China and the Glob­al Eco­nomy

Course content

The course considers the responses of foreign firms and countries in the west, Africa and Asia to China’s rise.  In other words it offers an outsider perspective on China rather than an insider analysis. 

The classes will look at the ways in which governments, firms and and other actors have at times sought to cooperate with Beijing, counter Chinese influence, or attempt not to “take sides”. It will look at the impact of increased trade since China joined the World Trade Organization and the character of the “China shock” that followed, as well as responses by states across Asia, Europe, Africa and the Americas to projects such as the Belt & Road Initiative and the creation of the Asian Infrastructure Investment Bank. There will also be a case-study of recent developments around the semiconductor sector and the increasingly pronounced "chip war" between the US and China.

At the same time, the course will survey reactions to China’s military and strategic prowess and against this background assess the character of responses of established powers (as well as the European Union) through for example investment screening, the Free and Open Indo-Pacific and the creation of AUKUS. Within this context the classes will assess the consequences for firms and supply chains as well as the part played by business interests and other groupings in policymaking processes. 

Students will also consider and apply the different theoretical frameworks that are employed in International Relations (IR) and Foreign Policy Analysis (FPA). These include strategic-relational approaches and the "two-level game" as well as classic international relations theories (most notably realism and liberal internationalism). 

On this basis big questions are asked. Has protectionism become the "new normal"? Is there a process of economic “decoupling” between the west and China? Is the global economy breaking up into largely separate blocs? Is China becoming the new global "hegemon"? Has China's state capitalism proved superior to free market models? Are China and the US stuck in a “Thucydides trap” and perhaps heading towards all-out conflict?

Nordic Nine: In sum, the course places business knowledge about the relationship between China and other states within a broad context, explores the uncertainty about the implications of China’s rise, explores data, assesses the ambiguous and uncertain character of the responses made by many firms and governments, and promotes critical thinking.