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Im-Politic: Why China’s U.S. Election Interference is a Very Big Deal

13 Thursday Aug 2020

Posted by Alan Tonelson in Im-Politic

≈ 7 Comments

Tags

battleground states, Center for Strategic and International Studies, China, Chinese Americans, collusion, Democrats, election 2020, elections, entertainment, Freedom House, Hollywood, Hoover Institution, Im-Politic, Mike Pence, multinational companies, Nancy Pelosi, National Basketball Association, NBA, Robert Draper, Robert O'Brien, social media, The New York Times Magazine, think tanks, Trump, Trump-Russia, Wall Street

It’s baaaaaaack! The Russia collusion thing, I mean. Only this time, with an important difference.

On top of charges that Moscow is monkeying around with November’s U.S. elections to ensure a Trump victory, and that the President and his aides are doing nothing to fend of this threat to the integrity of the nation’s politics, Democrats and their supporters are now dismissing claims administration about Chinese meddling as alarmism at best and diversionary at worst.

In the words of House Speaker Nancy Pelosi, commenting on recent testimony from U.S. intelligence officials spotlighting both countries’ efforts, to “give some equivalence” of China and Russia on interference efforts “doesn’t really tell the story. 

She continued, “The Chinese, they said, prefer [presumptive Democratic nominee Joe] Biden — we don’t know that, but that’s what they’re saying, but they’re not really getting involved in the presidential election.” ,

The Mainstream Media, as is so often the case, echoed this Democratic talking point. According to The New York Times‘ Robert Draper (author most recently of a long piece in the paper’s magazine section on Mr. Trump’s supposed refusal to approve anti-Russia interference measures or take seriously such findings by the intelligence community ), China “is really not able to affect the integrity of our electoral system the way Russia can….”

And I use the term “Democratic talking point” for two main reasons. First, the Chinese unquestionably have recently gotten into the explicit election meddling game – though with some distinctive Chinese characteristics. Second, and much more important, China for decades has been massively influencing American politics more broadly in ways Russia can’t even dream about – mainly because so many major national American institutions have become so beholden to the Chinese government for so long thanks to the decades-long pre-Trump policy of promoting closer bilateral ties.

As for the narrower, more direct kind of election corrupting, you don’t need to take the word of President Trump’s national security adviser, Robert O’Brien that “China, like Russia and Iran, have engaged in cyberattacks and fishing and that sort of thing with respect to our election infrastructure and with respect to websites.”

Nor do you have to take the word of Vice President Mike Pence, who in 2018 cited a national intelligence assessment that found that China “ is targeting U.S. state and local governments and officials to exploit any divisions between federal and local levels on policy. It’s using wedge issues, like trade tariffs, to advance Beijing’s political influence.”

You can ignore Pence’s contention that that same year, a document circulated by Beijing stated that China must [quoting directly] “strike accurately and carefully, splitting apart different domestic groups” in the United States.

You can even write off China’s decision at the height of that fall’s Congressional election campaigns to take out a “four-page supplement in the Sunday Des Moines [Iowa] Register” that clearly was “intended to undermine farm-country support for President Donald Trump’s escalating trade war….”

Much harder to ignore, though: the claim made last year by a major Hoover Institution study that

“In American federal and state politics, China seeks to identify and cultivate rising politicians. Like many other countries, Chinese entities employ prominent lobbying and public relations firms and cooperate with influential civil society groups. These activities complement China’s long-standing support of visits to China by members of Congress and their staffs. In some rare instances Beijing has used private citizens and companies to exploit loopholes in US regulations that prohibit direct foreign contributions to elections.”

Don’t forget, moreover, findings that Chinese trolls are increasingly active on major social media platforms. According to a report from the research institute Freedom House:

“[C]hinese state-affiliated trolls are…apparently operating on [Twitter] in large numbers. In the hours and days after Houston Rockets general manager Daryl Morey tweeted in support of Hong Kong protesters in October 2019, the Wall Street Journal reported, nearly 170,000 tweets were directed at Morey by users who seemed to be based in China as part of a coordinated intimidation campaign. Meanwhile, there have been multiple suspected efforts by pro-Beijing trolls to manipulate the ranking of content on popular sources of information outside China, including Google’s search engine Reddit,and YouTube.”

The Hoover report also came up with especially disturbing findings about Beijing’s efforts to influence the views (and therefore the votes) of Chinese Americans, including exploiting the potential hostage status of their relatives in China. According to the Hoover researchers:

“Among the Chinese American community, China has long sought to influence—even silence—voices critical of the PRC or supportive of Taiwan by dispatching personnel to the United States to pressure these individuals and while also pressuring their relatives in China. Beijing also views Chinese Americans as members of a worldwide Chinese diaspora that presumes them to retain not only an interest in the welfare of China but also a loosely defined cultural, and even political, allegiance to the so-called Motherland.

