Category: Capitalism

How Kim Jong-un, China & the autumn gales set a death trap for North Korea’s fishermen

By now, you’ve probably seen the ghastly reports of boats from North Korea washing up against the Japanese coastline with the desiccated or skeletal remains of their crews. You’ve probably also read reports speculating about why. This post will sift through dozens of those reports, discard the theories that the evidence refutes, and assemble the more plausible ones into a coherent explanation that the evidence supports. As it turns out, most of what you’ve read about North Korea’s ghost ships...

Organized crime enters North Korea’s markets

From the perspective of North Korea’s poor, the era of Kim Jong-un has been a time of increasing state control over information and borders, but also a time when the state has taken a relatively (by North Korean standards, anyway) laissez-faire approach to market trade. There are exceptions, of course, including crackdowns on South Korean imports and on the Chinese mobile phones that could have made cross-border trade so much more efficient, but the general trend is for State Security Department...

Class struggle in North Korea

“The history of all hitherto existing society is the history of class struggles. Freeman and slave, patrician and plebeian, lord and serf, guildmaster and journeyman, in a word, oppressor and oppressed, stood in constant opposition to one another, carried on an uninterrupted, now hidden, now open fight, that each time ended, either in the revolutionary reconstitution of society at large, or in the common ruin of the contending classes.”  – Karl Marx, The Communist Manifesto And yet, no place is...

North Korean market traders are fighting The Man

Via Yonhap: “It’s not that hard nowadays to see women stand up to despotic wardens and security agents while shaking their fingers at them at jangmadang,” the Radio Free Asia (RFA) said, citing a source in Pyongyang who recently visited China. “In such cases, nearby observers also join in and push the officials, something that was very rare to see just a few years ago.” Now North Korean people are no longer giving in to officials unconditionally, the source said....

Prisoners of the People: N. Korea’s guerrilla society has political implications (updated)

Over the last year, I’ve become convinced that if technology can break the electronic barriers between North Korea and the Outer Earth, it would be possible to keep the broken promises of the Sunshine Policy by bypassing Pyongyang and engaging directly with the North Korean people. Governments, churches, and NGOs could harness markets, smuggling networks, and private agriculture to help North Koreans feed the hungry, heal the sick, share information and ideas, begin to rebuild their broken civil society, and...

A blanket trade embargo won’t help us disarm or reform North Korea

In Wednesday’s post, I wrote about Beyond Parallel’s imagery analysis pointing to a decline in cross-border trade between China and North Korea, along with the limitations of that analysis and its great potential if expanded and focused. But I also alluded to a broader policy concern about the error of equating trade volume with sanctions enforcement: that while China’s under-enforcement of sanctions has historically been the greatest impediment to our North Korea policy, sanctions over-enforcement is an equal danger. Recently, I’ve heard...

Preparations for North Korea’s party congress spur anger, resistance, and dissent

Over the last year, this site has closely tracked growing signs that North Korea’s elites are discontented with Kim Jong-un’s leadership and fearful of being purged, and of falling morale and discipline in the North Korean military. More recently, we’ve seen extraordinary outbreaks of dissent among North Korea’s overseas workers, including the group defection of 13 restaurant workers and a reported mutiny by 100 workers in Kuwait. Whether these incidents reflect popular sentiment inside North Korea itself is a harder question to...

So far, sanctions are cutting off Pyongyang’s cash while sparing North Korea’s poor.

A month after the President signed the North Korea Sanctions and Policy Enhancement Act and two weeks after the U.N. Security Council approved Resolution 2270, enough information has emerged from North Korea to allow for a preliminary assessment of how the sanctions are affecting those they are meant to target, and those they are meant to spare.  Sanctions have begun to hit their intended targets. The Daily NK reports that the donju, the well-connected traders who help finance Pyongyang’s priorities through trade with...

Rev. Tim Peters is feeding N. Korea’s hungry, and showing us how to re-think food aid

The Rev. Tim Peters, a man who embodies everything I admire about the word “Christian,” leads the group Helping Hands Korea, which has been helping North Koreans escape for more than a decade. Now, he’s putting into action what I call “guerrilla engagement,” reaching inside North Korea covertly and helping its oppressed and starved classes achieve material independence. He’s doing it by harnessing the private sotoji farms that operate on the edge of legality, and which may have saved North Korea...

