain or restore international peace and security.

Article 51: Nothing in the present Charter shall impair the inherent right of individual or collective self-defence if an armed attack occurs against a Member of the United Nations...


implications for UN Security Council US clearly signaled its belief that the

Security Council has failed its responsibility

challenge for Security Council – avoid irrelevance balance between...

rubber-stamping US foreign policy goals obstructing US foreign policy goals (forcing

US to act unilaterally) UN Security Council will be irrelevant

to future US military action unless reformed

UN Security Council Members (Freedom House Freedom Rating)

Angola – Not Free (6/5) Bulgaria – Free (1/2) Cameroon – Not Free (6/6) Chile – Free (2/1) China – Not Free (7/6) France – Free (1/1) Germany – Free (1/1) Guinea – Not Free (6/5) Mexico – Free (2/2) Pakistan – Not Free (6/5) Russia – Partly Free (5/5) Spain – Free (1/1) Syria – Not Free (7/7)

• among top 9 worst rated countries in the world UK – Free (1/1) US – Free (1/1)

Announcements OIL POLICIES and the FUTURE of INDIGENOUS TERRITORIES IN THE ECUADOREAN AMAZON Dr....

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