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Military and Economy


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Title: Military and Economy

Military and Economy
  • Lsn 13

Military Instrument of Power
  • The military instrument of power must have the
    capability to conduct sustained peacetime
    engagement activities as well as respond to two
    general types of crises (those with significant
    escalation potential and those without)
  • Peacetime engagement activities lay the
    groundwork necessary to ensure crisis operations
    are not conducted off-the-cuff

Carl von Clausewitz
  • Prussian officer born in 1780
  • Resigned his commission in 1812 and joined the
    Russian Army to fight Napoleon
  • Ideas on war were heavily influenced by the mass
    popular warfare of the French Revolutionary
    period and Napoleons Prussian adversary Gerhard
    von Scharnhorst
  • Died in 1831 and his wife published his On War in

Carl von Clausewitz
  • War is neither an art nor a science
  • It is a continuation of policy (or politics)
    by other means.
  • A form of social intercourse
  • War is like a wrestling match
  • It is an act of force to compel our enemy to do
    our will.
  • But it is not unilateral. It is a contest
    between two independent wills.

Carl von Clausewitz
  • Used a trinitarian analysis consisting of (1)
    primordial violence, hatred, and enmity (2) the
    play of chance and probability and (3) wars
    element of subordination to rational policy
  • Often loosely expressed as the people, the
    military, and the government
  • Analyzed absolute war or war in theory, but
    then noted that factors such as poor
    intelligence, chance, friction, etc make war in
    practice different than war in the abstract (the
    fog of war)
  • Argued one should focus his military efforts
    against the enemys center of gravity
  • Very important concept in modern American
    military doctrine

Albert Thayer Mahan
  • US naval officer who lived from 1840 to 1914
  • Wrote The Influence of Sea Power Upon History,
    1660-1783 and The Influence of Sea Power upon the
    French Revolution and Empire, 1793-1812
  • Considered sea power to include the overlapping
    concepts of command of the sea through naval
    superiority and that combination of maritime
    commerce, overseas possessions, and privileged
    access to foreign markets that produces national
    wealth and greatness

Albert Thayer Mahan
  • Advocated
  • that overbearing power on the sea which drives
    the enemys flag from it, or allows it to appear
    only as a fugitive
  • (1) Production (2) Shipping (3) Colonies and
    Markets in a word, sea power
  • Thought the Navy should be used offensively and
    that its principle object should be destruction
    of the enemys fleet
  • Destroying the enemys battle fleet would in turn
    cause his merchant fleet to find the sea

Albert Thayer Mahan
  • Saw the Navys economic strangulation of France
    by blockade as the key to Britains defeat of
  • It was not by attempting great military
    operations on land, but by controlling the sea,
    and through the sea the world outside Europe,
    that the British ensured the triumph of their
  • Critics argue that Mahan confused a necessary or
    important cause with the sufficient cause
  • The British Navy was important, but the Army and
    diplomacy also played key roles

Albert Thayer Mahan
  • Increasingly became an imperialist in order to
    gain control of the resources the US needed to
    best use its naval power
  • Considered the navy to be a better instrument of
    national policy than the army
  • This was especially true for the United States
    which had neither the tradition nor the design
    to act aggressively beyond the seas, but at the
    same time had very important transmarine
    interests which need protection

Giulio Douhet
  • Italian air power theorist who lived from 1869 to
  • Saw air power as a way for Italy to overcome its
    inherent weaknesses in manpower and natural
  • But to become the dominant weapon it could be,
    aircraft had to be freed from the control of
    ground commanders who did not understand the new
  • Advocated the creation of a separate air arm to
    be commanded by airmen

Giulio Douhet
  • Saw airpower as being able to crush the enemys
    will to fight by destroying or neutralizing a
    countrys vital centers those elements of
    society, government, and industry essential to
    the functioning of the state
  • It could do so without the need for the bloody
    commitment of ground forces that had made World
    War I so costly

Giulio Douhet
  • Douhet recognized the importance of targeting
  • Aircraft could strike virtually anything but in
    order to be most forceful they should not attempt
    to strike everything
  • Instead, focus on the five basic target systems
    that Douhet considered the vital centers of a
    modern country
  • Industry, transportation infrastructure,
    communication nodes, and the will of the people
  • The will of the people was the most important
  • Douhet did not advocate aircraft attacking or
    supporting ground forces airpower was to be used
    strategically, not tactically

