directlywiththeJapanesetextileindustry.TheUStextileindustryandtheWhite
Housedenounceditasunsatisfactory.Ambassador‐at‐largeDavidKennedy,
formerTreasurySecretary,wasputinchargeoftextilenegotiationsin1971.The
disputethenmerge dwiththeNewEconomicPolicyannouncedbyNixonon
August15,1971;thiswasthesecond“Nixonshock”of1971(afterthesecretvisit
toChina),anditwastoagreatextentaproductofthefailureofpreviousUS‐
Japanesetradediscussions.Finally,underthisse verebuff eting,combinedwith
theobnoxiousthreatofquotasbyExecutiveOrderunderthe1917Tradingwith
theEnemyAct,theJapanesereachedagreementwithAmbassadorKennedyon
October15,1971.
Thecriticismhasbeenmadethattheso‐calledNixon‐Kissingerdiplomacy
hereshoweditsusualmisunderstandingofthepluralisticpoliticalsystemofa
democratically,inwhichnationalleaderscouldnotdominatethedecision‐
makingasinadictatorship.
3
WhileIdidnotthengraspallthesubtletiesofJapan’s
politicalculture,Icametounderstandtheproblemwewerefacingalltoowell.In
reality,itwasnota“back‐channelnegotiation”intheusualsense;Ikeptin
contactwiththekeyofficialsof theStateandCommercedepartmentsatevery
turn,bynecessity,whateverNixon’surgingstothecontrary.Theotheragencies
indeedhopedthattheWhiteHousechanneltoSatocouldmakesomesenseout
oftheconfusiononbothsides.NordidthedisputearisebecauseNixon
misunderstoodanellipticalpledgebySato,ashasbeensuggested.
4
Sato’sexplicit
promisewasreiteratedoverandoveragainbyhisdesignatedemissary.Itcould
besaidthatthebasicmistakewasNixon’scampaignpledgeof1968,whichcost
toohighapriceintermsofourforeignpolicyobjectives.
Buttherealproblem,ofcourse,wasdeeper,anditisoffundamental
importancetothefutureofalltheindustrialdemocracies.WhileJapan,the
UnitedStates,Canada,andthenationsofWesternEuropearepoliticaland
militaryallies,wearealsoinevitableeconomiccompetitors.Asdemocracies,
indeed,oursystemsdisperseeconomicpoweraswellasthepoliticalauthorityby
whichdecisionsaremadeoneconomicquestions.Nogovernmenthassolvedthe
problemofhowautonomousnationaleconomicpoliciescanbepursuedwithout
growingstrainswithpoliticalallieswhoarealsotraderivals;evenlesshavewe
solvedthechallengeofcoordinatingeconomicgoalstoreinforcethecohesionof
freepeoples.Weproclaiminterdependencebutwehavebeenreluctanttoaccept
thatthisinvolvesameasureofdependence.