In addition:

“In the American media, China has all but eliminated the plethora of independent Chinese-language media outlets that once served Chinese American communities. It has co-opted existing Chineselanguage outlets and established its own new outlets.”

Operations aimed at Chinese Americans are anything but trivial politically. As of 2018, they represented nearly 2.6 million eligible U.S. voters, and they belonged to an Asian-American super-category thats been the fastest growing racial and ethnic population of eligible voters in the country.

Most live in heavily Democratic states, like California, New York, and Massachusetts, but significant concentrations are also found in the battleground states where the many of the 2016 presidential election margins were razor thin, of which look up for grabs this year, like Florida, Georgia, North Carolina, Texas, Michigan, and Pennsylvania.

As for the second, broader and indirect, Chinese meddling in American politics, recall these developments, many of which have been documented on RealityChek:

>U.S.-owned multinational companies, which have long profited at the expense of the domestic economy by offshoring production and jobs to China, have just as long carried Beijing’s water in American politics through their massive contributions to U.S. political campaigns. The same goes for Wall Street, which hasn’t sent many U.S. operations overseas, but which has long hungered for permission to do more business in the Chinese market.

>These same big businesses continually and surreptitiously inject their views into American political debates by heavily financing leading think tanks – which garb their special interest agendas in the raiment of objective scholarship. By the way, at least one of these think tanks, the Center for Strategic and International Studies, has taken Chinese government money, too.

>Hollywood and the rest of the U.S. entertainment industry has become so determined to brown nose China in search of profits that it’s made nearly routine rewriting and censoring material deemed offensive to China. And in case you haven’t noticed, show biz figures haven’t exactly been reluctant to weigh in on U.S. political issues lately. And yes, that includes the stars of the National Basketball Association, who have taken a leading role in what’s become known as the Black Lives Matter movement, but who have remained conspicuously silent about the lives of inhabitants of the vast China market that’s one of their biggest and most promising cash cows.

However indirect this Chinese involvement in American politics is, its effects clearly dwarf total Russian efforts – and by orders of magnitude. Nor is there any reason to believe that Moscow is closing the gap. In fact, China’s advantage here is so great that it makes a case for a useful rule-of-thumb:  Whenever you find out about someone complaining about Russia’s election interference but brushing off China’s, you can be sure that they’re not really angry about interference as such. They’re just angry about interference they don’t like.`      

Im-Politic: Why the Cancel Culture Can Be Really Useful These Days

14 Tuesday Jul 2020

Posted by Alan Tonelson in Im-Politic

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1619 Project, Adam Silver, Adrian Wojnarowski, arts, Ben & Jerry's, Black Lives Matter, cancel culture, celebrities, China, Dan Snyder, entertainment, ESPN, free speech, freedom of expression, freedom of speech, history, human rights, Im-Politic, Jefferson Starship, Josh Hawley, National Basketball Association, NBA, Nike, police brutality, racism, Roger Waters, sports, Starbuck's, The New York Times, Washington Redskins, wokeness

Of course, what sports reporter Adrian Wojnarowski thinks about Missouri Republican Senator Josh Hawley, or the Black Lives Matter movement, or racial justice and police brutality issues generally, or even the proper role of politics in sports, has no intrinsic importance.

I mean, he’s a…sports reporter. As a human being, he’s entitled to his views, and in principle he’s entitled to express them in public. But although he’s great at scooping the competition on the latest roster moves by the Minnesota Timberwolves or whoever, he brings no special qualifications to these matters, and based on what we know, has no distinctive, much less especially valuable, insights to offer. Indeed, he does’t even apparently have any interest in offering them (unless you’re the kind of person impressed with the eloquence of an F-bomb).

Nonetheless, Wojnarowski’s outburst, and suspension by his employer, ESPN, represents a particularly informative opportunity for explaining why the industries like sports and entertainment should stay away from politics not necessarily for the good of the country (a subject that’s unexpectedly beside the point for this discussion), but for their own good. Just as important, his moments of fame outside the professional basketball world make clear that the so-called Cancel Culture that’s emerged with special force recently in the United States has some genuinely constructive uses in these current fraught times.

To recap, Wojnarowski covers pro basketball for sports cable network and website ESPN, and clearly has strong feelings about racial justice/policing etc issues. We know this from his reaction last Friday to message sent by Hawley to the National Basketball Association (NBA) protesting its decision for allowing players to wear “messages that promote social justice on its jerseys this summer but not allow messages that support law enforcement or are critical of China’s Communist Party.” He responded by emailing his F-bomb to Hawley, who proceeded to send out a tweet containing the communication’s image. (See this account for the details.)

To his credit, Wojnarowski has apologized completely, and with apparent sincerity for showing disrespect. But regardless of what you think about the issues above, the NBA’s decision under Commissioner Adam Silver, to “uphold” and even “stand for” values that no one of good will could object to in the abstract is bound to be a recipe for continuing trouble and a hornet’s nest it would do well to avoid for two main and overlapping reasons.

