The aim of this work is to present some preliminary and partial observations
regarding the issue of international participation. Preliminary because
we will present certain elements that would require a more systematic
approach and further development both at the conceptual and empirical
levels. Partial, because we will only analyze some of the aspects of the
complex international experience, with a particular emphasis on those
of economic nature, and because a single point of view has been chosen
among the possible variety that can be used to approach the subject. Our
interest at any rate is to contribute to the budding national debate about
the future of Argentina in the international system, a debate that must
lead to the selection of alternatives for what has been accurately designated
as the country's insertion in the world.
Formal and Real Participation
In simple terms, we can say that to "participate" means to
"form part of something". From the moment that any political
community is recognized as a state, it is considered as part of the system
of nations by the rest of the states. Thus it begins to take part in the
life of the system and, as a consequence of the international recognition,
gains the right to perform certain actions at the international level
and the obligation to comply with the rules and practices established
by the community of nations. This formal participation becomes manifest
in international events through a series of acts based on the doctrine
of legal equality of states. This principle is the result of a juridical
view of the international community, which considers that all states have
an equal standing and thus have the same essential rights and obligations.
Historically, its origins and implementation can be clearly explained.
In present-day international affairs, the doctrine of legal equality of
states has certain real validity in the application of the diplomatic
protocol, the exchange of ambassadors and other government representatives,
most certainly in the formal structure of international law and, what
is most important, in the constitution of certain international mechanisms
and its decision making processes. The United Nations (with the relative
exception of the Security Council) and, within our hemisphere, the Organization
of American States are two of the most typical examples of international
mechanisms that are ruled in their composition and decision-making processes
by the doctrine of legal equality of states. Both organizations guarantee
its member countries the possibility of a formal involvement in international
affairs and in this sense, we can refer to them as formal mechanisms of
international participation. Thus, some indicators of the level of formal
participation of a country are, the number of ambassadors it appoints
or receives, of international organizations it forms part of, of international
conferences it participates in or that are held within its territory,
etc.
The previous considerations refer undoubtedly to a formal and, up to
a certain degree, static view of international participation. As per this
view, to participate is simply to be present in international forums.
From this is does not necessarily follow that the international system
receives an actual influence from the participating country. Therefore,
our intention is to delve further into the international reality. For
this purpose, we consider it necessary to view participation as the possibility
of influencing the evolution of certain events. To participate would be
not just to form part of something -a requisite that would indeed be necessary-
but to be able to influence outcomes in a more or less direct manner or
that events can be made to unfold in a certain way. To participate means
to leave an imprint on the life of a society. From this perspective a
state not only participates in the international life just by forming
part of it but also in the measure that it can manage to exert its influence
and shape international affairs in accordance with its own values and
interests.
In order to work on the rationale of this concept it is necessary to
examine realistically how this international society is structured. Even
when the doctrine of legal equality can be explained from the regulatory
standpoint of international law it is not a useful concept to understand
reality. Facts show that the international society is not composed by
equal states but by political communities with varying degrees of power.
The system of nations is a stratified and decentralized one. Stratified,
because there is a hierarchy of nations established according to their
size, power, economic and technical capacity and military strength. Decentralized,
because unlike what happens in a domestic political system there is no
single holder of force that monopolizes the use of physical coercion,
but several centers of power of different magnitude. More than a complete
decentralization there is an oligarchic concentration of power by the
few states positioned at the highest level of the stratified system. The
United States, the Soviet Union and to a lesser degree China, France and
the United Kingdom currently concentrate the nuclear and conventional
power, and the group of most industrialized nations concentrate the economic
power and the capacity for technological innovation.
