China, the United States, and order transition in East Asia: An economy-security Nexus approach

A dualistic-order thesis has been emerged as a widely-used concept to describe East Asia's regional dynamics. According to the thesis, the economic and security spheres of the region have become divorced from one other, whereby China and the United States dominate the economic and security realms, respectively. This paper demonstrates the deficiencies of this thesis, based on a comprehensive assessment of the economic and security developments in the region, as well as the strategic choices of small and middle regional powers. In order to form a more accurate and systematic understanding of regional prosperity and stability, this paper develops an economy-security nexus approach by integrating the interactions of regional actors in both the economic and security realms into a unified framework. From this perspective, East Asian regional order is sustained by a delicate coupling of regional economic and security configurations: 'hot economics' is accompanied with cooperative security interactions. Although China and the United States are not the dominant actors in either field, their relatively benign interactions in both realms collectively play a significant role by shaping the strategic environment for regional actors, allowing them to enjoy a large degree of strategic flexibility and increase their security and prosperity.