First, what non-arbitrary yardsticks, if any, does the NBA, or a similar organization, use to decide which views it endorses. As widely noted, the NBA is a strongly majority African American league, and Silver has explained that he therefore has tried to be sensitive to the concerns of black players, many of whom have experienced firsthand the varied socioeconomic problems and forms of prejudice that have plagued the black community for so long. That’s perfectly fine, and in my opinion laudible, when it comes to supporting these players expressing their views off the court, as individuals. But as representatives of a team or entire league? And when the league itself takes stances?

This is when a raft of thorny issues rears its head, especially if the league’s policy isn’t “anything goes.” For example, what if – as Hawley suggested – a player wants to wear on his jersey a pro-police or pro-military slogan, or perhaps “All Lives Matter”? Would the league allow that? And if not, on what grounds? Does the NBA really want to permit some forms of Constitutionally protected expression but not others? Would it be willing to establish an issue-oriented inspired litmus test for permission to be drafted or otherwise sign a contract? Would non-playing employees be subjected to the same requirements, too? Or would the league impose a “shut up and dribble”-type rule on players who dissent from its orthodoxy?

These questions may seem academic. But what if the day comes when most NBA players aren’t African Americans? As the league keeps proudly observing, athletes from abroad keep pouring in even now. Maybe they’ll care a lot about police brutality in America’s inner cities, either because they’ve been following the issue closely or because their consciousness has been raised by their African American teammates. But what if, some day, Bosnian-born players wanted to wear jerseys decrying what they see as Serbia’s ar crimes during the Balkans wars that broke out in the 1990s? (Intra-ethnic tensions in the region remain high to this day.) What if Lithuanian-born players wanted to use their uniforms to protest Russian President Vladimir Putin’s apparent designs on their homeland? If enough European players filled NBA rosters, would the league relish the thought of taking institutional stands on these matters? And if it did, how would it decide which positions to take? Majority vote of the players? The owners? Both? The fans?

Or take an international issue on which (as Hawley noted) on which the league has already made clear it prefers not to speak out – human rights in China. What if a player wanted to wear a slogan that slammed Chinese dictator Xi Jinping? What if a player of Chinese descent sought to protest Beijing’s crackdown on Hong Kong? What if one of the NBA’s Muslim players wanted to publicize atrocities committed by China against his co-religionists in the Xinjiang region? Would such players be censored? That option certainly can’t be ruled out, because the league’s lucrative China business has unmistakably led it to tread warily on this ground – even though its influence in the People’s Republic is considerable precisely because of the huge numbers of ardent Chinese NBA fans. But could the league proscribe this or any other kind of selective censorship on the basis of principle? Good luck with that. In fact, as with the other international issues mentioned above, it’s hard to imagine a better formula for sowing bitter divisions up and down league rosters and throughout the fan base. What intelligently led business would want to stir up that hornet’s nest?

Which brings us to the second major reason to de-politicize the NBA – and the related entertainment industry: They’re businesses. Any efforts to impose official orthodoxies will antagonize significant shares of their customer bases as sure as it’s bound to please others. And the league would expose itself to the Cancel Culture – which would have every right to rear its head, and which in these circumstances arguably would serve useful social, political, and economic purposes. After all, if it’s OK for the NBA as a business to take a stand I don’t like, it’s just as OK for me to register my dislike, and/or try to change its mind through the most effective legal means available to me and other individual customers – our pocketbooks.

These actions would by no means amount to calls to censor the NBA, or deny it or any of its franchises a right to free speech. If business owners want to use their assets to push certain agendas, that’s their prerogative. (I’m much less comfortable with permitting businesses to use unlimited amounts of money to fund campaigns for political office – but let’s leave that subject for another time.) It’s anyone’s prerogative, however, to object by not purchasing the product – just as it’s anyone’s prerogative to turn the channel if they decide they don’t like a TV or radio program. If these consumer actions endanger a business’ profits – too bad for them, and no great loss for the nation. If these organizations aren’t willing to pay a commercial price for their principles, chances are they’re not that deeply held to begin with.

The same rule of thumb, by the way, should apply to organizations as such that are resisting becoming politicized – like the Washington Redskins football team, which just yesterday announced that it will be changing its name because many (though no one knows exactly how many) view that monicker as a racial slur. As I see it, owner Dan Snyder has the God-given right to name the team anything he wants. And fans have the right to object by avoiding games in person or on TV, shunning team merchandise etc.

At this point, it’s crucial to note that skepticism about the wisdom of sports leagues and their teams (and other businesses) taking institutional stands on public issues doesn’t automatically translate into opposition to individual athletes or owners or other employees of sports leagues and other businesses taking such positions as individuals, without identifying themselves with their employers. That freedom needs to be respected – or at least that’s how I see it.

