Hispanic and Latino Heritage Books for Kids and Teens

William Mckinley And The Civil War - 1270 Words

William McKinley was born on January 29, 1843 in Niles, Ohio. As being born and raised in the United States, he met two of the qualifications to run for President. Although education is not a requirement to run for president, McKinley went to school that was run by a Methodist seminary in his hometown of Ohio. After McKinley completed that, he went to Allegheny College in Meadville, Pennsylvania in 1860. William attended Allegheny for only one term because of his financial problems. When the civil war began, William McKinley proved himself to be a good soldier; he rose up the ranks from a private to a brevet major quickly. McKinley’s had military experience, which some Americans considered a crucial informal qualification to be†¦show more content†¦Question 2: Assuming Power During the 1896 Republican Presidential nominating convention in St. Louis McKinley outshone all of the other contenders. McKinley collected 661 votes, as compared to his rival, who had acquired only 84 votes. William McKinley used techniques of previous candidates who campaigned for President from their homes; he delivered 350 personal and well-crafted speeches from his front porch to almost 750,000 visiting delegates. These speeches allowed McKinley to let the people hear where he stood on many political topics, which helped him gain votes. The democratic rival, William Jennings Bryan, lost by about 600,000 votes, one of the greatest electoral sweeps. After four years in office, McKinley was nominated again in 1900 as the republican candidate. McKinley accumulated 7,218,491 votes, compared to his rival who had gained 6,356,734 votes. McKinley used the same tactics from his previous election that allowed him to easily win the election again, and serve for another term as the President of the United States. Question 3: Hats President William McKinley wore many â€Å"hats† throughout his presidency; they included Chief Executive, Chief Diplomat, Economic Chief, Chief Legislator, and Commander in Chief. McKinley had to deal with both domestic and foreign affairs during his presidency. Some domestic issues that rose during his term were race relations; labor relations, and

International Financial Integration. Is it worth it Free Essays

string(104) " many countries in the past have used capital controls to limit the harmful effects \(Grumman, 2008, p\." We are witnessing the transformation of meld-20th century managerial capitalism Into global financial capitalism†. This Is what Martin Wolf expressed In an article written for the Financial Times In June 18, 2007. Even after the global economic crawls that followed the next years and from which the world Is still recovering, this statement Is of great relevance. We will write a custom essay sample on International Financial Integration. Is it worth it or any similar topic only for you Order Now Actually, this crawls Is a good example of how Integrated the world’s financial markets have become: a financial crisis that started In some developed countries practically spread throughout the whole world. As Wolf himself hinted in his book Fixing Global Finance, it is obvious why financial crises bounce back from one country to another (2008, p. 25). First, markets are connected globally, both for commodities and financial instruments; second, an unexpected weakness in one country is seen by investors as a weakness for apparently similar countries; third, when governments fail to respond to financial crises as expected, trust in their willingness to act elsewhere will be lost; fourth, a high perception of risk in one market may spread to others; and fifth, the rationing of reedit to risk borrowers can turn a slight instability into a crisis (Wolf, 2008, p. 5). Likewise, Jeffrey Freddie adds that current regulations and technology allow money to travel around borders almost instantly, giving rise to short-term international transactions (Freddie, 1991, p. 428). With such vulnerabilities, to what extent is international financial integration (capital mobility) worth it? To answer this question, this paper will try to explain how and why capital mobility alters economic policymaking by governments as well as the tradeoffs such polic ies entail. By doing so, it will show the extent to which capital mobility takes policy autonomy away from governments and Indicates how It can affect certain countries more than others. To do so, first the concept of the open economy trillium will be illustrated. Followed policymaking and its interaction with exchange-rate stability and macro-economic independence and the influence this has in different countries. The Unholy Trinity Also known as the open economy trillium or the Mendel-Fleming Model in reminiscence to the economists that first set forth the concept, it indicates that overspent must choose between two of three goals: capital mobility (CM), exchange-rate stability, or monetary independence (Freddie, 2008, p. 347). Giving up CM implies placing capital controls that ultimately close world markets to a country. This is what the Latin American nations practiced from the sass’s until the sass’s with their import-substitution industrialization (IS’) policy (Freddie, 2007, p. 10-312). On the contrary, in a financially integrated world as today, the trade-off is between exchanger stability and domestic monetary policy autonomy. If the latter is referred, the exchanger will have to be allowed to fluctuate. For example, if a government wants to encourage investment and increase consumption, policymakers will pursue low interest rates. Hence, many investors will want t o move their investments to another country that offers higher interest rates. When the capital leaves the country, demand for the local currency will 2 decrease and it will end up depreciating; there is no exchange-rate stability (Walter, 2013, p. 22). Conversely, if policymakers prefer exchange-rate stability, they need to subject monetary policy solely to this goal. To neutralize depreciation or appreciation, interest rates still have to be lowered or increased, but they cannot be used for domestic objectives such as encouraging investment or promoting a rise in consumption (Walter, 2013, p. 22). With this model in mind, I now pass to explain how and why CM alters autonomous economic policymaking by governments, first by indicating its influence and then by explaining its interaction with the other two goals of the economy trillium. Influence of CM in national economic policymaking worth asking: what are the benefits of CM that make it incontestable in today’s world? Benefits of CM For one part, CM allows countries to borrow from the rest of the world in order to improve their ability to produce goods and services (Newly, 1999, p. 1 5). In doing so, goods and services from other parts of the world compete in local markets. This creates a more competitive environment, driving down profits and forcing companies to seek finance from outside (Wolf, 2008, p. 22). Due to the increased competitiveness, a global financial system can benefit the quality of domestic regulation: there will be pressure for better accounting 3 standards and an improved legal and financial system (Wolf, 2008, p. 3). In this sense, it will encourage companies to lobby for a more efficient, flexible and accessible financial system (Wolf, 2008, p. 3). Linked to competition, such financial systems can encourage governments to re- think’ their policies (avoid requesting too much taxes or allowing too much inflation, for example) and prevent capital outflows (Wolf, 2008, p. 23). Also, CM allows risk diversification and technology transfer (Wolf, 2008, p. 23). Furthermore, in many developing countries the economy is not big enough for its citizen ’s savings to finance world-level institutions. This is an important argument for allowing the presence of foreign banks (Wolf, 2008, p. 23). For example, between 1960 and 1980 South Korea annually requested funds from international sources equivalent to 4. 3% of its GAP to finance its strong economic growth (Newly, 1999, p. In addition, capital flows allow countries to avoid large drawbacks in consumption from economic crises by selling assets to and/or borrowing from outside sources (Newly, 1999, p. 1 5). It was precisely through foreign lending that Mexico and Argentina were able to overcome their 1995 crisis (Grumman, 2008 p. 51). All in all, capital flows can be beneficial for a nation. However, this type of global integration is likely to generate crisis if pursued with a low level of economic development (Wolf, 2008, p. 24). Citizens in developed countries may have enough savings within the national financial system to allow their governments to leverage enough investment and growth. However, developing countries will most likely depend on capital inflows for this and even more urgently when an economic imbalance occurs. Hence, many countries in the past have used capital controls to limit the harmful effects (Grumman, 2008, p. You read "International Financial Integration. Is it worth it" in category "Papers" 107). Pinpointing on this last issue, what leads a country to prefer a fixed exchange-rate and monetary autonomy over CM? In short, the control of capital flows helps a country have economic stability (Newly, 1999, p. 21). As investors have limited information about the true value of the assets they hold in the country, they tend to infer from the actions of others, creating a herding behavior, where asset price variations cause further changes in the same direction, leading to a boom-bust cycle and macro-economic instability, hence Justifying capital controls (Wolf, 2008, p. 25). There are different ways this is sought by today’s governments. Control of CM First, capital controls may be used to discourage capital outflows in the event of a crisis, allowing the central bank (CB) to have invulnerability with domestic monetary policy. This is how Malaysia responded to its 1998 crisis (Newly, 1999, p. 19). -. Second, economic stability can be achieved by preventing destabilize outflows in the first place, in other words, changing the composition of capital inflows (Newly, 1999, p. 21). Through capital inflow controls, the government helps prevent future and sudden outflows by investors. This is what Chile practiced in the sass’s. By scrounging capital inflows, Chile was able to limit the number of volatile capital that could have left the country on short notice (Newly, 1999, p. 21). 5 Likewise, at present the International Monetary Fund (MIFF) is recommending capital flow management measures after exhausting interest-rate adjustment and if implemented alongside foreign exchange-rate reserves accumulation and macro- prudential financial regulation (Gallagher, 2012). As mentioned above, the aim of CM controls is macro-economic stability. I will now further explain the reasons why CM causes economic instability in the first place. There are two reasons: either they are the result of irresponsible behavior in the markets or of bad policies by local authorities (Change, 1999, p. 7). The former reason has to do with human attitudes: while in economic boom, there is excess of greed; in recession, there is excess of fear (Wolf, 2008, p. 21). This leads, as explained above, to the panic and herding effect. Market that make it inherently risky – adverse selection, moral hazards, and asymmetric information (Wolf, 2008, 19). The unfortunate intervention of a government (wrong or bad fiscal and/or monetary policies) often makes them even sees safe, as is the case of poor fiscal discipline added to a lack of monetary discipline (Wolf, 2008, 22). Likewise, mistakes in exchange-rate policy can greatly affect the financial market as will be described in the next section. Both of these reasons affect the other two goals of the unholy trinity: exchange-rate stability and monetary independence. We will be able to see this by explaining the interactions of CM with these two other goals. Interaction of CM with exchange-rate stability and macro-economic independence 6 To provide a sense of how CM interacts with exchange-rate and macro-economic lollygagging, different scenarios are analyzed: fixed vs. fluctuated exchange-rate and the efficacy of monetary and fiscal policies. First, the efficacy of fiscal policy in a country with a fixed exchange-rate and CM will be considered. Supposing that a government seeks to stimulate national income, it will pursue an increase in aggregate demand by increasing government spending and/or reducing taxes. Consequently, interest rates will go up and an inflow of capital from abroad will arrive. This capital inflow would lead to an excess supply of foreign currency. Therefore, as the exchange rate is pegged, the country CB would have to ay that excess supply with national currency, thus stimulating the national income even more. Although this might seem ideal, the ultimate consequence is a detriment of the country international competitiveness: exports would become more expensive to the world and imports cheaper for the locals (Greece, 2003, p. 87). Accordingly, international investors would lose confidence in the government’s capacity to sustain a current account deficit brought by the capital inflow, as well as probable price inflation due to the fiscal expansion , and move their money somewhere else (Greece, 2003, p. 7). Now with a capital outflow, the CB would seek to raise interest rates, which leads to a decrease in investment and consumption, thus reducing aggregate demand and counteracting the national income stimuli (Greece, 2003, p. 87). From a monetary policy perspective, the prospect is not positive either. If the economy wants to be stimulated, the CB would have to reduce interest rates which currency would exceed its demand, and in order to maintain its peg the country CB would have to buy the excess with 7 its foreign exchange reserves. The national currency reduction circulating in the economy and the consequent increase in interest rates and decrease of income and consumption would end up cutting the national income stimuli also (Greece, 2003, p. Now, considering a flexible exchange-rate and, again, supposing a fiscal policy intended to boost national income and hence a rise in interest rates, the country would expect capital inflows. Therefore, there is an increase in demand for the national currency, which would appreciate in value, causing imports to be less expensive in the local market and exports more expensive abroad. Accordingly, the country would lose in international competitiveness and the probable reduction of sports (because they are now more expensive for the world) would decrease national income (Greece, 2003, p. 88). On the other hand, regarding monetary policy with a flexible exchange-rate, some political scientists consider that it has strengthened as the world has become more integrated (Greece, 2003, p. 89). When a government’s goal is an increase in national income, the natural response is to lower interest rates. This would provoke a capital outflow from the country, which in turn brings depreciation of its currency and hence a competitive edge in the international market. This effect would increase aggregate emend and national income even more (Greece, 2003, p. 89). However, policy preferences of economic interest groups differ within a country (Freddie, 1991 , p. 432 and Walter, 2008, p. 406). Therefore, those who depend on imports, for example, will prefer a stronger local currency (Freddie, 1991, p. 45). This is, for example, Thailand experience with its 1997 economic crisis (Walter, 2008, p. 422). Thailand economy was, and still is, export-oriented. However, in 1997 the majority of its exporters produced industrial goods that needed imported inputs. Therefore, the depreciation ad no real competitive effect (Walter, 2008, p. 422). 8 Developing countries and CM As economic an d financial markets in developed countries provide more stability to investors, as seen with the above interactions developing countries are more externalities on recipient countries (Gallagher, 2012). In this sense, regulating CM is an optimal tool to address market failures and enhance growth, not worsen it (Gallagher, 2012). Conclusion International financial integration alters national economic policymaking. This can be understood by first looking at the Mendel-Fleming Model and the influence and interaction of CM with exchange-rate stability and macro-economic independence. In today’s world, CM has priority over the two other goals. However, there are certain traits that can lead a country into an imbalance or even a deep crisis, especially for developing countries. Hence, the level of openness to CM must be studied against the economic development of the country and its financial health. Countries are the custodians of national economic stability and well-being. How to cite International Financial Integration. Is it worth it, Papers