  • Safeguards maritime commerce
  • Shows the flag
  • Enables land power

Air Force
  • Maximizes technology
  • Gratification without commitment
  • Sends a message, but seldom can be decisive

  • Can achieve decisive results
  • Provides boots on the ground
  • Represents maximum commitment
  • Very costly (casualties, time, logistics, etc)

Traditional Military Strategies
  • Attrition
  • The reduction of the effectiveness of a force
    caused by loss of personnel and materiel
  • Exhaustion
  • The gradual erosion of a nations will or means
    to resist
  • Annihilation
  • Seeks the immediate destruction of the combat
    power of the enemys armed forces

Case Study
  • The Korean War

Divided Korea
  • After World War II, Japans former colony of
    Korea was divided into two occupation zones along
    the 38th parallel with the Soviet zone in the
    north and the US zone in the south
  • Before the occupation forces departed, an
    anticommunist regime was established in the south
    and a communist one in the north

US in Asia
  • The US was uncertain as to the extent of its
    commitment in Asia
  • It knew its umbrella definitely covered Japan,
    Okinawa, and the Philippines, but it was unclear
    about Taiwan, South Korea, and Southeast Asia
  • Believing the US did not intend to protect South
    Korea, the USSR allowed the North Koreans to
    invade the south in 1950

Secretary of State Dean Achesons speech to the
National Press Club omitted South Korea from the
US defensive perimeter
North Korea Attacks June 25, 1950
  • North Korean army crossed the 38th parallel with
    an invasion force totaling over 90,000 troops and
    150 Soviet-built tanks
  • By the night of June 28, Seoul had fallen and the
    South Korean forces were in disarray
  • South Korea appealed to the United Nations for
  • The UN passed a resolution recommending that the
    members of the United Nations furnish such
    assistance to the Republic of Korea as may be
    necessary to repel the armed attack and to
    restore international peace and security to the

United Nations
  • As a member of the UN Security Council, the
    Soviet Union could have vetoed UN involvement in
    the war, but instead Moscow was boycotting the
    Security Council at the time in protest of the
    UNs failure to seat a representative of the
    newly established Peoples Republic of China
  • In the absence of the USSR, the UN passed a
    resolution sending a military force to South
  • The force was predominately American with Douglas
    MacArthur as the Supreme Commander
  • There were also substantial contributions from
    the UK, Canada and other Commonwealth countries.

Force Comparison
  • U.S. Armed Forces in 1950
  • 10 Army divisions (4 in Japan)
  • 48 USAF air groups
  • 331 combatants (64 in Pacific)
  • 2 Marine divisions (-)
  • North Korean Peoples Army (NKPA)
  • 14 Divisions (9 in invasion force)
  • Soviet trained, armed and advised
  • 150 tanks, almost 100 modern aircraft

Task Force Smith
  • To stem the North Korea advance, the US deployed
    Task Force Smith, a delaying force of two
    reinforced rifle companies to Pusan
  • MacArthur thought this arrogant display of
    strength would cause the North Koreans to take
    pause and slow their aggression

Elements of Task Force Smith arriving at Taejon
Task Force Smith
  • Task Force Smith began occupying defensive
    positions on July 5 at 300 am
  • At 700 they began seeing enemy movement
  • At 816 they began firing artillery
  • At 230 the commander decided to withdraw
  • When LTC Smith arrived at Chonan on July 6, he
    counted 185 men
  • He began with 540
  • After all stragglers returned, the total loss to
    TF Smith was 35

Implications of Task Force Smith
  • Task Force Smith has become the poster child for
    the cost of military unpreparedness
  • No more Task Force Smiths
  • GEN Gordon Sullivan, Army Chief of Staff,
    1991-1995 (administered the post Desert Storm
    Army downsizing)

Hollow Army
  • World War II peak Army strength was 8,268,000
  • 89 combat divisions in June 1945
  • June 1950 strength was about 591,000 (1/14 the
    peak World War II size)
  • 10 active combat divisions
  • But to keep them fielded, one battalion from
    each infantry regiment and one firing battery
    from each field artillery battalion had been
  • This move effectively reduced combat power by

Far East Command (FEC)
  • 108,500 troops under MacArthur
  • 4 infantry divisions in Japan (7th, 24th, 25th
    and 1st Cavalry)
  • Authorized peacetime divisions strength was
    12,500 (13,500 for the 25th )
  • Authorized wartime strength was 18,900
  • 3 of the 4 divisions in Japan had about 11,000
  • In addition to the missing infantry and
    artillery battalions each
  • Lacked three anti aircraft artillery batteries
  • Lacked the regimental tank companies
  • Had only a company of M24 Chaffee light tanks in
    place of the divisional tank battalion
  • Estimated the divisions could field 62 of
    normal infantry firepower, 69 of normal
    anti-aircraft capability, and 14 of armored

