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Hard TargetSanctions, Inducements, and the Case of North Korea$
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Stephan Haggard and Marcus Noland

Print publication date: 2017

Print ISBN-13: 9781503600362

Published to Stanford Scholarship Online: September 2017

DOI: 10.11126/stanford/9781503600362.001.0001

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North Korea’s External Economic Relations, 1990–2016

North Korea’s External Economic Relations, 1990–2016

(p.59) 3 North Korea’s External Economic Relations, 1990–2016
Hard Target

Stephan Haggard

Marcus Noland

Stanford University Press

This chapter considers a variety of indicators on the nature of North Korea’s external economic relations, including its direction and composition of trade. These data suggest why coordination problems around sanctions and engagement have proven so difficult, as China has come to account for an increasing share of North Korea’s trade. The chapter provides a balance-of-payments accounting of the country and demonstrates how the regime has been able to adjust to sanctions through illicit activities and securing external forces of foreign exchange, including capital inflows, despite its ambivalent posture toward foreign investors.

Keywords:   North Korea trade, North Korea investment, illicit activities, sanctions

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