But how I see it, it turns out, isn’t the law. Private businesses generally can fire employees for any reason they like, including speaking out politically outside the workplace, as long as the reason has nothing to do with race, religion, gender and, now, sexual orientation. One reason surely is that such actions can reflect poorly on a business, reduce its earnings, and wreak non-trivial collateral damage – e.g., via a revenue drop big enough to endanger salary and wage levels, and even jobs. In other words, in most cases, you as an individual worker can legally be canceled.

Another reason evidently is that this kind of firing doesn’t inherently prevent you from expressing yourself. It simply prevents you from expressing yourself and holding a particular job. Given how important jobs are, that can easily look like a distinction without a difference. But again, if a principle is held strongly enough, it should be worth an economic price.

Speaking of reflecting poorly on business, that’s apparently what the Washington, D.C. pro football team’s sponsors decided when they started threatening Snyder recently with withdrawing sponsorships if he didn’t relent and drop “Redskins.” In effect, they told him they’d fire his business, as they had every right to do And Snyder quite understandably decided that his profits were more important than preserving his memories of his boyhood sports idols. (He’s a native Washingtonian and lifelong-fan,)

Celebrity status, as in sports, of course, creates interesting wrinkles – mainly, a team could in theory fire an athlete for expressing a view that owners consider objectionable, but enough fans might disagree strongly enough to retaliate commercially against the team. In these cases, the only reasonable conclusions to draw are that (1) life is sometimes unavoidably unfair and (2) some decisions are risky, and businesses that employ and even foster outspoken stars, like sports franchises, need to hope they have the judgment to come out on top. The same goes for keeping or dumping controversial names and mascots.

Generally speaking, Cancel Culture-type entertainment issues play out like Cancel Culture-type sports issues, but some crucial differences should be taken into account. Principally, whereas sports as such have absolutely nothing to do with public issues, literature, music, theater, the movies, and the like have always been closely connected with these matters. How could they not? Of course, the arts have created any amount of pure fluff. Much so-called serious art plays purely to our pure emotions, too.

But from their beginnings, the arts have represented expressions of ideas as well, and any healthy society that wants to stay healthy should hope that individual artists and organizations keep sounding off vigorously on “politics.” Moreover, logically speaking, there’s no built-in problem with entertainment companies and those institutions that organize the industry (and administer awards) championing and condemning specific positions as well.

By the same token, however, whether you denigrate the practice as intolerant Cancel Culture or not, it’s any art or entertainment consumer’s right to choose not to patronize any individual entertainer or artist or entertainment business or organization they disagree with about anything, and even to encourage others to join in. The market and the consciences of individuals and companies and organizations in the arts and entertainment fields will decide what kind of arts and entertainment products will be produced, with whose sponsorship (if any) and how influential and commercially successful they’ll be.

The real dilemmas for consumers come in when, say, your favorite singer makes terrific music but expresses offputting ideas on public affairs. In those cases, there’s no reasonable alternative to each individual figuring out which he or she values more – the instrumentals and vocals, or the lyrics – and there’s no ready formula for doint so. For me, it’s how I justify continuing to play Jefferson Starship’s musically magnificent but politically infantile (putting it mildly) 1970 album “Blows Against the Empire,” but also how I’ve decided that I’ll probably keep ignoring Roger Waters’ new material because I find the Pink Floyd co-founder’s anti-Israel invective so despicable.

Of course, Cancel Culture-type issues have arisen in connection with other industries as well. For me, because they generally have nothing to do with ideas and values, the sports rules of thumb seem to be appropriate for them, too. So I’ll keep passing up Ben & Jerry’s – and not simply because they always put in too many fill-ins and too little ice cream. Ditto for Nike’s various social justice kicks (which the athletic shoe company apparently views as being perfectly compatible with its massive job and production offshoring). And since I can now get a good cup of joe, find a comfortable place to sit, take a load off, and use free WiFi at any number of coffee bars around the country, so long to Starbuck’s and its insufferable in-my-face “commitment to racial justice and social equity.”

Whatever you think of the above arguments, they still leave unresolved three big aspects of the intertwined rise-of-institutional “wokeness/“Cancel Culture debate still unresolved.

The first, concerning historical monuments, markers, and names etc. I’ve already dealt with extensively, and you can examine my views by entering terms like “Confederacy” or “history” in RealityChek‘s search engine.

The second concerns the view that the kind of voting with your pocketbook that I’m recommending clashes with the idea that vigorous debate is a cornerstone of any sound democracy. I strongly agree with that notion. But it strikes me as naive to believe that at present, or in the foreseeable future, the conditions exist or will exist for any kind of helpful debate about the emergence of woke corporate culture.

For decisions like the NBA’s to take up certain causes (but not others) didn’t result from any engagement with the fan base. I’m sure some polls have been taken, but those were undoubtedly market research exercises to try to see whether such moves would pass muster with its customers – or whether they mattered at all. But to my knowledge, neither the league nor any of its corporate counterparts offered the general public the option of commenting substantively, much less indicated that these comments would be taken into account. The decisions were made by fiat. And given the vast disparity between the power and influence of a huge, well-financed business on the one hand, and individual customers or fans on the other, who can reasonably doubt that these debates won’t even happen until it’s clear that fan objections are impacting bottom lines?