Equipment in FEC
  • Mostly outdated World War II equipment and much
    of it was unserviceable
  • Of 18,000 jeeps only 8,000 were serviceable
  • Of 13,780 2 1/2 ton trucks, only 4,441 were
  • Had none of the new 3.5 inch antitank rocker
  • Only the 2.36 inch Bazooka which had proved
    inadequate in 1944 1945
  • Hydraulic fluid for recoil mechanisms in the M24
    tanks had been on backorder for two years, so
    most of their 75 mm guns had never been fired
  • Some men were wearing tennis shoes because of a
    lack of boots
  • ¼ of the small arms were defective

Training Problems
  • Occupation duties took precedence over training
  • No unit training above the company level had
    taken place in Eighth Army before April 1949
  • Limited maneuver area and an annual personnel
    turnover rate of 43 impeded training
  • The four divisions were rated as 65 to 84
    combat ready
  • Some senior officers felt that 40 was more

US troops parade across the Yoshida Bridge
Pusan PerimeterJune 27 to Sept 15
  • The American forces were unprepared for the North
    Korean attack
  • By the end of July, the North Koreans had pushed
    the UN forces to the southeast corner of the
    peninsula, where they dug in around the port of

Korean War Case Study
  • What role did diplomatic communications play in
    the North Korean decision to attack?
  • How was risk not properly considered in the
    configuring of the post World War II US Army?
  • How did the American application of its military
    power in Korea fail in its peacetime engagement
  • How did it fail in its response to a crisis?

Instruments of Power
  • Economic

Economic Instrument of Power
  • Nations pursue the economic instrument of power
    to obtain broadly conceived welfare goals
    including security, prestige, autonomy, and
    access to markets and sources of supply all
    designed to enhance domestic economic growth
  • Economic power is influenced by a nations
    people, technology, financial resources, and raw

Economic Instrument of Power
  • People
  • Acquisition, preparation, production, management,
    and innovation all depend on human resources
  • A motivated and dedicated population can create
    many conditions of economic greatness despite the
    lack of raw materials
  • Japan is a good example

Post World War II Japan
  • Japans large and mostly compliant work force
    fueled an economy based on manufactured goods
    slated for export to markets with higher labor
    costs like the US
  • In the 1960s the Japanese used their profits to
    switch to more capital-intensive manufacturing
    but Made in Japan usually was associated with a
    cheap product

Economic Instrument of Power
  • Technology
  • People alone cannot manufacture products or
    provide services
  • Technology is required to enable an economy to
    alter, modify, build, or turn materials into
    products faster, better, and cheaper than before
  • Technology involves the application of science
    towards solving a particular objective or to
    produce selected products

Post World War II Japan
  • In the 1970s, Japan took advantage of a highly
    trained and educated work force to shift their
    economy toward technologically-intensive products
    and Made in Japan came to represent state of
    the art technology

Sony turntable
Economic Instrument of Power
  • Financial Resources
  • Required for a nation to expand its economic
  • Allow nations to invest in new plants and
    equipments, conduct research, purchase raw
    materials, hire and educate labor, and provide
    resources in an emergency
  • Financial resources can be acquired by savings
    and/or increased trade

Post World War II Japan
  • During the 1980s Japan used its strong economy to
    greatly expand its investments abroad, especially
    in the US
  • One survey reported that in 1970 there were only
    12 US manufacturing companies in which Japanese
    firms held more than 50 of the stock
  • By 1985, there were nearly 400 such companies,
    plus more than 500 Japanese-owned plants.

