Brian Gongol
South Korean president guilty of mammoth understatement
Says North Korea's nuclear test (if that's what it was) means that his policy of engagement with the North "faces difficulties." That might be a little too understated. Meanwhile, Japan's newly-minted prime minister has to figure out how his country should respond without any time to get suited to his new office, there's fresh unrest in Taiwan, and the UN Security Council just nominated a South Korean to become UN Secretary-General. Adding to the "perfect storm" nature of the timing of the reported test, of course, is the upcoming US election as well. One economic observation: There's a great deal of talk about expanded economic sanctions against North Korea as punishment for the test, but rational heads need to consider whether trying to further strangle a moribund economy will drive North Korea to pursue cash by selling more weapons on the black market. Corner a desparate animal and it may just lash out. Economic sanctions sound tough, but they could be counterproductive.
Says North Korea's nuclear test (if that's what it was) means that his policy of engagement with the North "faces difficulties." That might be a little too understated. Meanwhile, Japan's newly-minted prime minister has to figure out how his country should respond without any time to get suited to his new office, there's fresh unrest in Taiwan, and the UN Security Council just nominated a South Korean to become UN Secretary-General. Adding to the "perfect storm" nature of the timing of the reported test, of course, is the upcoming US election as well. One economic observation: There's a great deal of talk about expanded economic sanctions against North Korea as punishment for the test, but rational heads need to consider whether trying to further strangle a moribund economy will drive North Korea to pursue cash by selling more weapons on the black market. Corner a desparate animal and it may just lash out. Economic sanctions sound tough, but they could be counterproductive.
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