If anything, these points are even stronger when it comes to institutions that are widely supposed to be in the debate-fostering business themselves, at least in part. It’s true, I’ve argued, that at least when we’re talking about the news media, or the broader information industries, these suppositions are largely misconceptions. It’s also true that I wouldn’t advise anyone to stop reading, say, The New York Times, because it’s chosen to enter the field of education and create the (in my view recklessly slanted) “1619 Project” to rewrite American history, or because its news coverage too often seems to be shaped by a widely held staff view that the sins of President Trump are great enough to warrant abandoning traditional journalistic ideals like objectivity.

But these Times decisions also were made by fiat, with no substantive input sought from readers. So if at some point I or anyone else concludes that the Times‘ reporting and analysis has become so unreliable as to be useless, I’ll cancel my subscription with a perfectly good conscience, and hope others do likewise.

The third dimension of the wokeness/Cancel Culture debate concerns wrongs committed or controversial remarks made by high profile individuals, and the proper responses both of the general public and of whatever employers or constituencies to which they’re responsible. Simply put, should such words and deeds be forgiven or punished, and if the latter, is there a statute of limitations?

Clearly, some of the deeds (like sex crimes) bring into the picture the criminal justice system, which I assume everyone views as the way society should deal with these actions. More difficult to decide, at least in principle, is how to treat those convicted once they’ve paid their debt (assuming they get released). At this point, I don’t see any viable alternative to engaging in or avoiding Cancel Culture-type responses, since the offenses cover such a wide range of actions, and since the subsequent behavior of the guilty is certain to vary greatly as well. Therefore it seems impossible to figure out a cookie-cutter blueprint for forgiveness or lack thereof. Case-by-case seems to be the best strategy for their employers, too.

Nor do I see any viable alternative to dealing with case-by-case to speech that’s legal but that offends for all sorts of valid reasons. In other words, there’s no escaping judgment calls.

So let’s give the Cancel Culture one or two cheers (as opposed to the full three). I just wish I was more confident that America’s national supply of judgment was adequate or increasing strongly.  

Following Up: More Reasons for the NBA to Get Woke on China

27 Friday Dec 2019

Posted by Alan Tonelson in Following Up

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basketball, China, Following Up, Hong Kong, human rights, India, Japan, LawfareBlog.com, National Basketball Association, NBA, Nikkei Asian Review, sports, Uighurs, Victor Cha

Earlier this month, I published a piece on The American Conservative website scolding the National Basketball Association (NBA) and some of its star players and coaches for too often knuckling under to Chinese human rights-related pressure for fear of getting shut out of the People’s Republic’s vast and rapidly growing market. I justified my call for a more outspoken China stance by this normally politically outspoken league by noting that China wasn’t the only big foreign market capable of adding to the league’s already healthy profits and thus to the players’ and coaches’ already titanic salaries. And I observed that in fact, U.S. pro basketball has enough leverage with China to lead a global sports world push for better behavior from Beijing, especially when it comes to Hong Kong and the country’s Uighur Muslim minority.

That’s largely why it’s been great to see these arguments being reinforced lately both by some new NBA-related business developments and by a leading authority on Asian affairs.

On the business front, a recent report from Japan’s Nikkei Asian Review (NAR) observes that the league is indeed continuing full steam ahead with its efforts to win fans and rake in bucks in Japan and India. The former, not so incidentally, is the world’s third largest single national economy (after the United States and China). The latter has a population so huge and still growing so fast that it’s soon expected to surpass China as the world’s biggest.

According to NAR, this fall the NBA played its first games in Japan (exhibitions) in 16 years and the stands were packed. Moreover, the publication cites one estimate claiming explosive recent growth in subscriptions for the streaming service authorized to carry league games.

Further, the NBA’s popularity in Japan looks set to keep surging for the foreseeable future. For next year’s summer Olympics will be held in Tokyo, and the U.S. and other foreign teams slated to compete will contains dozens of NBA stars. And in 2023, Japan will be one of the co-hosts (along with other big Asian countries the Philippines and Indonesia) of the basketball World Cup.

But perhaps the biggest boost to the NBA’s popularity has been Washington Wizards rookie Rui Hachimura. Hachimura isn’t the first Japan-born player to appear in an NBA game. But so far he looks to be the best by far, and could boost the league’s Japanese fan base in ways reminiscent of Yao Ming’s impact in China.

As for India, the league opened its first office in that population giant in 2017, and although its athletes don’t seem NBA- (or major college-) ready yet, but its fans could identify with Vivek Ranadive, Indian-born owner of the Sacramento Kings. And the Kings played the Indiana Pacers in Mumbai this fall shortly before the Japan exhibition games.

