> I don't think the US has enough non-economic power to make the Japanese
> banks keep their money in the US if they don't want. Especially if the
> Japanese banks think that some divestiture of dollar assets is necessary
> for their survival. Maybe I am being naive, but I don't see it. Any
> sources or evidence? Makoto, what do you think?
Strange does discuss the power the US has been able to exert over Germany
on account of the former's military hegemony. Marxists have oft been
accused of an underdeveloped theory of non economic coercion. Fred, it
seems to me that you are suggesting that despite its military hegemony,
its status as reserve center and its control over the largest market, the
US state has no more tools to sustain a current account deficit than, say,
Thailand. This seems to me incorrect, and a consequence of
a. the undeveloped state of Marx's writing on the world market and
b. the effect of arbitrary disciplinary divides between politics and
economics on the development of Marxist theory.
OPE-L was organized in part to address a.
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