The United States and the Two Koreas

A Joint Seminar by The Institute for North Korean Studies (INKS) of the University of Detroit Mercy and the Korea Economic Institute of America

12:30–17:00, March 23, 2005
Commerce & Finance Building, the University of Detroit Mercy, Detroit, Michigan

The Institute for North Korean Studies (Director Suk Kim) at  the University of Detroit Mercy  and the Korea Economic Institute of America (KEIA) in Washington D.C. sponsored a half day seminar entitled “The United States and Two Korea” on March 23, 2005 in Detroit. Six distinguished speakers provided an outstanding overview of the North Korea problem and United States – Korea relations at the seminar held at the University of Detroit Mercy (UDM) on March 23, 2005. During the seminar,  six distinguished speakers—three provided by UDM and three provided by KEI—presented a variety of information on these topics from both a political and an economic standpoint. Over 80 guests from the business community, the academic community, and the student population attended the seminar.

James J. Przystup, Senior Fellow and Research Professor at the National Defense University began the first panel of the seminar, “North Korea’s Defining Moment,” by reviewing the activities that led to the 1994 Agreed Framework, the Sunshine Policy, and today’s six-party framework. Mr. Przystup stated that North Korea’s nuclear strategy is not just a U.S.–North Korea bilateral issue, due to the fact that nuclear proliferation involving the peninsula is a threat to the whole world. Since the six-party talks are currently stalled, in order to move forward there will need to be concessions or pressures. The goals of all of the six parties are the same: no war, no collapse of the current North Korean regime, and a de-nuclearized peninsula. However, not all of the six parties prioritize these goals in the same manner. For instance, the threat of a collapse of the North Korean regime is greater for South Korea, as they know from their studies of the collapse of East Germany and German reunification. In contrast, China may be more prepared to live with a nuclear North Korea as long as the situation remains ambiguous, and for the U.S. the biggest priority is the removal of nuclear weapons from the Korean peninsula.

Mr. Przystup stated that he does not see any concessions coming from the Bush administration, since they appear to believe that concessions would legitimatize the North Korean regime. He also does not believe that North Korea will use nuclear weapons, because it is against their best interests to do so. Mr. Przystup went on to clarify that the world should not make the assumption that North Korea desires to join the international community. For the North Korean elite that make up the regime, isolation is the best guarantee of their continued prominence.

Next to speak was Scott Rembrandt, Director of Research and Academic Affairs of the KEI, who gave the South Korean perspective of the North Korean problem. He believes that the current process of having six-party talks is necessary and correct. From South Korean viewpoint, the U.S. needs to be more flexible in its stance. South Koreans see North Koreans as weak, in decline, and lacking the will and capacity to attack. Since they therefore see no direct threat from North Korea, and due to the fact that they have a cultural alliance bound by blood, they believe that more concessions are necessary than pressures. South Korea would recommend that the U.S. offers more concessions, and avoids any type of “roadmap” such as that in use for the Middle East. Koreans are less linear and would prefer a buffet of concessions.

Mr. Rembrandt went on to discuss the recent North Korean Human Rights Act. He sees this as a good-faith effort on the part of the Bush administration, meant to help North Korean refugees. However, this Act also masks the desire of the Bush administration to bring about regime change, and that desire will lead to reluctance on the part of North Korea to return to negotiations within the framework of the six-party talks.

Next, Dr. Thomas Park presented a slide presentation from the Christian Association for Medical Mission (CAMM), entitled “Faith-Based Private Humanitarian Relief to North Korea.” The mission of the CAMM, in operation since 1989, is compassion for the needy and the poor. For the past 16 years, CAMM has sent millions of dollars worth of medical supplies, medical equipment, food, clothing, and medications through World Medical Relief, an organization that, like CAMM, is based in Detroit. Dr. Park, President of CAMM and Clinical Professor at Wayne State University, provided some of the highlights of CAMM’s accomplishments. In 1995, CAMM founded the Third People’s Hospital in North Korea; the hospital was built by North Korean soldiers. Along with the multitudes of medical supplies (including tuberculosis medication) and equipment that have been sent to North Korea, CAMM has assisted in providing a new X-ray machine valued at $120,000. In 2001, CAMM, along with the Christian Ethics Movement, sent 50 goats to North Korea at a cost of $100 per goat—many of these Asian people are lactose intolerant and cannot tolerate cow’s milk. Further achievements of the CAMM are annual joint medical conferences held in Pyongyang every April, beginning in 1999. One of CAMM’s future goals is to sponsor North Korean doctors for training in the U.S.