Meanwhile, my claim that the NBA possesses ample clout to confront China successfully on human rights issues was seconded recently by Victor Cha, a Georgetown University political scientist and former National Security Council Asia specialist under George W. Bush’s administration. In a December 8 post for the Lawfare blog, Cha wrote:

“China may continue to ban broadcasts of [certain NBA] games, but how long before Chinese people express frustration? It’s not like there is an alternative to NBA stars like Lebron James or Steph Curry for youth on a Chinese basketball team to worship. China’s punishment may be costly in the short term, but in the long run, the demand signal from Chinese consumers will remain strong. And if the Beijing authorities are seen to be standing in the way, the Chinese Communist Party may be doing more harm than good to its own domestic standing. Moreover, the attention brought to the Chinese over the NBA ban could make the Chinese people aware of alternative narratives of the events in Hong Kong beyond the official media’s framing of the protests as criminal, thuggish and unjustified behavior.”

And I would strongly second Cha’s broader conclusion that “China’s predatory liberalism is an affront to the liberal international order, and the NBA, whether intended or not, is now a part of this struggle. Its actions going forward will set precedents, hopefully positive, for governments, companies, and individuals both inside and outside of China.”

Making News: A New China (and Basketball!) Op-Ed, and Back on CNBC Today!

03 Tuesday Dec 2019

Posted by Alan Tonelson in Making News

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China, CNBC, European Union, Hong Kong, human rights, Making News, National Basketball Association, NBA, The American Conservative, Trade, Trump

I’m pleased to announce that a new op-ed article of mine was posted last night.  Appearing on the website of The American Conservative, it explains why the National Basketball Association and its often politically outspoken players and coaches can easily afford to lead a global campaign to press China to clean up at least some of its human right act in Hong Kong and elsewhere.  Click here to read.

Also, I’m scheduled to return to CNBC this afternoon to discuss all the fast-breaking developments in U.S. trade policy across the board – including with China and the European Union.  The segment is slated to begin at 2 PM EST and, as usual, if you can’t tune in (or if you’re dying to see it again), I’ll be posting a link to the streaming video as soon as one’s available.

And keep checking in with RealityChek for news of upcoming media appearances and other developments.

 

 

Im-Politic: On Sports, Politics, and Boundaries

20 Sunday Oct 2019

Posted by Alan Tonelson in Im-Politic

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boycotts, China, culture, entertainment, First Amendment, free speech, Hong Kong protests, Im-Politic, national anthem, National Basketball Association, National Invitational Tournament, NBA, politics, Princeton University, protests, social media, sports, Vietnam War

One my my funnest (indulge me) memories of college was driving round trip between central New Jersey and New York City’s Madison Square Garden four times one week in the spring of 1975 to see the Princeton men’s basketball team play in – and win! – the National Invitational Tournament (which was a reasonably big deal back then).

During one of the games, a friend and I unfurled a dorm-made sign protesting something or other about the rapidly ending Vietnam War. We considered it an important message to send, and given the conflict’s damage to America’s economy, politics, society, and culture, and given the destruction wreaked throughout Southeast Asia, I have no problem all these decades later with the content.

In retrospect, though, I wish we’d left the banner back on campus, because I’m now convinced that injecting political and policy debates into a college basketball game wasn’t the right decision. I’m bringing it up today because I wish those well-meaning basketball fans supporting the Hong Kong protesters and China’s other repressive policies inside the arena would recognize that these actions are mistaken, too.

Don’t get me wrong: As I’ve written, I have no problem with athletes and other figures from the sports world expressing political and policy views. I don’t find them to be of any special interest, and way too often they’re the epitomes of ignorance, virtue signaling, or both. But all of them – along with celebrities and others from entertainment circles – unmistakably enjoy the same First Amendment rights of all other Americans. (Complications do arise, however, when their free speech rights clash with their obligations as employees of companies concerned that such words and actions will be bad for business.)

In fact, I’ve also urged National Basketball Association officials, players, owners, and other employees to think much more seriously about their partnership with China (and, by extension, other repressive countries), and even consider a boycott.

But just as I’ve urged athletes to keep their political views (e.g, taking a knee during the playing of the national anthem before pro football games) off the court and playing field (because their fame gives them so many other high-profile opportunities to speak out – and to big audiences), I’d urge fans to keep home their own beliefs, however heartfelt and morally compelling. The same, by the way, should apply to entertainers turning awards shows into political fora.

For even though spectators lack the renown and followings of athletes and entertainers, they’re hardly devoid of influence. They can choose to stay away from arenas, cinemas, theaters, and other venues showcasing performers, franchises, or entertainment businesses whose actions or statements they dislike. They can also organize boycotts of these individuals and organizations if they wish – and social media gives them a more powerful megaphone than ever. (For the record, I’m anything but enthusiastic about such politicization, especially regarding prominent individuals and organizations who fail to take desired stances.)

And I can’t imagine how any court could legitimately decide that such protesters aren’t allowed to make their views known verbally and/or visually on public transportation corridors and systems leading to and servicing sports or entertainment venues (subject of course to any level of government’s right to regulate protest activity in such a way as to permit travel and other everyday activity from proceeding).