Japanese direct investment flows 198090 (
Economic Instrument of Power
  • Raw Materials
  • Include minerals, metals, and energy sources
  • Growing economies often outstrip domestic supplies

Petroleum refinery in Saudi Arabia
Post World War II Japan
  • Japan lacks abundant internal raw resources
  • In 2008 it held a trade fair aimed at boosting
    investment in Africa, in part to compete with
    China for a share of Africas oil resources

Economic Instrument of Power
  • Economic Tools
  • Improve domestic capability to out-compete
    potential foes
  • Large part of President Reagans strategy to
    defeat the USSR during the 1980s
  • Provide instant, direct assistance to a country
    in need
  • The Marshall Plan helped Europe recover after
    World War II
  • Debt forgiveness
  • In 1991 the US fully forgave Egypts military
    debt in recognition of Egypts role in forging
    the Desert Storm coalition
  • Sanctions
  • Throughout the 1980s the US imposed sanctions on
    Libya for being a state sponsor of terrorism

Case Study
  • Marshall Plan

Marshall Plan
  • The economic devastation suffered by Europe in
    World War II made many European countries
    vulnerable to the spread of communism
  • On June 5, 1947, Secretary of State George
    Marshall called on the Europeans themselves to
    draw up a plan for European recovery, which the
    US would then financially support.
  • In four years, the US would contribute 13

Dresden, 1944
Berlin, 1945
(No Transcript)
Results of the Marshall Plan
Hamburg's Moenckebergstrasse in the business
district at the end of the war (left) and in 1950
Results of the Marshall Plan
Results of the Marshall Plan
  • By 1951 Marshall Plan countries had raised their
    industrial output 40 over 1938.
  • Dramatic economic recovery both reduced the
    threat of the spread of communism to western
    Europe and set that region on the road to
    independence in world affairs.
  • Offer extended to eastern bloc countries but USSR
    ensured there are no takers.
  • Marshall awarded Nobel Peace Prize in 1953.

Case Study
  • The Continental System

Napoleonic Wars Trafalgar
  • In the Napoleonic era, the British navy dominated
    the sea while the French army dominated the
    European continent
  • Napoleon hoped to draw the British fleet away
    from the English Channel where it blocked a
    French invasion

  • British Admiral Horatio Nelson and French Admiral
    Pierre de Villeneuve met off Cape Trafalgar on
    the southern tip of the Spanish coast on Oct 20,
  • The British gained one of the most decisive
    victories in naval history
  • The British took or destroyed 18 of the enemys
    34 ships of the line while losing none of their
  • Trafalgar gave the British undisputed control of
    the seas and the French were confined to the land
    and made vulnerable to strikes from the coast

Continental System
  • With Britain safe from attack, Napoleon turned
    more energetically to economic warfare
  • In Nov 1806, he established the Continental
    System which sought to blockade the British Isles
    and close the ports of France and its satellites
    to ships coming from Britain or its colonies
  • The idea was to ruin Britains trade-based
    economy by eliminating its chief market
  • By the fall of 1807, all the nations of
    continental Europe except Portugal and Sweden had
    joined the Continental System

Continental System
  • Enforcing the Continental System proved difficult
  • Europeans had become reliant on cheap British
  • The British worked around the system through
    smuggling and bribery
  • The system hurt the French too

Peninsular War
  • Napoleons efforts to enforce the Continental
    System eventually led him into battle on the
    Iberian Peninsula
  • Napoleon arranged with the king of Spain to
    attack Portugal through Spain
  • Although Napoleon occupied Portugal easily he
    ultimately became embroiled in a guerrilla war in
    Spain and Portugal that greatly weakened his

Case Study
  • Yom Kippur War and the 1973 Oil Embargo

The Yom Kippur War (1973)
  • Egypt attacked Israel along the entire front of
    the Suez Canal on Saturday, Oct 6, both the
    Jewish Sabbath as well as the holy Day of
    Atonement (Yom Kippur)
  • Syria simultaneously attacked in the Golan
  • The Egyptians were able to defeat Israeli armored
    attacks with Sagger antitank missiles provided by

Israeli tank driving by wounded soldiers
The Yom Kippur War (1973)
  • President Nixon promised, We will not let Israel
    go down the tubes.
  • On October 13 he ordered a massive airlift of
    military material to Israel
  • Newly arrived US TOW antitank missiles helped
    Israel destroy 200 Egyptian tanks in a subsequent

The 1973 Oil Embargo
  • On October 20, Saudi Arabia began embargoing oil
    shipments to the US to punish the Americans for
    supporting Israel
  • By October 21 most of the Arab members of the
    Organization of Petroleum Exporting Countries
    (OPEC) had joined the embargo

Gas lines during the oil embargo
The 1973 Oil Embargo
  • The US was importing between 10 and 15 of its
    oil from the Middle East
  • The US was plunged into an energy crisis and gas
    prices soared
  • The embargo was finally lifted in March 1974 but
    prices remained high
  • Americas vulnerability to foreign oil had been
  • The Yom Kippur War and the ensuing oil embargo
    showed the political and economic power of OPEC

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