Boyz Ii Men free essay sample

I went to the Boyz II Men concert in Worcester, Massachusetts. The two opening acts were Brandy and Babyface. One word to describe them, fantastic!!! For fifteen-year-old Brandy, she had it all. A nice voice and a great performance. Babyface followed and he was amazing. A great artist with extraordinary talent. At one point, Babyface picked a girl from the audience and started singing to her. He also gave her $500 dollars and he said that each of the hundred dollar bills was for a time she was broken-hearted. Before Boyz II Men went on stage, my three friends and I went backstage and met them. It was amazing, just like their performance. They were very nice and friendly. They gave each of us a bag filled with memorabilia. They sang new and old songs, which was great. Another great time was when they came from under the stage, holding roses while singing Ill Make Love To You. We will write a custom essay sample on Boyz Ii Men or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page They threw the roses to the audience. I thought that it was very romantic. I would definitely go see them again in concert. It was a great night and worth every penny

Service Innovation in Hospitality Industry free essay sample

By shifting focus from „Goods-Dominant Logic? to „Service-Dominant Logic? , Service Science presents a new perspective on value creation and service experience. In this new perspective, value is co-created by various roles, experienced and evaluated by customers. However, the problem is how to implement theories in a specific industry. Focusing on hotel industry, this paper aims to illustrate how service evolves with the development of technology and theory based on the case study of InfoQuest, which is an IT company mainly providing SaberKnot. InfoQuest redefines several economic roles (hotels, IT system provider, local businesses and customers) and relationships among them (from a linear model to a netlike model) where it injects Hotel Industry with new vitality. Both competitive advantages and potential problems that might arise from the service innovation are subsequently discussed. At last, a further analysis is made on the China market in order to show the possibility of that business entering into China. We will write a custom essay sample on Service Innovation in Hospitality Industry or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page I Acknowledgements Acknowledgements are given to all the people who supported me with the dissertation. First, I am deeply indebted to my supervisors Mr. Lars Haglund and Mr. Erik Sundstro for their m, stimulating suggestions and helpful cooperation in the time of writing this dissertation. I should also express my gratitude to InfoQuest where I worked during the time of writing this thesis. Special thanks should be made to Mr. Ronald U. Telson, Mr. Christer Hellholm, Ms. Lena Bryske, and other colleagues who provided a lot of useful information and valuable ideas and suggestions. Most importantly, none of this would have been possible without the love and patience of my family and my friends. For many of travelers in their vacation, visit or business trip, hotels are places they stay when out of home. As a mature industry, hotels industry now includes all types of lodging from luxurious 5-star hotels to youth hostels. Besides room services, most hotels also offer a variety of accessorial services, including but not limited to food, beverage, laundry and valet services. Additionally, the high level hotels can offer conference rooms, swimming pools, beauty salons, fitness centers and many other facilities to both business and leisure travelers. Information technology (IT) is defined by the Information Technology Association of America (ITAA) as the study, design, development, implementation, support or management of computer-based information systems, particularly software applications and computer hardware. Compared to hotel industry, Information technology came out rather recently, but has developed into one of the biggest industries with influences to most other industries. In hotel industry, the possibility to supply qualified IT services is regarded as one of the prerequisites for, at least, top level hotels. Service Science is an emerging discipline that focuses on fundamental science, models, theories and applications to drive innovation, competition, and quality of life through service(s) (Bitner, Brown, Goul and Urban, 2006). Through shifting from Goods-Dominant Logic to Service-Dominant Logic, Service Science focuses on â€Å"operant resources† rather than -1- â€Å"operand resources†, which implies all economies are service economies. It maintains that services (including goods and services) co-created by stakeholders and customers can only be experienced and evaluated by customers. . 2 Objectives and structure InfoQuest Group AB (InfoQuest) is a company specializes in the IT segment with the purpose to bring its customers and partners innovative solutions. With the help of Information Technology, the company introduces a service innovation into hotel industry, which is the gravity of the research. The service innovation redefines several economic roles (hotels, IT sys tem provider, local businesses and customers) and relationships among them (from a linear model to a netlike model). This thesis aims to examine (1) the competitive advantages and potential problems that might be brought by this service innovation and (2) the possibility to transplant such the new business model created by InfoQuest in Europe to China market, taking into account service theory. The structure of the dissertation can be described as follow: ? Service literature review ? which first provides a summary of Service Science and service innovation and then compares Goods-Dominant Logic with Service-Dominant Logic; ? Corporation description which introduces InfoQuest and its main product SaberKnot, in particular its technical principles and commercial principles; ? Service innovation in hotel industry ? Roles redefinition; ? Value co-creation; ? Competitive advantages; ? Potential problems; ? Market opportunity analysis in China ? China market introduction; ? Typical local businesses; ? Opportunities; -2- ? Difficulties and risks; ? Conclusion. 1. 3 Methodology This thesis focuses on resear ch of service innovation in hotel industry. In order to carry out an in-depth investigation, this thesis adopts case study as the research design. A company named InfoQuest and its flagship product SaberKnot show us a possible way to innovate service in hotel industry, which is the case of this thesis. I choose InfoQuest as the case is because its new netlike business model involves both the shifting from Goods-Dominant Logic to Service-Dominant Logic and service innovation in hotel industry, which can confirm and supplement existed theory. ? Data collection The research methods used in this thesis mainly include documents review, secondary analysis, participant observation, official statistics, etc. Bryman and Bell (2007) pointed out the importance of literature review, most obvious reason of which is to know what is already known in the research area. From academic literature review, we can see advantages in the shifting from Goods-Dominant Logic to Service-Dominant Logic and theories of service innovation. There are quite a lot researches related to service theory and service innovation, so my study starts from a literature review to build up a theoretical basis, which covers the fields of service definition, Service-Dominant Logic, Goods-Dominant Logic, service innovation, etc. Literature resources include academic papers, books, and web pages, which provide me with existing research achievements in this field. However, most of these literatures do not focus on service innovation in a specific industry, and no primary data can be acquired from literature review. According to Bryman and Bell (2007), â€Å"the basic case study entails the detailed and intensive analysis of single case. † From their opinion, a case can be an organization, a location, a person, or an event, etc. They also mentioned that qualitative methods, such as participant observation and unstructured interviewing, are very helpful methods in case study. The information of InfoQuest and SaberKnot is collected from several channels, including internal documents, participant observation, communication with colleagues, etc. In addition, the raw -3- materials used in China market analysis are mainly collected from official statistics. Most tables are quoted from website of National Tourism Administration of The People? s China, and website of National Bureau of Statistics of China. Other statistics and policies are referred to websites of local governments or organizations. Some information from companies? ebsites is also used to make competitor analysis. According to Vargo and Lusch (2007), â€Å"the value network member that is the prime integrator is in a stronger competitive position†. In our case, no prime â€Å"integrator† exists, but it does need a prime or core player who leads members in the network to go forward. The dominant position makes core player to own more influence in the network, which is the reason why participants contend for it. It is not a big issue if everything goes well in the network, but the threat is how to deal with the faults, if any, emerging in this loosely organized system, which will become crucial. For example, if a shop in the network being complained by customers several times, who should take the responsibility to decide whether to keep the shop any longer for its own-remedy or to kick it out immediately? In addition, other issues following the service innovation include how much power the prime player is supposed to possess, how to supervise the use of power, etc. Among the four types of participants, customers are not suitable to act as prime player in terms of leading power, although being