But even if businesses and organizations that stage sports or entertainment events lacked the legal authority to ban activity at events that has nothing intrinsically to do with the sporting or entertainment angle of these events (the current legal consensus is pretty unclear, at least judging from this article), would anyone this side of rational and sane really want to go to, say, a Los Angeles Lakers pro basketball game and be forced to listen to some attendees heckle star LeBron James all contest long for his failure to condemn China’s human rights practices? Or to need to see “Free Hong Kong” banners throughout the Staples Center or any other NBA court?

The law plainly prevents such heckling or chants or other disruptive behavior at entertainment events where it’s crucial to listen to the performers. But even when speaking and listening aren’t important, who would really want to visit an art museum whose every gallery contains a protester or two or ten holding up Pro-Life or Pro-Choice signs? Who would really want to walk around a Central Park blanketed with Dump Trump or MAGA posters?

The sports, entertainment, and cultural worlds shouldn’t be shielded from politics and policy, and indeed can’t be – unless we want to make them completely irrelevant to our lives and to our posterity. But given all the opportunities available to all Americans nowadays to express political and policy views, it seems not only entirely reasonable to treat actual performances as refuges – including as escapist opportunities, from these other spheres, but essential to the health and vibrancy of both individuals and the nation as a whole. And these are boundaries that a genuinely wise society should be respected regardless of whether, and to what extent, they’re legally enforceable or not.

(What’s Left of) Our Economy: Now What in the U.S.-China Trade War?

15 Tuesday Oct 2019

Posted by Alan Tonelson in (What's Left of) Our Economy

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Tags

agriculture, allies, China, decoupling, Democrats, election 2020, forced technology transfer, Hong Kong, Huawei, impeachment, intellectual property theft, National Basketball Association, Phase One, Steven Mnuchin, subsidies, supply chains, Taiwan, tariffs, Trade, trade talks, Uighurs, verification, {What's Left of) Our Economy

This is the second working day since the United States and China reached what the Trump administration is calling a “Phase One” trade deal with Beijing last Friday, and the questions surrounding the agreement still far outweigh what’s known. That alone should tell you that towering obstacles continue blocking any confident assessment of where the President’s so-called trade war stands, much less where the conflict is likely to go. Even so, here are some observations I hope are useful.  (Teaser:  One major point concerns tonight’s Democratic presidential candidates debate.)

First, the absence of any written statements or documents from the U.S. side describing or even summarizing what’s actually in the agreement justifies big doubts that anything deserving the term “deal” has been reached at all. Further reinforcing legitimate skepticism is China’s long record of broken promises on trade.

Second, especially strong skepticism is warranted about U.S. claims that any meaningful progress has been made on the so-called structural issues focused on from the very beginning by the Trump administration. For it as I’ve long argued, China’s government is so vast and secretive, and leaves such scanty written records of key decisions, that it will simply be impossible for the United States to monitor and enforce even the most promising Chinese commitments on intellectual property theft, technology extortion, discriminatory Chinese government procurement, and Beijing subsidies that shaft U.S.-owned and other foreign businesses vis-a-vis their Chinese rivals.

Third, even if China currently means to keep its alleged promises to binge buy American agricultural products, any number of external events could upset the apple cart. They include the Hong Kong picture becoming uglier (its becoming prettier can’t be totally ruled out, but seems highly unlikely); new Chinese crackdowns on other protests that may emerge (especially among the Uighur Muslim population) or revelations of new Chinese atrocities against the Uighurs or other minorities or other protesters; more attempted Chinese bullying of high-profile U.S. businesses like the National Basketball Association; a major flare-up of tensions over Taiwan or China’s aggressive moves in the South China Sea; a step forward in the Huawei case that increases the chances that the CFO daughter of the founder of this Chinese telecommunications giant will be extradited to the United States from Canada for sanctions-busting; and Chinese moves that persuade Washington that Beijing has no intention of keeping its perceived agriculture or other promises.

Moreover, the longer China takes to ramp up its buys from American farmers, the greater the potential for these kinds of shocks to bring this “Phase One” agreement crashing down.

Fourth, the less impressive the “mini-deal” keeps looking, the more convincing my view that its apparent modesty reflects President Trump’s belief that his domestic political position has weakened significantly – both because of the new impeachment threat and signs of an economic slowdown.

It’s true that Treasury Secretary Steven Mnuchin has suggested that if the deal hasn’t been finalized by December 15, the Trump administration will go ahead with a previously vowed 15 percent increase on $156 billion worth of levies on Chinese imports. But that’s anything but a concrete threat. In addition, it’s important to note this report suggesting (the specifics are really sloppily described) that China wants the sequencing to work in the opposite way:  First, tariffs get rolled back (or frozen in place?), then the agriculture buys begin. 

