Contents

Ⅰ　Main Report

1　Implementation and Challenge of the U.S.Rebalancing Policy【Zhou Qi】／001

Abstract: Compared to other administrations after the Cold War, the Obama administration made significant changes to its Asia-Pacific policy.Multiple factors urged Obama administration to “rebalance” U.S.government attention and resources toward the Asia-Pacific region.The Obama administration has actively implemented the following strategies: strengthen and refurbish traditional alliances; actively forge new partnerships with emerging powers from Asian-Pacific region; and increase its interaction with the ASEAN under the multilateral framework.The “Rebalance” strategy has three main features.First, the “Rebalance” of military affairs will make progress much faster than other aspects of the policy; its planning is much more thorough.Second, the Trans-Pacific Partnership (TPP) will become a major pillar in President Obama’s rebalance in terms of economic statecraft.Third, the “Rebalance” will also be carried out within the Asia-Pacific region.In other words, priority is shifted from Northeast Asia to Southeast Asia.Although the U.S.government is positive about the “Rebalance” strategy and makes great efforts to implement it, many challenges remain.First, the “Rebalance” policy arouses suspicion from China.This creates obstacles to cooperation with China regarding important global issues.Second, slow progress in non-military fields causes observers to view the “Rebalance” as a policy limited to national defense.Third, a deep cut in the defense budget leads to a reduction of its military forces.Finally, turmoil in the Middle East and the Ukraine crisis distracts the U.S.from matters in the Asia-Pacific region.The Obama administration then becomes subject to criticism due to its weakness in fulfilling its commitment.If the U.S.cannot effectively address these new challenges, the implementation of the rebalancing policy will be seriously affected.

Keywords: U.S.Diplomacy; U.S.Foreign Strategy; U.S.Asia-Pacific Policy; Rebalance to Asia-Pacific Region

Ⅱ　Respective Reviews

2　American Politics in 2014:Political Apathy and Asymmetric Action【Wang Huan】／041

Abstract: The year 2014 lacked significant controversial issues in American politics.The public displayed clear political apathy while political players acted asymmetrically.Party identification reached its nadir in the past 75 years.Partisan animosity substantially increased.Midterm election turnout dropped to its lowest point since the end of World War II.Asymmetric partisan voting rates allowed the Republicans to have swept the midterm elections.Although incidents such as the shooting of Michael Brown led to political contentions, the subsequent political campaigns were far less extensive as compared to several years ago.Federal and state governance was relatively stable.The interaction among state governments was asymmetric, as presented in both immigration reform and the implementation of the REAL ID Act.In addition, the influence of campaign finance reform, the implementation of health care reform, and internet regulation were profound and far-reaching.

Keywords: American Politics; Political Apathy; Asymmetric Actions

3　U.S.Economy in 2014: Overall Growth with Variations in Different Sectors

　　【Wang Zihong】／059

Abstract: The main economy index, including the increase in employment and drop in deficit, shows that the economic recovery was in progress in 2014.In the meanwhile, the Fed naturally backs off from its QE efforts.Both interest rates and inflation are kept low.In 2015, consumption is still the engine that drives economic growth; manufacturing industry continues to create more job opportunities; energy industry is still under the spotlight; real estate industry remains a sensitive sector but its impact upon overall economy is limited; the interest rates increase due to the Fed policy has an impact upon the overall economy but will not bring many changes; and the U.S.dollar appreciation will have its dual effect on U.S.economy.