Rubin v Coors Brewing Co essays

Rubin v Coors Brewing Co essays CASE CITATION: Rubin v. Coors Brewing Co. (514 US 476), 1995 The rules and principals of commercial law are of ancient origin. Throughout the centuries merchants engaged in trade and commerce have recognized customs and usages which regulate and control their conduct. Gradually over the years a body of law developed... (Robert Bicentennial of our Republic, the Courts position was reversed and they declared that the First Amendment protects commercial speech. But they court did say that commercial speech should receive less protection then noncommercial speech. That brings us to the definitions of commercial and noncommercial speech. Noncommercial speech, embodied in the phrases freedom of speech and freedom of expression, is entitled to virtually full first amendment protection; hence, the speaker is granted considerable latitude in stating a position...Commercial speech is generally considered to be communications that have the sale of a product or service as their ultimate goal. Content regulation of commercial speech is allowed to prevent false, deceptive, or misleading information from being transmitted(Boedecker and Morgan, 1). Some cases that have affected the First Amendment and Commercial speech are: Valentine v. Chrestensen (1942), the U.S. Supreme Court first declared that the Constitution placed no restraints on government regulation of commercial advertising. Until this time there wasnt anything that distinguished between commercial and noncommercial communications. Then in 1975 in Bigelow v. Virginia the court said that the, the government cannot restrict advertising where the commercial activity itself is legal and further noted that the ...activity adverti...

Case study in event planning industry Example | Topics and Well Written Essays - 1250 words

In event planning industry - Case Study Example This one event can lead to many different risks. Specific risks are the risk of flooding, other damages to plumbing lines, possible shut down of water to nearby facilities which leads to ill proper use of the golf course and hotel/ casino. If the two businesses were forced to shut down due to no water, this would lead to many stakeholders being at risk. The second risk was when the catering company continued to get a fork lift loaded with banquet tables stuck in the mud that was produced from damaging the water line. If the catering company was unable to get to the event because of mud, it is likely that other companies would have the same issue. In order to minimize theses risks, it takes someone who can work well under pressure and is able to utilize necessary human resource skills to get the job done. An event manager needs to be prepared for a crisis to happen and have a different plan in force to help minimize risk even if the crisis does not happen. Being prepared is the first step in minimizing any risk associated with certain types of events. It is important to be prepared to make sure all vendors and stakeholders suffer the least amount of damage in a crisis that cannot be minimized. To make sure that the stakeholders suffer the least amount of risk, the problem with the damaged water line needs to be properly addressed. With only a few hours remaining until the start of the event, the damage has to be assessed and it needs to be determined whether or not the water line can be replaced, how long it will take, and what needs to change if it cannot be replaced in time. The catering company is going to have to wait for the ground to dry up, or get a bigger machine in there that can quickly get the fork lift out of the mud. If the fork lift is unable to be removed, the tables are going to have to be moved by hand along with the rest of any items. Human Resource Management/ Traditional? Human resource management can be defined as the management of employees . Since events consist of many vendors to make sure the event is successful, human resource management for events is similar for any traditional business environment. It is similar in the role of the management professional but, actually more complex than a traditional business setting. Human resource management for events is highly more complex as it does not deal with normal day to day operations. Different types of crisis’ can occur that makes the work of the one involved in human resources much more complex. The complexity is subject to fast problem solving, intervention, dealing with different types of vendors, and making changes where necessary. Every aspect is important when managing an event to make sure the event goes according to plan. Venue Investigation When planning an event it is important that the event is properly investigated to make sure it will fit everyone’s needs, involve the least chance of crisis, leave enough time for planning and an adequate am ount of attendees. Choosing a venue such as a golf course located within a casino/ hotel, it was important to check the facility to make sure it was capable of meeting the events needs. This is so in order to make sure there is enough room for guests, parking, overnight stay and easy access to places such as airports/ freeways. Once the event site was chosen, the venue had to meet the attendee’s expectations. Meeting everyone’s expectations is a hard task to accomplish but can be

GRADUATE LETTER FOR ADMISSION Essay Example | Topics and Well Written Essays - 1000 words

GRADUATE LETTER FOR ADMISSION - Essay Example My interests in pursuing graduate studies had intensified during my practice as a supervisor of Hematology department in Alhada armed forces hospital in Saudi Arabia. I have realized the urgent need and demand for skilled technologists, at my work place and other laboratories in developing regions. I believe, by gaining more knowledge in Hematology and management skills, I would be of greater help in the laboratory medicine field worldwide, Saudi Arabia in particular. Besides updated skills in the early diagnosis of many blood related diseases such as anemia, leukemia etc; better management and leadership skills are very important in developing countries like Saudi Arabia. With the transition of most laboratories to acquire accreditation of the college of American Pathologists (CAP) and other regulatory agencies, the need for professional and comprehensive managerial capabilities in the developing countries are becoming crucial. This has triggered the need for more sophisticated knowledge in the updated laboratory methods, and quality control and quality assurance concepts. At my last job, I was able to adhere to the highest professional Laboratory standards, despite the fact that I was working under different working environment, tradition, and dress code. It was very interesting, challenging and great learning experience. In addition to background skills and knowledge in the medical laboratory science, my balanced personality, and open minded nature, made me successful supervisor. Some of my accomplishments include, constructing and updating hematology department’s procedure manuals, evaluation of new analyzers, organizing and passing successfully the bi annual inspection conducted by of the college of American pathologists (CAP) etc. Through my job, I have greatly improved my analytical ability and pressure management techniques. The process

Is gambling a moral issue Essay Example | Topics and Well Written Essays - 1250 words

Is gambling a moral issue - Essay Example Although some of these arguments may be correct, gambling is more of a moral issue because it results in people’s suffering while others thrive. According to Fitzgerald there is no point in considering gambling and casinos as an economically viable industry. No doubt it adds to the pocket of a few and also contributes to the governments revenue box, yet considering the social maladies casinos and gambling are responsible for; it is more of a curse than blessing. Furthermore a healthy society can thrive amidst healthy individuals. Here health does not only refer to physical health but also the psychological one. Gambling results in erratic behavior through a complex neurochemical reaction that is far from being healthy and therefore according to Fitzgerald should be abstained from. Last but not the least the writer has also criticized gambling and casinos for spreading pollution and congestion in weekends through the rush of gamblers in peaceful localities where casinos are loc ated. Fitzgerald states at first that gambling although illegal in the state of California, in recent time permission has been extended to some Indian tribes. Might be placed in a light note but according to him since from historical times the Indians have been exploited by the other Americans the state now want to compensate them by conferring right of exploiting the others. United States of America as a uniform country must follow the same law for all and the logic that the writer has presented in legalizing gambling is no short of disgracing the goodwill of the government and the equality doctrine of the constitution. Without any grain of doubt the writer is against legalizing gambling but his arguments against such legalization are all driven on materialistic grounds. Fitzgerald has referred that gambling can never be considered as an economic boost owing to the $2 net loss it imposes on the government for each dollar earned as revenue. Another economic argument placed by the wr iter is the doubling of bankruptcy rate in countries with casinos in compare to those without them. The writer carefully states statistics to act as a psychologist while judging the compulsion of a gambler to spend more than he can afford. The statistics according to Fitzgerald in favor of such compulsion is quite high at 43%. Apart from economic and psychological reasons another aspect that Fitzgerald has referred to is the environmental aspect of gambling or casinos. The economic aspect that Fitzgerald has cited against gambling holds quite a ground. However quantifying the qualitative variables and indicators often stirs much debate. Owing to this fact it is hard to tell that whether the exact number that the writer has cited as a burden on revenue owing to gambling is appropriate. Another study amidst a different surrounding might have yielded a different result. Furthermore the modern day economics is a social science and much more beyond monetary value exists in a society that economic consideration must take into account. The psychological cost that gambling imposes on an individual in terms of erratic behavior and addiction might well receive a counter attack from those who support gambling and considers it as a means to joy. Gambling is based upon probability and neither the cost of loosing nor the profit from winning is assured. A