Moreover, no one in the administration has said anything about reversing its Phase One-related decision to suspend a big tariff increase (to up to a formidable 30 percent on some products) previously announced to begin on October 15. So even though U.S. duties on some $360 billion worth of Chinese goods would still remain in place if China blows Mr. Trump off, there’s a real chance that Beijing won’t incur any further punishment – doubtless because the President believes that tariffs above and beyond current levels and coverage could panic investors again and further soften economic growth.

Some kind of blow-up in Hong Kong or elsewhere could yet change Mr. Trump’s calculations. But the more important point so far is that events, not the President, are now in charge of the trade talks track of his China policy.

Fifth, at the same time, none of the above means that the United States is devoid of leverage versus China and in particular the kind of clout that can keep advancing its economic as well as closely related technology and national security interests, and this is where a second, arguably more important, track of the Trump China policies needs to be remembered. As I’ve written, the President has sought not only to end the threat of China’s economic predation by forcing Chinese policy changes through tariff pressure. Although he rarely speaks of it, he’s also been trying to repel Chinese threats to U.S. security and prosperity through a series of unilateral measures aimed at decoupling the United States from China economically.

By crimping trade, investment, and technology flows, these decoupling steps are reducing America’s vulnerability to China by significantly reducing the access to the U.S. market so crucial to the success of China’s advanced industries; by shrinking the footprint of China’s state-controlled economy in America’s largely free market system; and by cutting off a Chinese tech sector that could be become highly dangerous from critical supplies of U.S. components.

Decoupling has also been advanced by those tariffs so far imposed on $360 billion worth of Chinese products (amounting to nearly 86 percent of all goods imports from China last year). They haven’t done much to achieve their stated aim of improving China’s behavior, but they have decreased China’s importance to the U.S. economy by prompting an exodus of global manufacturing supply chains out of the People’s Republic.

Further, the Trump decoupling campaign has also helped awaken many foreign governments to the China tech and broader economic threat – though because so many other countries (including major American treaty allies), were profiting so handsomely from the pre-Trump globalization status quo, progress on this front has been uneven and disappointing. (See here for why Germany, for example is so conflicted.) 

Sixth and finally, one major set of actors in this drama, though, hasn’t been very woke on China issues:  most of the Democratic presidential candidates. Sure, many have supported a policy of “doing something” on China (though rarely involving tariffs – or any other concrete measures). But so far, none seems to view China’s multi-dimensional challenge to America as a major concern – and all the top-tier contenders and most others now support impeaching the President. 

Consequently, they could greatly strengthen not only Mr. Trump’s position, but the American position, with firm declarations in tonight’s debate that China will stay squarely in Washington’s cross-hairs if they win the White House, and that therefore there’s no point in stonewalling in hopes of easier post-2020 U.S. policies. Not that any confidence looks well founded that any of them will.        

Making News: Two China Trade War (& NBA?) National Radio Interviews Coming Up Today

09 Wednesday Oct 2019

Posted by Alan Tonelson in Making News

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censorship, China, Hong Kong, Making News, Market Wrap with Moe Ansari, National Basketball Association, NBA, The John Batchelor Show, Trade, trade talks, trade war

I’m pleased to announce that I’m scheduled to be interviewed on two nationally syndicated radio programs today on the current, possibly crucial phase of the U.S.-China trade talks.  I also suspect that both segments will at some point turn to the uproar over China’s efforts to censor a National Basketball Association executive for tweeting his support for the Hong Kong protesters, and Beijing’s follow-on efforts to intimidate the league.

The first, slated to air at 3 PM EST, is with Moe Ansari on his popular “Market Wrap” program.  You can listen on-line here.

The second, which will start at 9:15 PM EST, is on “The John Batchelor Show,” and here’s the listen live on-line link.

As always, if you can’t tune in, I’ll post links to the podcasts as soon as they’re available.

And keep checking in with RealityChek for news of upcoming media appearances and other developments.

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Guest Posts

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  • Golden Oldies
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Current Thoughts on Trade

Terence P. Stewart

Protecting U.S. Workers

Marc to Market

So Much Nonsense Out There, So Little Time....

Alastair Winter

Chief Economist at Daniel Stewart & Co - Trying to make sense of Global Markets, Macroeconomics & Politics

Smaulgld

Real Estate + Economics + Gold + Silver

Reclaim the American Dream

So Much Nonsense Out There, So Little Time....

Mickey Kaus

Kausfiles

David Stockman's Contra Corner

Washington Decoded

So Much Nonsense Out There, So Little Time....

Upon Closer inspection

Keep America At Work

Sober Look

So Much Nonsense Out There, So Little Time....

Credit Writedowns

Finance, Economics and Markets

GubbmintCheese

So Much Nonsense Out There, So Little Time....

VoxEU.org: Recent Articles

So Much Nonsense Out There, So Little Time....

Michael Pettis' CHINA FINANCIAL MARKETS

New Economic Populist

So Much Nonsense Out There, So Little Time....

George Magnus

So Much Nonsense Out There, So Little Time....

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