Keywords: U.S.Economy; Recovery; Growth; FED

4　American Society in 2014：Social Conflict on the Worse and Readjustment in Deadlock

　　【Zhou Jing et al.】／074

Abstract: In 2014, the U.S.made some progress in health care reform, immigration reform and the legalization of same-sex marriage, but public opinion was sharply divided.The Ferguson incident sparked massive race riots, and the fragmentation of the society was increasingly obvious.The Ferguson incident caused serious race riots in more than 170 cities, which not only exacerbated the tensions between the police and the public, but also intensified the racial conflicts.The racial issue was once again highlighted, and the reason behind this is the widening gap between the black and white people, with the economic difference included.In order to help the poor and reduce medical expenses, the Obama Care was fully implemented in 2014.As to the immigration issue, the U.S.government actively took measures to respond to the large-scale unaccompanied alien children wave, which appeared in the U.S.-Mexican border in October 2013.But after the midterm elections, the Republicans took control of the Congress, and thus the space to continue the immigration reform was shrinking.In 2014, the legalization of marijuana and same-sex marriage made further progress, with the latter taking an especially fast speed.

Keywords: American Society; Ferguson Incident; Obama Care; Immigration Reform; Legalizaion of Marijuana; Legalization of Same-sex Marriage

5　American Foreign Policy in 2014：Cautious Management While Seeking Breakthrough

　　on Key Issues【Yuan Zheng】／101

Abstract: The Obama Administration tried to deal with a series of significant events in U.S.foreign relations in 2014, such as the Ukraine crisis, the rise of ISIL, Iran nuclear negotiations, and America’s breaking the ice with Cuba.This report discusses the Obama Administration’s positions on these events and the dynamics behind them.It also analyzes the foreign policy orientation of the Obama Administration.Furthermore, the report makes a prediction about the future of the Obama Administration’s foreign policy.

Keywords: American Foreign Policy; Obama Administration; Policy Orientation

6　The Strategic Adjustment of the U.S.Foreign Policy in 2014: Retrenchment and Accommodation

　　【Fan Jishe】／123

Abstract: The year 2014 witnessed more continuity than change in the U.S.foreign policy.The Obama Administration continued to cling to the adjustment policy for safety issues in different areas.From Obama’s West Point Speech, to the handling of the Crimea crisis, to anti-terrorism, to combating Islamic State, to promoting Iran nuclear negotiation, to the handling of the North Korea nuclear crisis, and to the Asia-Pacific rebalance, the Obama administration’s foreign policy is clearly manifested as what scholars termed “Obama Doctrine”.The Obama Doctrine consists of four aspects: the prudent use of force and the avoidance of reckless humanitarian intervention; wisely wielding American influence and relying on multilateral diplomacy; managing rather than solving ongoing crises; prioritizing the domestic and foreign agenda and optimizing the allocation of limited resources.“Don’t do stupid stuff” doctrine is the signature of the Obama Administration’s foreign policy, as is interpreted as retrenchment and accommodation.

Keywords: Obama Administration; Foreign Policy; Retrenchment

7　Sino-US Relationship in 2014：Practical Cooperation and Difference Management

　　【Qiu Chaobing】／142

Abstract: During the Sunnylands Summit in June 2013, President Xi Jinping and President Obama agreed to build a bilateral relationship based on practical cooperation and constructive management of differences.Since then, deepening practical cooperation and constructively managing differences have become the key principle guiding the progress of Sino-US relationship.Guided by this principle, Sino-US relationship achieved many positive or groundbreaking progresses in 2014: frequent high level dialogues with the increase of political mutual trust; stable development of trade; breakthroughs on BIT negotiation; cooperation in acting on climate change; positive development in the building of New Type of Mil-to-Mil relations; and close security cooperation on regional and global levels.Meanwhile, the differences in areas such as trade, human rights, maritime disputes, cyber security, the U.S.selling weapons to Taiwan; political development in Hong Kong, and issues about Xinjiang and Tibet, were properly managed.All these have laid a strong foundation for the stable development of Sino-US relationship in 2015.