US and China Negotiations with Oil Producing Countries

US and China Negotiations with Oil Producing Countries Abstract The start of the twenty first century signaled a new beginning for the United States and China in their quest for oil diplomacy with African oil producing countries. One of the characteristics of this venture is the difference in approach both countries follow to attain this natural resource. This research work, therefore, examines the diplomatic measures of the US and China in their negotiations with oil producing countries in Sub-Saharan Africa, hereafter referred to as (SSA). In particular, the results they expect or the preferences over outcomes are analyzed. It is not the intention of the study to present a comparative analysis of US and Chinese import figures or to look at their reciprocal relationship. The question is what strategic choices do the US and China make in their interaction with oil producing countries and in what way does such interaction shape oil diplomacy? An important finding is that the US and China develop different strategic paths and policy frameworks whic h strengthen the assumption that the two countries compete for SSA oil. Along these lines, the study investigates the oil diplomacy of the US and China in SSA using the strategic-choice approach as an analytical framework. Introduction In the last decade, the US and China has moved their search for oil security to the African continent. The US and China arrive on the SSA oil scene with their own motives and interests. Their single most important interest is to engage in oil diplomacy with petroleum producing states and secure the safe import of oil from the region. African states traditionally were influenced by colonial powers. However, with the rise of China and its increasing involvement in Africa, the situation is changing. The US focuses on humanitarianism, good governance and democratization of petroleum producing states in their oil diplomacy approach. China, the worlds fastest growing economy, views SSA as a welcome offloading ground for its products in exchange for oil. An economic approach focusing on enlarging its commercial interests is the driving factor for Chinas engagement with petroleum producing states. China needs more raw materials to supply in its increasing domestic demand. Instability in the Middle East, oil dependency and securing its energy interests drives the US to SSA. Keeping a watchful eye on Chinas involvement and monitoring its influence with petroleum producing states is another reason the US is devoting much of its time to this part of Africa. The US interest in the region focuses on the procurement of oil and gas, but with the establishment of the US African Command (AFRICOM), US involvement in SSA shifted in a large degree to the fight against terrorism and safeguarding of American oil operations. Analytical Framework Lake Powell (1999) formulated an approach that makes it easier for students of international relations to explain the choices actors make, whether these actors are states, parties, ethnic groups, companies, leaders or individuals. This approach is used in the paper to explain the strategic interaction of the US and China with oil producing countries and not the strategic interaction between the US and China. The argument is that both countries have independent influencing power and exercise an asymmetric relationship with oil producing countries. In SSA the preferences and beliefs of the US and China in conjunction with the strategic environment are the core attributes on which the strategic-choice approach is based. In the SSA oil environment, there are many beliefs and preferences which have an effect on interaction and the formulation of policy frameworks. What are the oil security preferences of the US and China in SSA, and how is it influenced by the environment? Changes in the behavior of actors are often difficult to perceive in the strategic-choice approach (Lake Powell, 1999). Whenever changes in the behavior of actors do take place, it is primarily done through learning, through changes in the actors environment or by analyzing the actors as more basic actors Lake Powell, 1999). In this study, the methodological bet would disaggregate the actors into more basic actors, such as the individual beliefs of the energy departments, national leaders, multinational oil corporations, bureaucrats and individuals. Frieden (1999: 50) mentions the concept of actors preferences over choices, and how the outcomes affect strategic interaction between actors in the same setting. The preference in a particular setting leads the agent to devise a strategy. Analysts of international relations have long debated how preferences and the strategic environment affect outcomes, jointly and separately. Many debates in the field have to do with whether outcomes are primarily the result of the constraints of the international system or of differences among national preferences (Frieden, 1999:50). A strong variant of realism, for example, implies that state preferences are so overwhelmed by the pressures of interstate competition that all states must pursue essentially identical strategies. A strong domestic, dominance perspective might, on the other hand, argue that different state strategies flow primarily from different national characteristics and preferences. Due to the continuous rise of new issues in SSA oil politics, the argument is that preferences are shaped by environmental factors and thus not static. It will be difficult, therefore, to separate the preferences of the actors from the strategic environment. The assumption is that a cycle of interaction is proposed deriving from the interplay of preferences and strategies. In the SSA oil setting, the US and China in deciding what preferences over outcomes they desire, have to take political environmental constraints into consideration, because the oil-induced political environment is constantly changing. Instability of oil producing countries, corruption, the negative consequences of having oil reserves, bad governance and terrorism are contributing factors to this changing environment. In more stable, homogenous oil environments, the actors preferences are more constant. The environment in North Africa is a region with a more or less stable oil infrastructure, where actors formulate clear, definable goals, separate from such environmental influence. The North African oil producing states of Libya, Algeria, Morocco, Tunisia and Egypt have a strong unifying Muslim culture, and they can shape their preferences around a common goal. In SSA, the environment and the choices actors make are separated, because of ethnic division, religious differences, corruption, instability, bad governance and the gross mismanagement of oil revenues. These factors then make it difficult for leaders to shape preferences without interference of political constraints. In reality, leaders of oil states will base individual preferences on self-enrichment and state goals on the dynamics of interplay between actors in the strategic setting. The main energy security debate for the American and Chinese government in the twenty first century focuses on the concept of oil dependence. Diversification of import channels, safe delivery of imports and establishing reasonable prices are factors that influence the decision-making of policymakers. US-Sino oil diplomacy in SSA thus follows different paths. Because both countries arrived relatively late on the oil scene in this part of Africa, were not previous colonial masters, and had limited strategic ties with petroleum producing states, SSA now presents new challenges to the US and Chinese governments in their quest for oil. Engaging in diplomatic talks broaden oil horizons and establish measures along which oil security is negotiated. From the perspective of increasing oil imports and acquiring new exploration and drilling licenses, oil diplomacy is vital for sustaining negotiations on a continuous basis. However, for diplomacy to be an effective tool, the US and China need to formulate preferences or policy beliefs. The next section presents a brief overview of US and Chinese expansion into the SSA oil fields in the last couple of years. The aim is to identify the major oil producing countries with whom the US and China have signed deals and not to present import and expo rt figures. Looking at the allocation of exploration contracts to the US and China by SSA oil producers, it becomes clear that these countries are siding with either the US or China. The point is that diplomacy and strategic interaction are deciding factors influencing the relationship. For example, Nigeria and Angola as two of SSAs major oil producing countries have strong relationships with both powers, but their interaction differ. US and Chinese Expansion into Sub-Saharan Africa Oil Fields The growing expansion of Chinese national oil companies into Africas oil markets is perhaps the aspect of Sino-African relations that most concerns the international community (Taylor, 2009: 37). Chinese firms are actively seeking resources of every kind: copper, bauxite, uranium, aluminum, manganese, iron ore, and more. However, the issues surrounding oil are of particular interest to Western policymakers studying Chinas rise (Lyman, 2006). Indeed, although China and the US do not rely on one another for energy supplies, the possibility that oil will be the subject of future disagreements between them is arguably high and thus has a bearing on much of the commentary on Sino-African energy policies (Zha, 1999: 69). Certainly, there is concern that Beijings procurement of energy supplies will pose a challenge to the global dominance of Washington at a time when levels of cooperation between the two governments on matters of energy are at best weak (Dreyer, 2007: 461). In contrast to t he days of Maoist solidarity, contemporary Chinas economic dealings with Africa are, in the main, based on an unfriendly evaluation of commercial potential. Indeed, to reiterate, Chinas rapidly developing oil requirements have helped propel Sin-African trade at the turn of the millennium (Taylor, 2009: 44). A select listing of recent contracts signed by Chinas national oil companies gives a flavor of the geographical extent of Chinese interest in SSA oil. In 2004, Total Gabon signed a contract with Sinopec for exporting Gabonese crude oil into China. Angola received a US$ billion loan in 2005 in exchange for oil deals with China, which added another US$1 billion to the loan in March 2006. Also in 2005, the Nigerian National Petroleum Corporation signed a US$800 million deal with PetroChina to supply 30,000 barrels of crude per day to China. In 2006, CNOOC agreed to pay US$2.3 billion for a stake in a Nigerian oil and gas field (Taylor, 2009: 45). Chinese oil companies also reportedl y signed contracts to begin offshore oil exploration and production in Congo-Brazzaville and began oil exploration in northern Namibia with the intent to establish an oil refinery. In addition, Nigeria announced that that it would give the first right of refusal on four oil exploration blocks to CNPC in exchange for a commitment to invest US$4 billion in infrastructure (Taylor, 2009: 46). Clearly, Chinas energy interests in Africa are growing exponentially. Indeed, in 2006, China imported 920,000 barrels a day of crude oil, or 31 percent of its total crude imports, from Africa. Moreover, Chinese national oil companies are still relatively small players on the continent. â€Å"The commercial value of the oil investments in Africa of Chinas NOCs is just 8 percent of the combined commercial value of the (international oil companies) investments in African oil and 3 percent of all companies invested in African oil† (Downs, 2007: 42). A central criticism of these contracts revolve s around the tactics and strategies by which Chinese corporations enter into them. For instance, on February 16, 2006, Chinaafrica, an official Chinese publication, quoted Wang Yingping of the China Institute of International Studies (CIIS), as asserting that â€Å"Chinese businesses pay greater attention to protecting the environment when building factories and exploring for Africas rich reserves in oil†; two months later, it cited, without comment, the assertion by Sierra Leones ambassador to China that â€Å"the Chinese just come and do it. They dont hold meetings about environmental impact assessments, human rights, bad governance and good governance. Im not saying its right, just that Chinese investment is succeeding because they dont set high benchmarks† (Taylor, 2009: 47).  