Gonzaga Debate Institute 2010

China-US Relations Turn Other Relations

Cracks US-China relations spill over to other areas of cooperation
Gladkyy 3 [Oleksandr SMS International Affairs Fellow, June 23, World Affairs, http://www.findarticles.com/p/articles/mi_m2393/is_1_166/ai_106560179 ]

In the previous sections, which were mainly based on government documents, I discussed newly changed official U.S. policies toward Russia and China and the resulting change in U.S.- Russia and U.S.-China relations. Although the documents have demonstrated beneficial changes in the official policies of the states toward one another after 11 September, they do not reflect the whole situation. In reality, it is still too early to state that U.S.-Russia and U.S.-China relations have become entirely cooperative and strategically stable and that the changes are long term. The actions of one nation, if they do not correspond with the interests and expectations of another country, become constraints on the foreign policy of the latter toward the former. Such restraints are obstacles to further improvement of U.S.-Russia and U.S.-China relations and prevent successful relations in one area from spilling over to another. Moreover, current barriers are dangerous because those issues have the most potential to become serious problems, preventing the further improvement of relations and even hindering already established cooperation.

China-Russia Relations Solves Terrorism

China-Russia relations solve terrorism

Menon and Motyl 7 [Rajan, Monroe J. Rathbone Professor of International Relations at Lehigh University Alexander J, American historian, American Interest, April, http://www.the-american-interest.com/article.cfm?piece=258]

Things are little better in Russia’s east. Moscow and Beijing are strategic partners for now, given their mutual antipathy for a U.S.-dominated unipolar world and anger at American harangues about human rights. But the partnership will wither if predictions of China’s becoming the next superpower prove accurate. Russia, which has a long border with China and fewer than seven million people in its vast and resource-rich Far Eastern region, will then have to live under China’s shadow, implicitly relying on America, Japan and India as counterweights. China has already become a pivotal power in Central Asia, where its cooperation with Russia is symbolized by the Shanghai Cooperation Organization. Although it is a Moscow-Beijing-led organization devoted to balancing the American presence and combating terrorism and radical Islam, it has effectively codified, institutionalized and legitimized China’s growing influence in a region historically dominated by Russia. Once the common interest in balancing the United States evaporates and China becomes a front-line power, Chinese clout in Central Asia could surpass Russia’s.

***RUSSIA***

Russian Instability Turns Asian Economy

Russian instability causes Asian economic collapse

Financial Post 98 [August 25, Lexis]

Russian instability triggered renewed selling on Asian markets yesterday, and the gloom deepened as Malaysia warned the turmoil gripping the region's economies could last longer than expected. Traders said the weekend dismissal by Russian President Boris Yeltsin of his government combined with weakness in other emerging markets to push Tokyo stocks below the psychologically important 15,000 level. The edginess drove Singapore and Taiwan to new depths, while Malaysia's benchmark share index reached a 10-year low. Hong Kong bucked the trend and staged a powerful rally, but brokers put the move down to more government intervention.

Russian Instability Turns Global Economy

Russian instability collapses global economy

Courier Mail 93 [March 24, Lexis]

Mr Russell said pessimistic views on the political situation in Russia contributed to the downturn. Russian President Boris Yeltsin continued his push to rule by presidential decree. The Russian instability had caused overseas markets to fall overnight, with London's FTSE-100 index down 36.2 points to 2863.9 and the Dow Jones index losing 8.1 to 3463.48. Mr Russell said the international uncertainty resulted in a stronger gold sector, as investors turned to ""safe" stocks in times of unrest.

Russian instability harms the global economy

Ferguson 98 [Rob, Fund Manager September 1, Toronto Star, Lexis]

Nor do dim economic prospects for Asia, which accounts for one-third of the world economy. And Russia's economic troubles could force the country to default on its debts and sell off commodities dirt cheap. It all comes at a bad time for Canadians, who have never had a greater stake in the markets. Mutual fund holdings alone have risen ten-fold in the past few years to $330 billion. Ordinary investors can't help but worry about the market decline that began in May and has shaved more than 31 per cent off the value of the benchmark TSE 300 index, which was proudly notching a series of all-time highs as recently as April. When the Bank of Canada raised its trend-setting interest rate one percentage point to 6 per cent in a bid to shore up the sagging loonie on Thursday, the TSE 300 lost 6 per cent, the fifth-largest one-day drop in the market's history. The decline was also fuelled by concerns about Russia. One mutual fund manager called last week's drastic stock sell-off the reverse of the "irrational exuberance" U.S. Federal Reserve Board Chairman Alan Greenspan used to describe the once-soaring stock market a year or so ago.

Russian Instability Turns Russian Economy

Russian instability deters investment which is key to the Russian economy
Kennedy 4 [Mark, Staff Writer, October 5, The Gazette, Lexis]

Prime Minister Paul Martin, during a meeting next week in Moscow with Russian President Vladimir Putin, will express Canada's concerns about the declining stability for foreign investment in that country. The complaint will come in the wake of a troubling incident Aug. 13: A Canadian company part owner of a luxury Moscow hotel - the 343-room Aerostar - was unceremoniously kicked out of the building over a legal dispute with its co-owner, a shadowy Russian firm many believe is a front for the Russian mob. A squad of 30 private security guards hired by the Russian co-owner, Aviacity, marched into the hotel and ordered the Canadian managers to leave within minutes, or in the words of one witness, "be carried out." About 150 guests in the hotel were given 48 hours to leave. The eviction was conducted after a local court ruling in the business dispute appeared to favour Aviacity, but the Canadians say their ouster was illegally carried out and Moscow's lead prosecutor has launched a criminal investigation. The bizarre incident prompted a letter of complaint from the Canadian embassy, and it has become a symbolic test case to measure whether the rough-and-tumble business environment in Russia - in which organized crime appears to be growing stronger - has become too unpredictable for foreign investors. On Friday, Martin departs on an eight-day foreign trip to St. Petersburg, Moscow, Paris and Budapest. During his Oct. 11-13 visit to Moscow, he will meet with Putin. Senior business people from the Halifax-based company that co-owns the Aerostar are counting on him to help achieve redress for how they say their hotel was illegally stolen from them. "This is a watershed," Kenneth Rowe, chief executive officer of IMP Group International said. "It's a litmus test as to whether we and possibly other foreign investors wish to take the risk of investing in Russia in future."