Keywords: Sino-US Relationship; BIT; New Type of Mil-to-Mil Relationship; Maritime Dispute; Cyber Security

Ⅲ　U.S.Politics and Foreign Policies

8　The U.S.Legislative-Executive Conflict and Asia-Pacific Rebalancing Strategy

　　【Liu Weidong】／163

Abstract: After taking office, President Obama launched the Asia-Pacific rebalancing strategy, which has become the basis for the U.S.long-term arrangement in the Asia-Pacific region.As one of the three branches of the U.S.government, the Congress has also played an important and subtle role in the introduction and implementation of the strategy.Generally speaking, the U.S.Congress supports the Obama administration’s overall vision on the rebalancing strategy, but the agreement does not bring effective cooperation in actual practice between the legislative and executive branch.On the one hand, the effective implementation of the strategy was affected by the conflict between the two; on the other hand, the internal divergence in Congress on different issues of “Rebalance” leads to more complicated interactions between the two branches.Congress has not provided sufficient support to the executive especially on the Trans-Pacific Partnership, one of the key issues of the strategy.Partisan politics and group interest no doubt have played a key role in this process.

Keywords: U.S.Politics; Rebalancing Strategy; U.S.Legislative-Executive Conflict

9　Characteristics and Motives of the U.S.Congress Legislation over the South China Sea Issue

　　【He Weibao】／179

Abstract: The action taken by the U.S.Congress has a profound influence on how the U.S.government makes decisions over the issue of the South China Sea.The legislative activities over the South China Sea in the past indicate that there is a consensus between the Congress and the government in this issue.The Congress often takes the legislative action to cooperate with the U.S.government according to the strategies and policies that the government has made about China.In recent years, the U.S.Congress has paid increasing attention to the issue of the South Sea China and taken more actions, which should arouse our attention.We should deal with the U.S.Congress as well as the U.S.government carefully when handling the South China Sea issue.

Keywords: U.S.Congress; Legislations; South China Sea Issue; Sino-U.S.Relations

10　Challenges for Obama’s Foreign Policy after 2014 Midterm Election【Qi Hao】／196

Abstract: The foreign policy of the Obama Administration has sparked much criticism not only from the Republicans but also from within the Democrat Party in the last few years.The hardliner Republicans label him as weak and indecisive due to his attitudes towards Syria Civil War, the nuclear issue of Iran, and the Ukraine crisis.And even worse, American voters have been increasingly dissatisfied with the government’s failure to hold back the rise of ISIS and the deteriorating situation of counter-terrorism, which in part accounted for the failure of the Democratic Party in the midterm elections.Faced with rise of ISIS and the deteriorating situation of counter-terrorism, and the potential danger of a complete failure of the policy toward Iraq and Afghanistan, President Obama has to strike an uneasy balance: on the one hand, to prevent the regional situation from loss of control; on the other hand, to fulfill his promise in ending the two wars.

In the next two years, as the Republicans have taken control of the Congress, the Obama Administration’s foreign policy will face more criticism and resistance.Despite that, the government still has a chance to make breakthrough in Iranian Nuclear crisis, the normalization of the diplomatic relations with Cuba, and climate change diplomacy.For these issues, President Obama cannot expect much support from the Congress, though.In order not to become a “lame duck,” President Obama needs to make effective use of the administrative power to achieve the diplomatic goals.Asia-Pacific rebalancing strategy most probably becomes the diplomatic legacy of the Obama Administration.In the process of promoting it, special attention should be paid to avoiding any involvement in regional conflicts and great efforts should be made to achieve a balanced relationship with regional powers.

Keywords: Obama’s Foreign Policy; “Don’t Do Stupid Things” Diplomacy; 2014 Midterm Election; “Lame Duck” President

11　The U.S.-ROK Alliance and the U.S.Rebalancing Strategy【Li Nan】／213

Abstract: After the implementation of the U.S.Rebalance to Asia-Pacific strategy, the U.S.has strengthened its alliance with the Republic of Korea.Based on their comprehensive military and security alliance, the U.S.aims to maintain its influence on the Korean Peninsula, contain North Korea on different levels, and consolidate its alliances with the Republic of Korea and Japan.Although the U.S.-ROK alliance has its differences, the two sides will continue to work closely against common threats, and expand their own interests in Northeast Asia.