Ã‚  Ã‚   The US is obsessed with oil imports from the Middle East and pays little or no attention to SSA. This region supplies as much black gold to the US as the Persian Gulf States. According to (Donelson, 2008) the region also lend itself to just as much (if not more) danger of unexpected supply disruption. For this reason AFRICOM, the new US military administrative headquarters [one of six regional headquarters (HQs) worldwide] was established. The military demand center is devoted to relations with 53 countries (Donelson, 2008). At the end of 2007, SSA accounted for nearly 16% of US daily imports, versus just over 18% for the Persian Gulf States and just over 18% for Canada. The country in seventh place is Angola with 507,000 barrels a day, just behind Algeria. Chad, Gabon, Congo (Brazzaville), and Equatorial Guinea are petroleum suppliers to the US as well, along with minor players including South Africa, Mauritania, Ivory Coast, Ghana, and the Democratic Republic of the Congo (Kinshasa . One country with strong oil reserves is Nigeria, but unfortunately the region is vulnerable to disruption. The destroying of oil pumping stations, pipelines, and other distribution facilities are at the order of the day by rebel groups, opposing the rule of President Umaru YarAdua. According to Donelson (2008), The Bold Movement for the Emancipation of the Niger Delta has sent militants in boats through heavy seas to attack the Bonga oil fields more than 65 miles from land, temporarily shutting down production of more than 200,000 barrels a day. But there are also other groups, such as white-collar oil workers threatening the supply of oil if their negotiation demands are not met. But the main issue the US faces is competition from other countries, especially from China. Donelson (2008) points out that the Angola supplied almost as much oil (465,000 barrels daily) to China as they did to the US in 2007 and that number will almost certainly go up as a report by the Council of Forei gn Relations states: â€Å"Beijing secured a major stake in future oil production in 2004 with a $2 billion package of loans and aid that includes funds for Chinese companies to build railroads, schools, roads, hospitals, bridges, and offices; lay a fiber-optic network; and train Angolan telecommunications workers† (Donelson, 2008: 2). The President of Angola, Jose Eduardo dos Santos served as his partys, (MPLA) representative to China, after receiving his degree from the Azerbaijan Oil and Chemistry Institute in the old USSR. This was shortly before he became president. The relationship between dos Santos and the US is not build on a solid foundation and is to say the least very unreliable. There is no guarantee that the country will live up to its promise of providing the US with a continuous supply of oil, after such a long time of instability and civil war. With two of the top seven U.S. oil suppliers vulnerable to supply disruptions at any moment; is it any wonder that the American military presence in Africa is slated for the major expansion (Donelson, 2008). In a nutshell, before moving on to the strategic-choice analysis, what are the motivations for the US and China to enter the SSA oil market? Trade and economical intentions are high on Chinas African business agenda, offloading Chinese products in the host countries in exchange for oil and other resources. Traditionally, African states relied on western colonial powers for economic aid and influence. However, the situation is slowly changing with the rise of China and its increasing involvement in Africa. The supply of oil in return for investments and other economical incentives are the driving force for petroleum producing states to establish relations with China. SSA is a source of growing importance in the supply of oil. The region is likely to become as important a source of US energy imports as the Middle East. The US is in competition for access to oil, not only to China but also with India and Europe. Therefore, the US interest in SSA includes promoting democracy, good govern ance and transparency in economies of petroleum producing states, along with establishing a strong military command to protect its oil interests and monitor the actions of militant groups.  Ã‚   However, diplomacy is an effective tool if preferences and policy beliefs are formulated around certain goals. This is what the next chapter is going to achieve, investigating the policy beliefs of the US and China and the way it contributes to effective oil diplomatic measures.   US-Sino Oil Diplomacy in Sub-Saharan Africa: A Strategic-Choice Analysis During the twentieth century, US and Chinas preference thinking regarding Africa was greatly influenced by ideological thinking. The contest between establishing democracy or communism in Africa was evident of US-Chinese intervention on the African continent. The US followed liberalization policies to free oppressing regimes from authoritarian, communist rule, while China viewed Africa as an open domain to introduce communism. A result of these opposing preferences by the US and China was that African countries were introduced to different ideological doctrines, which laid the foundation for African countries to establish their own state goals. Hostility of certain petroleum producing states toward cooperation with either the US or China, favoring one state over the other because of ideological and economical preferences, domestic conflict in Nigeria, violations of human rights in Sudan, the war on terror in conjunction with Muslim extremism and the general poor living and health con ditions in SSA, are factors that limit the American and Chinese governments to implement successful strategies. On the other hand, the US and China can certainly benefit from the individual preferences of state leaders and actors in the oil industry. For example, the goals of multinational oil corporations and the individual beliefs of business leaders contribute to the formulation of a national grand strategy for SSA.   In analyzing the strategic interest of the US in the SSA oil setting, the ideological preference of the US to promote democracy and good governance in African countries is a condition when strategies based on democratic principles are to be devised. â€Å"Oil is where you find it. Oil companies cannot always invest in democratically governed countries. It would be ideal if it could be guaranteed that the head of an African country where a US oil company invested was, in fact, an advocate of democracy and always respected human rights. Unfortunately, that is not a realistic expectation in todays Africa or in most other oil producing regions of the world. It is important to urge and cajole and to nudge the leaders of the oil producing countries towards establishing inclusive democracies and good governance† (Wihbey, Schutz, 2002: 4). This is the task of US diplomacy. In Sudan, the US government is supporting the initiatives of the Extractive Industries Transparency Initiative ( EITI) (The Extractive Industries Transparency Initiative, 2007). Countries that underwrite the initiatives and programs of the EITI have preferences toward establishing good governance principles in countries that depend on the extraction of natural resources, and to eradicate the exploitation of these resources. Initiatives that seek to promote good governance principles can only be successful if the supporting countries maintain these same good government principles at home. The SSA oil strategic setting allows for many actors, whether they are governmental institutions, non-governmental institutions, non-state actors or individuals, such as the residents of the Niger delta and Southern Sudan and the multitude of multinational oil corporations (MNCs), to formulate their own goals and pursue unique strategies. However, environmental constrains, such as transportation difficulties and inaccessibility of areas in the Niger Delta, further accentuates the problem actors experience to reach solutions on common grounds. Then there are also religious divisions between Muslims and Christians, ethnic conflicts between the different tribes living in the Niger Delta, the self-interested or ambitious goals of MNCs in the central government. These factors are all having an immoralizing effect on the negotiation process. Rebel groups operating from the Niger Delta, some of which pursue their own agendas and others, which are in unison with the goals of religious and ethnic groups, are at the moment taking the main stage in setting preferences for Niger Delta peace talks. The movement for the emancipation of the Niger Delta (MEND)can be cited as a group that has extremely hostile feelings toward the presence of foreign and in particular western oil companies (The movement for the emancipation of the Nige r Delta, 2011). In a January 2006, MEND warned the oil industry: It must be clear that the Nigerian government cannot protect your workers or assets. Leave our land while you can or die in it. Our aim is to totally destroy the capacity of the Nigerian government to export oil† (Hanson, 2007: 2). One can assume from this statement, that MEND has a preference for the protection of their land from foreign invasion. They voice strong, emotional concern over foreign oil workers occupying their land and will take extreme measures expelling these oil workers from their land. Whether, they really are interested in finding solutions to the ongoing delta conflict is an open question. Their findings are that anti-government groups, supporting the goals of Muslim extremists and anti-western lobbyists are greatly responsible for the chaos and anarchy characterizing the situation in the delta. Accusations that western oil companies are destroying the natural habitat of certain fish populations and are responsible for the ethnic conflict are treated with contempt by oil companies, such as Shell and ExconMobil, (Howden, 2006) both which invested heavily in the Nigerian oil industry. Oil operations of these companies are conducted in harmony with the natural environment, and that one of their missions is to protect the Niger Delta from over-exploitation and unnecessary pollution. It is all a question of respecting the rights of citizens living in the area and caring about the natural environment, which is an aspect that is neglected by foreign oil companies operating in the Delta. In making a final analysis regarding the preferences of the actors in the Nigerian conflic t, it is necessary that common ground has to be found between the actors. An environment where actors pursue harmonious interests will be beneficial to all. As long as the local residents view foreign oil workers as intruders on their land, pursuing ambitious, and self-interested goals and not returning revenue into local community development programs, the chances that a final solution to the conflict be reached, are small. If one or both of these powers can accept the role of mediator, laying down guidelines for further negotiations, the negotiation process will enjoy a substantial boost. This mediating role will not only help the conflicting parties, but will in effect put the concept of energy security on the negotiating table. On the other hand, for parties to commence a mediating role, they should have an unbiased attitude toward the conflicting parties. Both these countries have strong and clear intentions to use oil diplomacy to their own benefit and manipulate the results in the SSA oil strategic setting. In SSA, AFRICOM is set out to achieve military dominance on the African continent and establish military strategic partnerships with petroleum producing countries. Nigeria, Sao Tome and Principe and Angola along the west coast of Africa are the main hotspots for US and Chinese oil interests. Nigeria is the biggest exporter of oil in the region, and in the last five years had allocated valuable oil drilling licenses to US and Chinese oil companies. Nigeria already supplies the oil needs of these two giants, especially to the US. Sao Tome and Principe and Nigeria (Sao Tome, Nigeria sign oil deal with US-led consortium, 2005) signed a milestone contract to give a consortium led by the US based oil company, ChevronTexaco, rights to drill in the two countries shared Gulf of Guinea oil exploration zone. China has secured four oil-drilling licenses from Nigeria in the last three years. In exchange, China will invest US$4bn in oil and infrastructure projects in Nigeria (BBC News, 2006). Nigeria, Africas top oil exporter, has long been viewed by China as a partner. From the recent contracts allocated by the governments of Nigeria and Sao Tome and Principe to US and Chinese based oil companies, it becomes clear that US-Sino oil diplomacy in SSA focus on establishing long-lasting relationships (BBC News, 2006). The giant Chinese state-owned China National Offshore Oil Corporation, CNOOC, has reached a deal to buy a 45 percent stake in a Nigerian oil field for more than US$2 billion. The purchase, if approved by both governments, would be Chinas first major venture into oil-rich Nigeria. Analysts say the Nigerian bid will not be easy