[Reporter’s Reading] War and Economy Did Not Wear the 'Face of Justice'

From BC to the Russian Invasion of the Crimea Peninsula... War Stories Started by Greed Chapter 35 Included
Economic Gain as Both Motive and Purpose of War... 'Chaco War' Started Because of Oil Fields, but No Oil Fields Were Found

[Asia Economy Reporter Park Byung-hee] Gian Giacomo Trivulzio (1440?1518) was a 15th-century Italian nobleman. The mercenary leader Trivulzio left behind the saying, "To wage war, three things are needed: money, money, and more money."

War and money, in other words economic interests, are products of human greed seeking dominance. Every day, we see in the news how one person tries to dominate another through force, or if force fails, through money. This is evident even in recent cases such as the apartment security guard who took extreme measures after suffering assault and threats from residents.

'Kwon Oh-sang's Warconomy' examines the closely intertwined relationship between war and economy. It covers various wars from ancient times up to Russia's invasion of Ukraine in 2014, divided into 35 chapters.

At a simple glance, it is a book that explores the causes and progress of the evils committed by humanity from an economic perspective. However, as one repeatedly reads the numerous war stories, what continually comes to mind is human greed and folly.

Gran Chaco is a border region between Bolivia and Paraguay. It consists of jungles and swamps, making it difficult for people to inhabit. Due to its lack of economic value, neither Bolivia nor Paraguay showed interest in this land.

However, in the late 1920s, an oil company released an analysis suggesting a high possibility of large oil deposits in northern Gran Chaco. Bolivia and Paraguay entered the Chaco War in September 1932 to claim Gran Chaco. The war lasted until June 1935. Forty thousand Paraguayan soldiers and sixty thousand Bolivian soldiers lost their lives. Ultimately, Paraguay won and took three-quarters of Gran Chaco. Yet, economically viable oil fields have not been discovered there to this day.

The wars mentioned in 'Kwon Oh-sang's Warconomy' are diverse. While well-known wars like the Peloponnesian War and the First and Second World Wars are included, there are many lesser-known wars like the Chaco War. This book is the author's fourth military-related work, demonstrating his extensive knowledge in the military field.

The author states that economic greed is a major motive for empires to wage war and that war and economy should be viewed as an interconnected whole. He also believes that imperialism, which dominated humanity in the early 20th century, still operates in the same way today.

Economic interests are both the motive and purpose of war, but as Trivulzio pointed out, the economy also functions as the foundation for waging war. The Bank of England (BOE), established in 1694, exemplifies this well. The BOE was created during the process of raising funds for England's war against France. The British government needed a bank that could reliably lend money for war expenses. In return for lending money to the government, the bank was granted powerful privileges such as exclusive rights to government loans and the authority to establish other banks.

Perhaps humanity has been repeatedly committing the evil of launching wars based on economic foundations and expanding economic scale to wage further wars.

Today, the economy is often associated with warlike terms. News about economic wars and trade disputes pours in daily.

The media constantly claims that the global economy is unstable. One might ask when the economy has ever been stable, as economic instability has become a chronic phenomenon. One reason for the current global economic instability is the hegemonic rivalry between the United States and China. Although the two powers have not pointed guns at each other, a prolonged war based on economic power continues.

In fact, economic warfare is an ancient evil of humanity. In 432 BCE, Athens ordered the member states of the Delian League to ban citizens of Megara from entering. Megara was a city-state located west of the Attica Peninsula, where Athens is situated. Athens, leading the Delian League, exerted economic pressure on Megara.

The effects of economic warfare are unclear. According to the Peterson Institute for International Economics (PIIE) in the United States, economic sanctions have historically achieved their explicit goals only 34% of the time. Robert Pape, a professor of international politics at the University of Chicago, reanalyzed PIIE's data and argued that among the 40 sanctions corresponding to that 34%, only 5 cases can be considered actual successes.

After Athens imposed sanctions, Megara sought help from Sparta, the leading power of the Peloponnesian League. The following year, in 431 BCE, the Second Peloponnesian War broke out between the Delian League and the Peloponnesian League. Athens fell in 404 BCE.

There is no doubt that war is a human mistake. Considering the terrifyingly similar nature of war and economy, humanity seems destined to repeatedly fall into economic errors. Just as wars never cease. Both war and economy are greedy and inhumane. If one were to judge by cruelty, the economy might even be worse.

In the aforementioned Chaco War, the American Standard Oil supported the Bolivian government, while the British and Dutch Royal Dutch Shell supported the Paraguayan government. They played the role of the 'invisible hand' of violence.

(Kwon Oh-sang's Warconomy / written by Kwon Oh-sang / Planet Media)