North Korea: Dispatches from a class struggle

When you devote so substantial a part of your life to a topic as depressing as the humanitarian situation in North Korea, you have to find your rewards where you can. One small polemic reward of watching North Korea is observing it as a laboratory for Marxist dialectics and theories of class struggle as the country’s rich grow richer, and the poor are trapped in poverty. We begin our examination, appropriately, with the most plausible analysis of North Korea’s food situation...

Inter-Korean phone calls can keep the promises of the Sunshine Policy

Twenty years of state-to-state engagement between North and South Korea have not lived up to Kim Dae-Jung’s promises. Pyongyang has taken Seoul’s money, nuked up, and periodically attacked South Korea for good measure. Rather than reforming, it has invested heavily in sealing its borders. Pyongyang sustains itself on foreign hard currency, even as it cuts off the flow of people, goods, and information to its underprivileged classes. It knows that if it fails to do this, members of those classes...

Seoul & Pyongyang join forces to fund N. Korea’s rich, starve its poor

Our endlessly unrequited vigil for North Korean reform continues: Hyeonseo Lee is also increasingly worried about her personal security since the July publication of the best-selling memoir about her escape from North Korea, “The Girl with Seven Names”. Defectors living in South Korea contact relatives in the North through Chinese mobile phones that are smuggled across the border. They communicate through transmission towers on the Chinese side of the border. It’s all arranged through brokers on the Chinese side, who...

The more North Korea trades, the more it reforms, right? Wrong.

Yesterday, I questioned the premises of economic engagement with Pyongyang — that Pyongyang is socialist, that trade is capitalism, that capitalism inexorably erodes socialism, and that capitalism (least of all, state capitalism) is inherently liberal and peaceful. I argued that Pyongyang adopted state capitalism decades ago, and that it has grown steadily more menacing and repressive ever since. It feigns socialism to feed our false hopes of reform and arguments against sanctions, to tempt investors, to recruit apologists who embrace its socialist pretenses, and to justify the...

In North Korea, prostitution used to be a survival strategy. Now, it’s just another racket.

The Great Famine of the 1990s changed North Korean society so profoundly that we are still trying to understand the breadth and depth of that change. During and after the famine, millions of North Koreans grasped at any survival strategy necessary to feed themselves. Those who did not change, and whom the state did not feed, died. For thousands of North Korean women, prostitution was the survival strategy of last resort to feed themselves, and often, their children. In Kim Il Sung’s North Korea, the sex trade was invisible to the...

Must read: Jieun Baek on how North Koreans beat the border blockade

Admittedly, Baek’s explanation of the North Korea’s guerrilla banking system isn’t the first I’ve read, it’s only the best: The next time Kevin talks to his mother, she asks him for $1,000. She gives Kevin a phone number. When he hangs up after about a minute, Kevin then calls that number and tells the stranger on the line that he got a call from someone (he uses a pseudonym to protect his mother’s identity). Every time, the phone number is...

Daily NK: Massive brawl in Musan market after traders resist confiscations

This may be the most significant known incident of anti-regime resistance by North Korean civilians since the Ajumma Rebellion that followed the 2009 currency confiscation: A massive brawl between Ministry of People’s Security [MPS] agents and vendors at a marketplace in Musan County last Friday has led to an urgent dispatch of county security and safety agents along with the complete shuttering of the market. The clash occurred after angry vendors tried to resist the confiscation of their goods by market...

Guerrilla Engagement: A strategy for regime replacement and reconstruction in North Korea

~ 1 ~ One day, either this President or the next one will awaken to the realization that the regime in Pyongyang is collapsing, and that he has just inherited the costliest, messiest, and riskiest nation-building project since the Marshall Plan. The collapse of North Korea will present South Korea – and by extension, its principal treaty ally, the United States – with a nation-building challenge unlike any in recent history. After all, Iraq, Afghanistan, and Syria all had some...

Markets, food, and trade: steps forward, leaps backward (Pts. 1, 2 & 3)

~   Part 1   ~ Do you still remember March, when the “May 30 measures” were the next wave of “drastic” perestroika that would change North Korea? Those measures were supposed to “give[] autonomy management of all institutions, companies, and stores,” including “control over production distribution and trade from the state to factories and businesses,” and thus awaken “the inner potential of the country.” But today, Andrei Lankov, who has been one of the most forward-leaning predictors of economic reform...