for CNOOC, which has no experience in dealing with Nigeria, a country rated as a difficult place to do business. The international anti-corruption group Transparency International ranks the country as the sixth most corrupt nation in the world. The American oil company Chevron did not bid on this block, and that would imply they did not believe the values were there. So this is certainly a hurdle which CNOOC will have to overcome. Chinese and Nigerian governments will sign two important agreements: one on economic and technology cooperation and a memorandum of understanding on developing a strategic partnership. China is offering assistance in the form of building new tanker terminals, refineries and possible pipelines to export the oil from remote regions to the coast for easy loading (Ramirez, 2006). China is streamlining the oil infrastructure in SSA, according to their specific needs. This is an infrastructure that on the one hand satisfies their oil demands, but on the other hand leaves the host country no choice but to become dependent on the Chinese oil expertise.The result is that petroleum producing countries in the long run will be more dependent on Chinese investments to sustain their economies, rather than China being dependent on their oil imports. This interaction clearly indicates that Chinas preferences are shaped on establishing some sort of economic superiority over their oil strategic partners and forcing petroleum producing states to be dependent on Chinese intervention. If China has more control over the oil affairs of host countries, it will give them a stronger bargaining base and increase their strategic advantage. The longterm goal of countries that seek to control the economies of its trading partners is to transform economic gains into security gains, so that in the long run, economics and security are inseparable (Snidal, 1993: 73). When China can control the economies of petroleum producing states, it will have strong incentives to move one step further and create military strategic partnerships. The supply of military equipment, providing of nuclear technology, and perhaps positioning of Chinese troops in petroleum producing states, as overseers of its oil operations, cannot be excluded from its African engagement strategy. By successfully negotiating with petroleum producing states and gaining diplomatic prestige, the other state will immediately be in a less favorable situation. In doing so, the preferences will have a stronger strategic value and gives stronger bargaining power. Strategic values or interests are valued not for themselves, but for their contribution to the protection or promotion of other interests in the future. They are â€Å"interests defined in terms of power†, to recall Morgenthaus memorable phrase (Snyder, 1997: 23). The motivation for the US and China is to try and establish alignments with petroleum producing states. In this way, they their strategic values will be more clearly defined and they can implement strategies to control certain oil fields, offshore oil rigs, pipelines and sea passages. The indication is that the sea around the west coast of Africa, stretching from Nigeria in the north to Angola in the south, is expected to raise problems concerning the transpo rtation of future oil supplies. Because the US and China both have to use these sealanes to transport crude oil and gas, it might become a point of conflict. Determining Preferences Preference determination is typically specified in one of three ways: by assumption, by observation and by deduction (Frieden, 1999, p. 53). The objective with this section is to explore these ways and determine their analytical value in the context of the actors preferences in the SSA oil strategic setting, with the main emphasis being on the US and China. Because the US and China both have energy security interests, they have formulated energy security policies at the national level, and these policies are based on assumptions of realism or liberalism. Determining the preferences of the US and China by deducing preferences from these assumptions will offer one of the most analytically satisfying routes to see what specific preferences they hold in the SSA oil strategic setting. It is easiest to assume preferences. In the principal application in international relations to the preferences of nation-states, the simplest assumption might be that states attempt to maximize national wel fare, or assume that states maximize national resources (Frieden, 1999: 53). A comparison between the preferences of economics and the preferences of international politics shows that there are distinctions with regards to the actors involved and the goals they pursue. In economics, there is limited variation in the cast of characters, particularly firms and individuals. Firms prefer profit maximization and individuals prefer wealth maximization (Niou, Ordeshook. Rose, 1999: 54). However, international politics involves individuals, firms, groups, nation-states, international organizations and transnational actors. The preferences of ChevronTexaco and Chinas Petroleum and Chemical Corporation (Sinopec), may in general terms be homogenous, they are engaged in every aspect of the oil and natural gas industry in the SSA oil industry, including exploration and production, refining, marketing and transportation, chemicals, manufacturing and sales (The leadership functions of Chevron Texaco , 2007). However, the reality is that American and Chinese oil companies operating in SSA are in effect not only serving the interests of the oil industry and acting as channels for the procurement of oil imports for their local economies, but they also serve as useful instruments in the hands of politicians to control and manipulate the oil industries of the agent states. Expansion of US and Chinese oil operations in SSA since the start of the twenty first century are providing them with more power on the continent. The direct result of gaining more power in the oil industry is that the petroleum producing states are getting entangled in a web of either American or Chinese influence. This influence is leading to a state of dependency of petroleum producing states on US and Chinese involvement in their oil industries. In terms of economic considerations, the US and China prefer different outcomes in their oil diplomacy with petroleum producing states. The US regards the pursuing of economical interests a US and China Negotiations with Oil Producing Countries US and China Negotiations with Oil Producing Countries Abstract The start of the twenty first century signaled a new beginning for the United States and China in their quest for oil diplomacy with African oil producing countries. One of the characteristics of this venture is the difference in approach both countries follow to attain this natural resource. This research work, therefore, examines the diplomatic measures of the US and China in their negotiations with oil producing countries in Sub-Saharan Africa, hereafter referred to as (SSA). In particular, the results they expect or the preferences over outcomes are analyzed. It is not the intention of the study to present a comparative analysis of US and Chinese import figures or to look at their reciprocal relationship. The question is what strategic choices do the US and China make in their interaction with oil producing countries and in what way does such interaction shape oil diplomacy? An important finding is that the US and China develop different strategic paths and policy frameworks whic h strengthen the assumption that the two countries compete for SSA oil. Along these lines, the study investigates the oil diplomacy of the US and China in SSA using the strategic-choice approach as an analytical framework. Introduction In the last decade, the US and China has moved their search for oil security to the African continent. The US and China arrive on the SSA oil scene with their own motives and interests. Their single most important interest is to engage in oil diplomacy with petroleum producing states and secure the safe import of oil from the region. African states traditionally were influenced by colonial powers. However, with the rise of China and its increasing involvement in Africa, the situation is changing. The US focuses on humanitarianism, good governance and democratization of petroleum producing states in their oil diplomacy approach. China, the worlds fastest growing economy, views SSA as a welcome offloading ground for its products in exchange for oil. An economic approach focusing on enlarging its commercial interests is the driving factor for Chinas engagement with petroleum producing states. China needs more raw materials to supply in its increasing domestic demand. Instability in the Middle East, oil dependency and securing its energy interests drives the US to SSA. Keeping a watchful eye on Chinas involvement and monitoring its influence with petroleum producing states is another reason the US is devoting much of its time to this part of Africa. The US interest in the region focuses on the procurement of oil and gas, but with the establishment of the US African Command (AFRICOM), US involvement in SSA shifted in a large degree to the fight against terrorism and safeguarding of American oil operations. Analytical Framework Lake Powell (1999) formulated an approach that makes it easier for students of international relations to explain the choices actors make, whether these actors are states, parties, ethnic groups, companies, leaders or individuals. This approach is used in the paper to explain the strategic interaction of the US and China with oil producing countries and not the strategic interaction between the US and China. The argument is that both countries have independent influencing power and exercise an asymmetric relationship with oil producing countries. In SSA the preferences and beliefs of the US and China in conjunction with the strategic environment are the core attributes on which the strategic-choice approach is based. In the SSA oil environment, there are many beliefs and preferences which have an effect on interaction and the formulation of policy frameworks. What are the oil security preferences of the US and China in SSA, and how is it influenced by the environment? Changes in the behavior of actors are often difficult to perceive in the strategic-choice approach (Lake Powell, 1999). Whenever changes in the behavior of actors do take place, it is primarily done through learning, through changes in the actors environment or by analyzing the actors as more basic actors Lake Powell, 1999). In this study, the methodological bet would disaggregate the actors into more basic actors, such as the individual beliefs of the energy departments, national leaders, multinational oil corporations, bureaucrats and individuals. Frieden (1999: 50) mentions the concept of actors preferences over choices, and how the outcomes affect strategic interaction between actors in the same setting. The preference in a particular setting leads the agent to devise a strategy. Analysts of international relations have long debated how preferences and the strategic environment affect outcomes, jointly and separately. Many debates in the field have to do with whether outcomes are primarily the result of the constraints of the international system or of differences among national preferences (Frieden, 1999:50). A strong variant of realism, for example, implies that state preferences are so overwhelmed by the pressures of interstate competition that all states must pursue essentially identical strategies. A strong domestic, dominance perspective might, on the other hand, argue that different state strategies flow primarily from different national characteristics and preferences. Due to the continuous rise of new issues in SSA oil politics, the argument is that preferences are shaped by environmental factors and thus not static. It will be difficult, therefore, to separate the preferences of the actors from the strategic environment. The assumption is that a cycle of interaction is proposed deriving from the interplay of preferences and strategies. In the SSA oil setting, the US and China in deciding what preferences over outcomes they desire, have to take political environmental constraints into consideration, because the oil-induced political environment is constantly changing. Instability of oil producing countries, corruption, the negative consequences of having oil reserves, bad governance and terrorism are contributing factors to this changing environment. In more stable, homogenous oil environments, the actors preferences are more constant. The environment in North Africa is a region with a more or less stable oil infrastructure, where actors formulate clear, definable goals, separate from such environmental influence. The North African oil