Keywords: Nuclear Test; U.S.-ROK Alliance; Human Rights in North Korea; THAAD

12　An Analysis on the U.S.-India Relations after Modi Coming to Power【Li Hengyang】／226

Abstract: The U.S.-India relations began to change after Modi became the new Indian prime minister in 2014.Both sides strongly expect to strengthen cooperation.The Modi administration hopes to lure American capital and technology to promote the economic development of India.India also expects the U.S.to help secure its national interest and security in the Asia-Pacific region.The Obama administration regards India as an important partner in the Asia-Pacific Rebalancing Strategy, hoping that India will play a role in balancing China’s regional influence.The US government hopes to obtain more business opportunities in the emerging market by promoting bilateral trade cooperation.Since 2014, the U.S.and India have cooperated in Asia-Pacific strategy, defense products, civil nuclear energy, and climate change.The cooperation has made positive progress.However, the U.S.-India cooperation has its divergences in trade, security, and defense.Pakistan holds different views toward the U.S.-India cooperation.These factors all hinder the improvement of the bilateral relationship.There are still uncertainties in the U.S.–India cooperation.Challenges and opportunities coexist.

Keywords: U.S.-India Relations; Asia-Pacific Rebalance; Modi Administration; Nuclear Energy Cooperation

13　The Obama Administration’s Strategic Measures in Dealing with ISIL【Zhang Fan】／243

Abstract: The origin of ISIL can be traced back to the Syrian civil war, Iraq’s political situation, and the change of the geopolitics in the Middle East.ISIL has posed direct challenges to the U.S.interests in the Middle East.In dealing with such challenges, the Obama administration has established the anti-ISIL coalition on regional and international levels and has already taken a series of strategic measures in Iraq and Syria, some of which have proved effective, while others less so.

Keywords: U.S.Foreign Policy; Obama Administration; ISIL; Iraq; Syria

14　Power Shifting and the U.S.Misconceptions about China【Wang Wei】／254

Abstract: The term “Thucydides Trap” has recently gained rapid popularity in the scholarship of international relations.It shows that power shifting has become the focus of attention for the observers of the Sino-US relations.This article examines how the U.S.views power shifting, analyzes its misconceptions about China, and discusses the negative effects of those misconceptions.This article points out that, influenced by power shifting theory, many American scholars from the political and academic fields maintain that “the conflict between the rising power and the status quo power is unavoidable”, which deepens the existing misconceptions about China, misleads in the choice of policy, and hinders the construction of the non-violent and non-resistant “new type of great power relationship” between the U.S.and China.To reduce misconceptions and misunderstandings, it will be helpful to learn a lesson from the newly advanced cross-strait relations, in which a model of vision-guided development can be seen.

Keywords: Sino-U.S.Relations; Power Shifting; Thucydides Trap

Ⅳ　U.S.Economy and Society

15　Transatlantic Trade and Investment Partnership (TTIP): Negotiation and Impact

　　【Liu Deshou】／268

Abstract: Driven by the development of transatlantic economic relationship, the competition pressure from emerging economies, and the making of the rules that govern the global trade, the U.S.and the EU officially launched the negotiation on TTIP in July 2013.As of February 2015, the two sides had concluded eight rounds of negotiations.The first six are mainly technical negotiations and the last two are the negotiations based on their respective textual proposals.However, the TTIP negotiations are still facing severe challenges.Despite this, TTIP is expected to be eventually reached, which will have a profound impact on the economies of the U.S.and the EU, the transatlantic relationship, and their relations with emerging economies.