After a break for refreshments and networking, the second panel took the stage. The title of the second panel was “Economic Relations between the United States and Korea.” G. Mustafa Mohatarem, Chief Economist for General Motors Corporation, led the way with his presentation on the current Asian economic strategy of export-led economic growth. As the great economist David Hume once said, “What will you do when you have collected all of the gold in the world?” So, then, what will Asia do when they have collected all of the U.S. dollars? The Asian process of collecting assets can only lead to over-expansion and a bubble that eventually bursts. Mr. Mohatarem believes that the U.S. should encourage Asian countries to decrease their savings and diversify from the U.S. dollar.

The next to speak was Ted Osius, Deputy Director of the Office of Korean Affairs at the U.S. State Department. Using a slide presentation, Mr. Osius recapped the history of U.S. relations since 1882 with the area that is now the Republic of Korea (ROK). The audience was reminded of the great U.S. troop presence in South Korea, and also that the ROK is the third largest contributor of troops to Iraq and Afghanistan. The South Korean economy is robust, there has been a significant exchange of cultural identifiers, and political and economic values are converging. Mr. Osius presented a chart depicting the levels of favorable and unfavorable views of the U.S. by South Koreans from 1988 to 2004, showing a high level of favorable views from 1996 to 2001. The favorable views fell below the unfavorable views in January 2003, rebounded in July 2003, but fell again in September 2004. Concerning the North Korea problem, from the ROK and the U.S. viewpoint, the door is open for North Korea to help its people, enhance their security, and raise their stature in the world. If North Korea is willing, their unsustainable policies can be left behind.

Next, Jonathan Lee, Professor of International Business at the University of Windsor, gave a slide presentation on the current state of the ROK economy. The word “miracle” has been applied to the South Korean economy, and indeed the economy has done very well. Dr. Lee believes that South Koreans want reunification, but recognize that a collapse of the North Korean regime would be disastrous: South Korea would have to provide virtually everything, at an estimated cost of $3,000 per taxpayer.

After each presentation, the audience was able to ask the speaker questions related to the talk and to various global issues. The many university professors and the Koreans in the audience led the way with pertinent questions. For the speakers, moderators, invited guests from the news media, and area business representatives, the seminar was preceded by a luncheon held in the UDM president’s dining hall. UDM President Gerard Stockhausen welcomed the seminar’s 40 luncheon guests, and Barbara Schirmer, UDM Vice President for Academic Affairs and Provost, delivered opening comments at the seminar. The moderator for the first panel was Bruce Brorby, Associate Dean of the College of Business Administration at UDM, and the moderator for the second panel was Professor Michael Whitty of UDM. Bahman Mirshab, Dean of the College of Business Administration at UDM, introduced each speaker.

Note: Stacey Banks of Clearly University wrote this report.
 
The United States and the Two Koreas
A Joint Seminar by The Institute for North Korean Studies (INKS) of the University of Detroit Mercy and the Korea Economic Institute of America
12:30–17:00, March 23, 2005

12:30–17:00, March 23, 2005
Commerce & Finance Building, the University of Detroit Mercy, Detroit, Michigan

• 12:30–13:45    
  
  • Luncheon for Speakers and News Media Representatives (invitation only)
    Welcoming Remarks for Luncheon Guests
    Gerard L. Stockhausen, S.J., President of UDM
• 14:00–14:15   
  
  • Opening and Welcoming Remarks
    Barbara Schirmer, Vice President for Academic Affairs and Provost of UDM
  • Introduction of Speakers
    Bahman Mirshab, Dean of the College of Business Administration at UDM
• 14:15–15:30   
  
  • Panel I: North Korea’s Defining Moment
    Moderator: Bruce Brorby, Associate Dean of the College of Business Administration at UDM
  • James J. Przystup, Professor of the National Defense University, “How to Deal with a Nuclear North Korea: A Policy of Containment”
  • Scott Rembrandt, Director of Research and Academic Affairs, The Korea Economic Institute of America, “How to Deal with a Nuclear North Korea: A Policy of Engagement”
  • Thomas Park, Assistant Clinical Professor at Wayne State University School of Medicine, “North Korean Famine and Humanitarian Relief Programs”
  • Questions and Answers
• 15:30–15:45    
  
  • Coffee Break
• 15:45–17:00   
  
  • Panel lI: Economic Relations between the United States and Korea
    Moderator: Michael Whitty, Professor at UDM
  • Mustafa Mohatran, Chief Economist of the General Motors Corporation, “Is North East Asia Living on Borrowed Growth?”
  • Ted Osius, Deputy Director of the Office of Korean Affairs at the U.S. State Department, “The Increasing Role of South Korea in Global Economic Affairs”
  • Jonathan C. Lee, Professor at the University of Windsor, “The Increasing Role of South Korea in Global Economic Affairs”
  • Questions and Answers