Due to their own gravitation and the relative weight of their military
strength and economic power, these nations have the ability to alter considerably
with their decisions the course of international events. It is evident
that the nations that form the "nuclear club" ,and within it
the United States and Russia, are the ones that could make the final decision
to trigger or to prevent a nuclear conflict since they are the only countries
that have the necessary means to execute certain military actions. The
same is true with most part of the transactions that characterize the
external relations of nations such as the exchange of goods, services,
capitals, technology, etc. According to data from 1963 in terms of international
trade only ten countries (United States., Canada, Great Britain, Japan
and those of the European Community) represented above 53% of the world's
total trade of goods. This percentage rises considerably in the case of
the trade of manufactures. It is equally telling in the case of the flow
of capitals and of technology transfer, or of international maritime and
air- transportation. These are just a few of the most relevant indicators
of real international participation that would be necessary to consider
for an assessment of the international reality. Given the growing importance
of the multinational companies in the field of industry and their impact
on contemporary international relations, we believe that one indicator
of the real international participation is the fact that most of those
companies with multinational presence are based in a few industrialized
countries (particularly the United States, Great Britain, France, Germany,
Japan, Italy, Netherlands and Switzerland).
At the heart of the formal mechanisms of participation, but generally
on their sideline, the most powerful nations in the world have devised
a series of concrete mechanisms for participation through which they take
the decisions related to the peace and well-being of the international
community and the distribution of power within it. These may be formally
organized mechanisms but in general they are extremely informal; they
are official but in many cases also private and the concerned parties
of specific areas of the economic activity are directly represented through
them (such as for example the Freight Conferences). Their main aim is
to draw out the most important international decisions from within the
formal mechanisms of participation. On the other hand, by reflecting the
real distribution of world power, decisions that have a concrete effect
on the functioning of the international system may be adopted through
these mechanisms. Their relevance lies in the fact that the essential
rules of the international life are adopted through them and, in practice,
all the nations in the world abide by them (or at least those nations
that are under the sphere of influence of those making the decisions).
An interesting example in this sense are the great international monetary
decisions that are adopted by the Group of Ten, formed by the most important
nations of the Western monetary system. In the field of international
trade, the great joint decisions are adopted by the GATT and within it
by the countries with the highest manufacture trade in the Kennedy Round,
or in certain markets of primary products. It is useful to compare these
real mechanisms with the formal mechanisms of participation established
by the UNCTAD. Another example, the preservation of world peace, is only
formally acknowledged to be the task of the United Nations since in reality
it depends on decisions adopted at a national level by the great military
powers or through informal mechanisms of understanding between them.
Most certainly, these observations are not meant to take away from the
importance of the formal participation mechanisms based on the legal equality
of states. It would be difficult to conceive the functioning of the international
system without their existence and their role in the economic and political
cooperation of nations is indisputable. However, it would be a mistake
to continue thinking that it is through these formal mechanisms that states
adopt most of the decisions that actually affect the course of international
events.
Assumptions of Real Participation
In our previous considerations, we differentiated two types of participation
in the international system: the formal and the real one. In the current
partially organized international community both types of participation
are reflected by formal and real mechanisms of participation. In our opinion,
the problem that must be faced by a nation that occupies a middle position
in the stratified international system (such as some Latin American countries
and Argentina among them) is that if it wishes to increase its real international
participation it needs to find the appropriate means to access the real
participation mechanisms and thus influence the decisions that affect
its external affairs.
In every analysis of the external policy of a nation whose aim is to
increase its degree of real participation in the international system,
it is convenient to begin with an accurate assessment of its relative
situation within the context of nations. A frequent mistake in these cases
is to overestimate the country's situation, oftentimes due to the ignorance
of the realities of the external world. This has led certain nationalisms
to the creation of policies that with time have shown great weaknesses
in their fundamentals. On the other hand, it is also a common mistake
to underestimate the real situation of a country and as a consequence,
to miss opportunities that may emerge in the international context.
The relative situation of a country in the world may be assessed through
some indicators of the real international participation which we have
already mentioned: the volume of the Gross Domestic Product and in particular
of the industrial product in relation to the world product; the share
in international trade; the flow of capitals; technology access; maritime
and air transportation services, among others. Additionally we may distinguish
indicators of the ideological and cultural participation of a country
in the world. It should be noted that, in the definition of the real economic
situation of a country in the international context, it becomes increasingly
important to consider what percentage of its foreign trade is the result
of an in-house exchange within multinational companies based in other
countries, what percentage of its industrial product is produced by branches
of these multinationals, and what percentage of this same industrial product
is made with technology provided from abroad. Such data is relevant to
determine the level of independent decision-making that a country has
in relation to the external trade of manufactures and technological innovation.