producing states of Libya, Algeria, Morocco, Tunisia and Egypt have a strong unifying Muslim culture, and they can shape their preferences around a common goal. In SSA, the environment and the choices actors make are separated, because of ethnic division, religious differences, corruption, instability, bad governance and the gross mismanagement of oil revenues. These factors then make it difficult for leaders to shape preferences without interference of political constraints. In reality, leaders of oil states will base individual preferences on self-enrichment and state goals on the dynamics of interplay between actors in the strategic setting. The main energy security debate for the American and Chinese government in the twenty first century focuses on the concept of oil dependence. Diversification of import channels, safe delivery of imports and establishing reasonable prices are factors that influence the decision-making of policymakers. US-Sino oil diplomacy in SSA thus follows different paths. Because both countries arrived relatively late on the oil scene in this part of Africa, were not previous colonial masters, and had limited strategic ties with petroleum producing states, SSA now presents new challenges to the US and Chinese governments in their quest for oil. Engaging in diplomatic talks broaden oil horizons and establish measures along which oil security is negotiated. From the perspective of increasing oil imports and acquiring new exploration and drilling licenses, oil diplomacy is vital for sustaining negotiations on a continuous basis. However, for diplomacy to be an effective tool, the US and China need to formulate preferences or policy beliefs. The next section presents a brief overview of US and Chinese expansion into the SSA oil fields in the last couple of years. The aim is to identify the major oil producing countries with whom the US and China have signed deals and not to present import and expo rt figures. Looking at the allocation of exploration contracts to the US and China by SSA oil producers, it becomes clear that these countries are siding with either the US or China. The point is that diplomacy and strategic interaction are deciding factors influencing the relationship. For example, Nigeria and Angola as two of SSAs major oil producing countries have strong relationships with both powers, but their interaction differ. US and Chinese Expansion into Sub-Saharan Africa Oil Fields The growing expansion of Chinese national oil companies into Africas oil markets is perhaps the aspect of Sino-African relations that most concerns the international community (Taylor, 2009: 37). Chinese firms are actively seeking resources of every kind: copper, bauxite, uranium, aluminum, manganese, iron ore, and more. However, the issues surrounding oil are of particular interest to Western policymakers studying Chinas rise (Lyman, 2006). Indeed, although China and the US do not rely on one another for energy supplies, the possibility that oil will be the subject of future disagreements between them is arguably high and thus has a bearing on much of the commentary on Sino-African energy policies (Zha, 1999: 69). Certainly, there is concern that Beijings procurement of energy supplies will pose a challenge to the global dominance of Washington at a time when levels of cooperation between the two governments on matters of energy are at best weak (Dreyer, 2007: 461). In contrast to t he days of Maoist solidarity, contemporary Chinas economic dealings with Africa are, in the main, based on an unfriendly evaluation of commercial potential. Indeed, to reiterate, Chinas rapidly developing oil requirements have helped propel Sin-African trade at the turn of the millennium (Taylor, 2009: 44). A select listing of recent contracts signed by Chinas national oil companies gives a flavor of the geographical extent of Chinese interest in SSA oil. In 2004, Total Gabon signed a contract with Sinopec for exporting Gabonese crude oil into China. Angola received a US$ billion loan in 2005 in exchange for oil deals with China, which added another US$1 billion to the loan in March 2006. Also in 2005, the Nigerian National Petroleum Corporation signed a US$800 million deal with PetroChina to supply 30,000 barrels of crude per day to China. In 2006, CNOOC agreed to pay US$2.3 billion for a stake in a Nigerian oil and gas field (Taylor, 2009: 45). Chinese oil companies also reportedl y signed contracts to begin offshore oil exploration and production in Congo-Brazzaville and began oil exploration in northern Namibia with the intent to establish an oil refinery. In addition, Nigeria announced that that it would give the first right of refusal on four oil exploration blocks to CNPC in exchange for a commitment to invest US$4 billion in infrastructure (Taylor, 2009: 46). Clearly, Chinas energy interests in Africa are growing exponentially. Indeed, in 2006, China imported 920,000 barrels a day of crude oil, or 31 percent of its total crude imports, from Africa. Moreover, Chinese national oil companies are still relatively small players on the continent. â€Å"The commercial value of the oil investments in Africa of Chinas NOCs is just 8 percent of the combined commercial value of the (international oil companies) investments in African oil and 3 percent of all companies invested in African oil† (Downs, 2007: 42). A central criticism of these contracts revolve s around the tactics and strategies by which Chinese corporations enter into them. For instance, on February 16, 2006, Chinaafrica, an official Chinese publication, quoted Wang Yingping of the China Institute of International Studies (CIIS), as asserting that â€Å"Chinese businesses pay greater attention to protecting the environment when building factories and exploring for Africas rich reserves in oil†; two months later, it cited, without comment, the assertion by Sierra Leones ambassador to China that â€Å"the Chinese just come and do it. They dont hold meetings about environmental impact assessments, human rights, bad governance and good governance. Im not saying its right, just that Chinese investment is succeeding because they dont set high benchmarks† (Taylor, 2009: 47).  Ã‚  Ã‚   The US is obsessed with oil imports from the Middle East and pays little or no attention to SSA. This region supplies as much black gold to the US as the Persian Gulf States. According to (Donelson, 2008) the region also lend itself to just as much (if not more) danger of unexpected supply disruption. For this reason AFRICOM, the new US military administrative headquarters [one of six regional headquarters (HQs) worldwide] was established. The military demand center is devoted to relations with 53 countries (Donelson, 2008). At the end of 2007, SSA accounted for nearly 16% of US daily imports, versus just over 18% for the Persian Gulf States and just over 18% for Canada. The country in seventh place is Angola with 507,000 barrels a day, just behind Algeria. Chad, Gabon, Congo (Brazzaville), and Equatorial Guinea are petroleum suppliers to the US as well, along with minor players including South Africa, Mauritania, Ivory Coast, Ghana, and the Democratic Republic of the Congo (Kinshasa . One country with strong oil reserves is Nigeria, but unfortunately the region is vulnerable to disruption. The destroying of oil pumping stations, pipelines, and other distribution facilities are at the order of the day by rebel groups, opposing the rule of President Umaru YarAdua. According to Donelson (2008), The Bold Movement for the Emancipation of the Niger Delta has sent militants in boats through heavy seas to attack the Bonga oil fields more than 65 miles from land, temporarily shutting down production of more than 200,000 barrels a day. But there are also other groups, such as white-collar oil workers threatening the supply of oil if their negotiation demands are not met. But the main issue the US faces is competition from other countries, especially from China. Donelson (2008) points out that the Angola supplied almost as much oil (465,000 barrels daily) to China as they did to the US in 2007 and that number will almost certainly go up as a report by the Council of Forei gn Relations states: â€Å"Beijing secured a major stake in future oil production in 2004 with a $2 billion package of loans and aid that includes funds for Chinese companies to build railroads, schools, roads, hospitals, bridges, and offices; lay a fiber-optic network; and train Angolan telecommunications workers† (Donelson, 2008: 2). The President of Angola, Jose Eduardo dos Santos served as his partys, (MPLA) representative to China, after receiving his degree from the Azerbaijan Oil and Chemistry Institute in the old USSR. This was shortly before he became president. The relationship between dos Santos and the US is not build on a solid foundation and is to say the least very unreliable. There is no guarantee that the country will live up to its promise of providing the US with a continuous supply of oil, after such a long time of instability and civil war. With two of the top seven U.S. oil suppliers vulnerable to supply disruptions at any moment; is it any wonder that the American military presence in Africa is slated for the major expansion (Donelson, 2008). In a nutshell, before moving on to the strategic-choice analysis, what are the motivations for the US and China to enter the SSA oil market? Trade and economical intentions are high on Chinas African business agenda, offloading Chinese products in the host countries in exchange for oil and other resources. Traditionally, African states relied on western colonial powers for economic aid and influence. However, the situation is slowly changing with the rise of China and its increasing involvement in Africa. The supply of oil in return for investments and other economical incentives are the driving force for petroleum producing states to establish relations with China. SSA is a source of growing importance in the supply of oil. The region is likely to become as important a source of US energy imports as the Middle East. The US is in competition for access to oil, not only to China but also with India and Europe. Therefore, the US interest in SSA includes promoting democracy, good govern ance and transparency in economies of petroleum producing states, along with establishing a strong military command to protect its oil interests and monitor the actions of militant groups.  Ã‚   However, diplomacy is an effective tool if preferences and policy beliefs are formulated around certain goals. This is what the next chapter is going to achieve, investigating the policy beliefs of the US and China and the way it contributes to effective oil diplomatic measures.   US-Sino Oil Diplomacy in Sub-Saharan Africa: A Strategic-Choice Analysis During the twentieth century, US and Chinas preference thinking regarding Africa was greatly influenced by ideological thinking. The contest between establishing democracy or communism in Africa was evident of US-Chinese intervention on the African continent. The US followed liberalization policies to free oppressing regimes from authoritarian, communist rule, while China viewed Africa as an open domain to introduce communism. A result of these opposing preferences by the US and China was that African countries were introduced to different ideological doctrines, which laid the foundation for African countries to establish their own state goals. Hostility of certain petroleum producing states toward cooperation with either the US or China, favoring one state over the other because of ideological and economical preferences, domestic conflict in Nigeria, violations of human rights in Sudan, the war on terror in conjunction with Muslim extremism and the general poor living and health con ditions in SSA, are factors that limit the American and Chinese governments to implement successful strategies. On the other hand, the US and China can certainly benefit from the individual preferences of state leaders and actors in the oil industry. For example, the goals of multinational oil corporations and the individual beliefs of business leaders contribute to the formulation of a national grand strategy for SSA.   