Development as a Tool of Economic Statecraft
Abstract
In this report, we conduct a net assessment of U.S. and Chinese development assistance and cooperation. We describe each country's differing approaches to economic engagement with developing countries and conduct a data-driven comparison to identify strategic asymmetries that could present opportunities for the United States to better compete with China for relationships and influence in the developing world. This assessment reveals several key findings, including that Chinese economic engagement in the developing world should not be conceptualized as aid or assistance and that this mischaracterization has potentially led to an overreliance on U.S. development tools as a primary response. Moreover, despite evidence of the short-term benefits that China might gain from its development financing, it is not clear whether these benefits are sustainable or effective over the long term when compared with the U.S. approach. Nevertheless, Chinas efforts in particular, its heavy emphasis on energy and infrastructure projects, its approach to working through elite actors in developing countries rather than broad-based societal programming, and its willing embrace of greater risk and reduced transparency still create challenges for the United States. From these findings, we propose a series of actions that the United States can take to better align its development activities with U.S. national security objectives related to competition with China without sacrificing underlying U.S. normative goals of reducing global poverty and improving welfare in the developing world.
Document Details
- Document Type
- Technical Report
- Publication Date
- Sep 01, 2023
- Accession Number
- AD1213695
Entities
People
- Alexandra T. Evans
- Andrew Stravers
- Eric Robinson
- Howard J. Shatz
- Raymond Kuo
- Stephanie Stewart
Organizations
- RAND Corporation