Certainly, the relative situation of a country can vary whether it is
considered in regards to the whole world or just a determined region.
It is a known fact that the relative situation of Argentina, Brazil and
Mexico varies whether it is considered with regards to the industrialized
nations or with regards to the Latin American region. Likewise, it would
be necessary to define the relative situation of a country in terms of
its international trade in a global perspective and considering each one
of the main products of its economy separately. Even when Argentina has
a low participation in the total of international trade, its participation
is high in some products such as meats, grains and wools. The same is
true for most countries. Even though Argentina has a very low participation
in the world trade of manufactures, its share of the same type of trade
within ALALC is high.
Once the relative situation of a country within the international context
either at a global scale or within an international system in particular
has been defined, to achieve the desired objective of gaining a greater
real international participation demands the fulfillment of at least three
requisites. First is the existence of a national purpose to increase the
actual participation of the country in the international system. A simple
desire for "greatness" is not enough, it is also necessary to
dedicate human and material resources for such purpose. Ultimately, it
consists of having the will to project by all means available a set of
values and a lifestyle that have been tried and accepted at a national
level onto the international society, be it global or regional, either
because there is a belief that the nation has a special mission in history
or because it benefits the interests of its current and future inhabitants.
In second place, it demands an internal task, which consists of using
or obtaining the necessary resources to increase the military power and
the economic and technological capacity of the country. Every country
has a natural limitation in relation to the possibilities of owning or
obtaining such resources, so its external policy should be planned accordingly.
In third place, it demands a true knowledge of the rules of play that
affect the international affairs of the country as well as of the decision
centers where these are generated, because any external action should
be focused in both these aspects.
The Rules of Play of the International System
We would like to focus on this last idea about the rules of play that
affect the international life of a country and center our analysis in
it.
Let us first define what constitutes the external life of a nation.
Basically, it consists of insuring its survival as such, that is, to prevent
it from being submitted by force to the will of another country. This
implies the development of a defensive action and, eventually, of an aggressive
one and therefore of the creation of a security policy. Above the ideals
of a world ruled by justice, equality and solidarity, reality shows that
for the moment being, and possibly for a long time, the law in the international
system is imposed by the strongest and such strength is demonstrated ultimately
by the military capacity of a country. This is the reason why a country
needs to develop its own military power or to obtain through alliances
with other countries the level of military deterrence that is required
for survival. However, it is necessary to consider that if military strength
is the greatest indicator of the power of a country, it is however dependent
on the economic capacity and increasingly of the technological capacity.
In this instance, the known relation between security and development
is raised.
It is in terms of its economic development and therefore of its well
being that a country establishes relations with others through different
kinds of transactions that affect multiple aspects of its life. Which
are these transactions? Basically the exchange of goods, services, capitals,
technology, ideas and people. The actors that take part in them are the
citizens of a country, its businesses and its government. If we analyze
how the exchanges between countries take place we will realize that they
are subject to a series of formal or informal rules of official or private
origin. Many of these rules have their origin in the national government
due to its sovereign faculty for ruling the external relations of a country.
For example in relation to foreign trade, some of these are the customs
fees, the legislation and administrative practices, the exchange regulations,
etc. At the same time, most of the transactions are subject to rules of
play of international origin as well. There are formal and informal rules
that govern international trade, at least among capitalist countries.
Examples of these are the most favored nation clause, cornerstone of the
GATT; the rules imposed at a regional level by the EEC, the EFTA or the
LAFTA; those that originate in private organizations -for example the
International Chamber Commerce- and the less formal but still effective
ones derived from direct competition, which are more or less regulated
and require certain conditions regarding the quality and price of products
to be able to sell them in other nations.
Generally these international rules are originated within the mechanisms
of real participation and are imposed by those with "more say in
the game", for example those countries with the highest participation
in trade. The great powers, that is those nations that contribute the
most exchanges of goods, services, capitals, technology and people in
the world or in a particular international system are ultimately the ones
who determine under which conditions these exchanges take place. For this
purpose, they create mechanisms that are not based on the doctrine of
legal equality but on the real distribution of power.