In analyzing the strategic interest of the US in the SSA oil setting, the ideological preference of the US to promote democracy and good governance in African countries is a condition when strategies based on democratic principles are to be devised. â€Å"Oil is where you find it. Oil companies cannot always invest in democratically governed countries. It would be ideal if it could be guaranteed that the head of an African country where a US oil company invested was, in fact, an advocate of democracy and always respected human rights. Unfortunately, that is not a realistic expectation in todays Africa or in most other oil producing regions of the world. It is important to urge and cajole and to nudge the leaders of the oil producing countries towards establishing inclusive democracies and good governance† (Wihbey, Schutz, 2002: 4). This is the task of US diplomacy. In Sudan, the US government is supporting the initiatives of the Extractive Industries Transparency Initiative ( EITI) (The Extractive Industries Transparency Initiative, 2007). Countries that underwrite the initiatives and programs of the EITI have preferences toward establishing good governance principles in countries that depend on the extraction of natural resources, and to eradicate the exploitation of these resources. Initiatives that seek to promote good governance principles can only be successful if the supporting countries maintain these same good government principles at home. The SSA oil strategic setting allows for many actors, whether they are governmental institutions, non-governmental institutions, non-state actors or individuals, such as the residents of the Niger delta and Southern Sudan and the multitude of multinational oil corporations (MNCs), to formulate their own goals and pursue unique strategies. However, environmental constrains, such as transportation difficulties and inaccessibility of areas in the Niger Delta, further accentuates the problem actors experience to reach solutions on common grounds. Then there are also religious divisions between Muslims and Christians, ethnic conflicts between the different tribes living in the Niger Delta, the self-interested or ambitious goals of MNCs in the central government. These factors are all having an immoralizing effect on the negotiation process. Rebel groups operating from the Niger Delta, some of which pursue their own agendas and others, which are in unison with the goals of religious and ethnic groups, are at the moment taking the main stage in setting preferences for Niger Delta peace talks. The movement for the emancipation of the Niger Delta (MEND)can be cited as a group that has extremely hostile feelings toward the presence of foreign and in particular western oil companies (The movement for the emancipation of the Nige r Delta, 2011). In a January 2006, MEND warned the oil industry: It must be clear that the Nigerian government cannot protect your workers or assets. Leave our land while you can or die in it. Our aim is to totally destroy the capacity of the Nigerian government to export oil† (Hanson, 2007: 2). One can assume from this statement, that MEND has a preference for the protection of their land from foreign invasion. They voice strong, emotional concern over foreign oil workers occupying their land and will take extreme measures expelling these oil workers from their land. Whether, they really are interested in finding solutions to the ongoing delta conflict is an open question. Their findings are that anti-government groups, supporting the goals of Muslim extremists and anti-western lobbyists are greatly responsible for the chaos and anarchy characterizing the situation in the delta. Accusations that western oil companies are destroying the natural habitat of certain fish populations and are responsible for the ethnic conflict are treated with contempt by oil companies, such as Shell and ExconMobil, (Howden, 2006) both which invested heavily in the Nigerian oil industry. Oil operations of these companies are conducted in harmony with the natural environment, and that one of their missions is to protect the Niger Delta from over-exploitation and unnecessary pollution. It is all a question of respecting the rights of citizens living in the area and caring about the natural environment, which is an aspect that is neglected by foreign oil companies operating in the Delta. In making a final analysis regarding the preferences of the actors in the Nigerian conflic t, it is necessary that common ground has to be found between the actors. An environment where actors pursue harmonious interests will be beneficial to all. As long as the local residents view foreign oil workers as intruders on their land, pursuing ambitious, and self-interested goals and not returning revenue into local community development programs, the chances that a final solution to the conflict be reached, are small. If one or both of these powers can accept the role of mediator, laying down guidelines for further negotiations, the negotiation process will enjoy a substantial boost. This mediating role will not only help the conflicting parties, but will in effect put the concept of energy security on the negotiating table. On the other hand, for parties to commence a mediating role, they should have an unbiased attitude toward the conflicting parties. Both these countries have strong and clear intentions to use oil diplomacy to their own benefit and manipulate the results in the SSA oil strategic setting. In SSA, AFRICOM is set out to achieve military dominance on the African continent and establish military strategic partnerships with petroleum producing countries. Nigeria, Sao Tome and Principe and Angola along the west coast of Africa are the main hotspots for US and Chinese oil interests. Nigeria is the biggest exporter of oil in the region, and in the last five years had allocated valuable oil drilling licenses to US and Chinese oil companies. Nigeria already supplies the oil needs of these two giants, especially to the US. Sao Tome and Principe and Nigeria (Sao Tome, Nigeria sign oil deal with US-led consortium, 2005) signed a milestone contract to give a consortium led by the US based oil company, ChevronTexaco, rights to drill in the two countries shared Gulf of Guinea oil exploration zone. China has secured four oil-drilling licenses from Nigeria in the last three years. In exchange, China will invest US$4bn in oil and infrastructure projects in Nigeria (BBC News, 2006). Nigeria, Africas top oil exporter, has long been viewed by China as a partner. From the recent contracts allocated by the governments of Nigeria and Sao Tome and Principe to US and Chinese based oil companies, it becomes clear that US-Sino oil diplomacy in SSA focus on establishing long-lasting relationships (BBC News, 2006). The giant Chinese state-owned China National Offshore Oil Corporation, CNOOC, has reached a deal to buy a 45 percent stake in a Nigerian oil field for more than US$2 billion. The purchase, if approved by both governments, would be Chinas first major venture into oil-rich Nigeria. Analysts say the Nigerian bid will not be easy for CNOOC, which has no experience in dealing with Nigeria, a country rated as a difficult place to do business. The international anti-corruption group Transparency International ranks the country as the sixth most corrupt nation in the world. The American oil company Chevron did not bid on this block, and that would imply they did not believe the values were there. So this is certainly a hurdle which CNOOC will have to overcome. Chinese and Nigerian governments will sign two important agreements: one on economic and technology cooperation and a memorandum of understanding on developing a strategic partnership. China is offering assistance in the form of building new tanker terminals, refineries and possible pipelines to export the oil from remote regions to the coast for easy loading (Ramirez, 2006). China is streamlining the oil infrastructure in SSA, according to their specific needs. This is an infrastructure that on the one hand satisfies their oil demands, but on the other hand leaves the host country no choice but to become dependent on the Chinese oil expertise.The result is that petroleum producing countries in the long run will be more dependent on Chinese investments to sustain their economies, rather than China being dependent on their oil imports. This interaction clearly indicates that Chinas preferences are shaped on establishing some sort of economic superiority over their oil strategic partners and forcing petroleum producing states to be dependent on Chinese intervention. If China has more control over the oil affairs of host countries, it will give them a stronger bargaining base and increase their strategic advantage. The longterm goal of countries that seek to control the economies of its trading partners is to transform economic gains into security gains, so that in the long run, economics and security are inseparable (Snidal, 1993: 73). When China can control the economies of petroleum producing states, it will have strong incentives to move one step further and create military strategic partnerships. The supply of military equipment, providing of nuclear technology, and perhaps positioning of Chinese troops in petroleum producing states, as overseers of its oil operations, cannot be excluded from its African engagement strategy. By successfully negotiating with petroleum producing states and gaining diplomatic prestige, the other state will immediately be in a less favorable situation. In doing so, the preferences will have a stronger strategic value and gives stronger bargaining power. Strategic values or interests are valued not for themselves, but for their contribution to the protection or promotion of other interests in the future. They are â€Å"interests defined in terms of power†, to recall Morgenthaus memorable phrase (Snyder, 1997: 23). The motivation for the US and China is to try and establish alignments with petroleum producing states. In this way, they their strategic values will be more clearly defined and they can implement strategies to control certain oil fields, offshore oil rigs, pipelines and sea passages. The indication is that the sea around the west coast of Africa, stretching from Nigeria in the north to Angola in the south, is expected to raise problems concerning the transpo rtation of future oil supplies. Because the US and China both have to use these sealanes to transport crude oil and gas, it might become a point of conflict. Determining Preferences Preference determination is typically specified in one of three ways: by assumption, by observation and by deduction (Frieden, 1999, p. 53). The objective with this section is to explore these ways and determine their analytical value in the context of the actors preferences in the SSA oil strategic setting, with the main emphasis being on the US and China. Because the US and China both have energy security interests, they have formulated energy security policies at the national level, and these policies are based on assumptions of realism or liberalism. Determining the preferences of the US and China by deducing preferences from these assumptions will offer one of the most analytically satisfying routes to see what specific preferences they hold in the SSA oil strategic setting. It is easiest to assume preferences. In the principal application in international relations to the preferences of nation-states, the simplest assumption might be that states attempt to maximize national wel fare, or assume that states maximize national resources (Frieden, 1999: 53). A comparison between the preferences of economics and the preferences of international politics shows that there are distinctions with regards to the actors involved and the goals they pursue. In economics, there is limited variation in the cast of characters, particularly firms and individuals. Firms prefer profit maximization and individuals prefer wealth maximization (Niou, Ordeshook. Rose, 1999: 54). However, international politics involves individuals, firms, groups, nation-states, international organizations and transnational actors. The preferences of ChevronTexaco and Chinas Petroleum and Chemical Corporation (Sinopec), may in general terms be homogenous, they are engaged in every aspect of the oil and natural gas industry in the SSA oil industry, including exploration and production, refining, marketing and transportation, chemicals, manufacturing and sales (The leadership functions of Chevron Texaco , 2007). However, the reality is that American and Chinese oil companies operating in SSA are in effect not only serving the interests of the oil industry and acting as channels for the procurement of oil imports for their local economies, but they also serve as useful instruments in the hands of politicians to control and manipulate the oil industries of the agent states. Expansion of US and Chinese oil operations in SSA since the start of the twenty first century are providing them with more power on the continent. The direct result of gaining more power in the oil industry is that the petroleum producing states are getting entangled in a web of either American or Chinese influence. This influence is leading to a state of dependency of petroleum producing states on US and Chinese involvement in their oil industries. In terms of economic considerations, the US and China prefer different outcomes in their oil diplomacy with petroleum producing states. The US regards the pursuing of economical interests a