Thus, we arrive to the essence of the issue of the real international
participation of a country. This would consist of acquiring the necessary
capacity to influence the international rules that condition the transactions
of its government and citizens with those of other countries so that they
benefit their interests as much as possible. It could be said that the
action of a government whose objective is to increase the real international
participation of its country consists of obtaining, for itself and for
its citizens, the best conditions possible in the international transactions
they take part in by being able to conform the rules to its own values
and interests and thus maximize the benefits.
Let us go back to the case of a country situated in a middle position
within the stratified international system (such as the cases of Argentina,
Brazil and Mexico among the Latin American countries) whose goal is to
increase its real participation in the global or in a particular international
system and let us examine which would be the logical stages in the process
of conceiving a foreign policy. Let us assume that the relative situation
of this country within the system has been accurately defined and that
for several reasons there is a national predisposition in favor of the
desired objective. For the purpose of this analysis let us imagine the
creation of a foreign policy in regards to a determined sector of the
international affairs of the country (for example foreign trade of manufactures)
without denying the fact that it would be impossible not to coordinate
all the external policies of the country together. This limitation in
our analysis is proof of its partial and preliminary nature.
There are five stages that we can differentiate in the process of the
creation of an external policy of a country regarding a specific sector.
These are the following: a) to make a diagnostic that would consist of
determining which are the current rules of play within the area of interest
(the world, the Western system, Latin America, etc); b) to make an assessment
of reality that would consist of determining if the present rules favor
the country's interests or not; c) to imagine the picture of a desirable
and possible reality, that is, which would be the rules that would be
needed to improve the situation of the country in future transactions
(for example if it would be convenient to have non reciprocal and limited
preferential zones to facilitate the access of manufactured products to
certain industrialized markets; d) to determine what would be the necessary
means to affect or change the current rules or to procure completely new
ones; and e) to verify the possibility of obtaining such means, if unavailable,
and what would be their cost (for example, to join other country with
similar interests and capacity for the production of certain kinds of
goods with the objective of improving the negotiation power within a determined
international mechanism such as the GATT).
No doubt, the execution of an external policy for a particular sector
devised in the manner indicated above raises the issue of the political
and administrative stability of a country so as to guarantee the continuity
in time. Such continuity could be achieved as well with the involvement
of the concerned internal sectors in the process of the creation of the
corresponding policy.
The involvement of the internal sectors that are affected by a determined
external policy (the case of industrial sectors if dealing with the manufacture
trade) in the creation of such policy leads us to highlight another aspect
of the international reality. In fact, who are the players in the real
international participation of a country? We mentioned before that these
were the government, the citizens in general and the businesses. This
statement is valid in principle for pluralist national political systems.
On the contrary, it would not be valid in the case of an internal state
monopoly of productive activity as for example happens in socialist systems.
In this case, the main and almost sole player in international participation
is the government. The same would apply for all countries in relation
to certain aspects of their external affairs where government monopolizes
international action. This would be the case of military relations where
the national government clearly has the internal monopoly of force in
every society. As was previously mentioned, in general, government keeps
for itself the faculty to regulate the external relations of a country,
even in the case where the actors are private citizens. In every case,
the government takes on the formal representation of the country before
other countries through diplomatic mechanisms.
In a pluralistic society, the external action of the government has its
real reason in the support that it provides to the main actors of the
transactions, especially those of economic kind, in which the country
participates. This situation is increasingly more evident in highly industrialized
societies, with a growing trend for large corporations to be geographically
diversified and act simultaneously in the markets of several countries.
This is a trend that is starting to be perceived in Latin America, even
in those companies of local capitals. That leads us to believe that in
the next decade there will be even more need for the external action of
the governments of some Latin American countries to offer a strong support
to its citizens and businesses as important players in international participation.
If a considerable percentage of these companies acting from within a country
towards the exterior were at the same time part of multinational corporations,
with the real decision centers located abroad, the task of defining an
external national policy would, no doubt, become highly compromised.
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