Keywords: TTIP; U.S.-EU Relations; Emerging Economies

16　An Analysis on the Recovery of American Housing Industry since the Subprime Crisis

　　【Liu Yuanling】／278

Abstract: The American financial crisis caused by the burst of the real estate bubble in 2007 has brought American entity economy into the worst situation since the Great Depression of 1929, from which American housing industry suffers heavy losses.American macro economy has rebounded from the third quarter of 2009 and then maintained a steady recovery pace till now, which has been the highlight in the Organization for Economic Co-operation and Development.In comparison, despite the government’s strong relief, the recovery of American housing industry has been slow and was once a drag on the recovery.The housing industry is dictated by quite a few restraining factors, which will subject it to another around of moderate recovery in 2015.

Keywords: American Economy；American Housing Industry; Moderate Recovery

17　Review on the U.S.Antitrust and Intellectual Property Policies in 2014【Su Hua】／299

Abstract: This article reviews and analyzes the important developments of the U.S.federal antitrust policy and antitrust scrutiny of intellectual property rights from fiscal year 2014 to early 2015, in particular, the investigation into the car parts cartels, the new guiding principles on the SEP and the FRAND published by the Antitrust Division of the Department of Justice, and the enforcement attitude of the Federal Trade Commission to the reverse payment agreements in the pharmaceutical industry.The article predicts that the U.S.Department of Justice and the Federal Trade Commission will continue rigorous antitrust enforcement, strictly panelize cartels, rectify other restrictive conducts, reinforce competition advocacy activities, and seek balance among the objectives of protecting intellectual property rights, encouraging innovation, and ensuring effective competition.

Keywords: Antitrust; Intellectual Property Rights; Administrative Enforcement

18　Ralls Corporation v.Committee on Foreign Investment in the United States: An Analysis

　　【Liu Hui】／321

Abstract: National security review is an important part of the political risk of Chinese investment in the United States.In the context of substantive disputes on market entry, tussles on process in individual cases become more significant.Due process is not only the key concern for Sany-associated Ralls Corp.to sue the Committee on Foreign Investment in the United States and Obama, but also an important principle of both the U.S.judiciary and the U.S.constitution.As a basic principle by which the system of checks and balances functions and as a powerful weapon employed to restrict the government, to ensure market performance, and to safeguard the legal rights of market players and citizens, due process (mainly the due procedure) plays an important role in upholding and striving for rights through judicial reviews.However, its weight has been significantly reduced in confronting the power of national security review.This paper attempts to analyze the entire process before, during, and after the U.S.national security review of Chinese investment in the U.S.and raise several strategic reflections on handling the U.S.national security review on the basis of process clarification of the case Ralls Corp.v.Committee on Foreign Investment in the United States, et.al.

Keywords: Due Process; Foreign Investment; National Security Review; Sany Group

19　Obama Administration’s Climate Action and Paris Climate Deal in 2015

　　【Zhao Xingshu】／333

Abstract: This paper examines the Obama Administration’s contributions to the 2015 Paris climate deal, analyzes the main factors in determining those contributions, and predicts the U.S.climate policy trend during Obama’s final two years.We find that Obama’s contributions to the 2015 global climate deal are driven by the domestic climate consensus, alternative energy development, and UN climate negotiations.The biggest uncertainty that Obama administration faces when fulfilling its promises, however, comes from the domestic political field.It is expected that the U.S.Congress will have great difficulty in reversing Obama’s policies of low carbon transition and Obama will continue to strengthen his climate legacy.

Keywords: U.S.Climate Policy; Obama Administration; Paris Climate Deal

20　America’s Unbalanced Economic Recovery and Adjustment of Social Policies

　　【Wei Nanzhi】／348

Abstract: According to the official data, the US economy won a modest but stable recovery with a growing GDP, increasing employment opportunities, and a decreasing unemployment rate in 2014.Although the macro economy has gradually stepped out of the “Great Recession”, the real revenue of ordinary Americans has not been increased.Neither the social disparity nor social inequality has been improved by the economic recovery.Meanwhile, the middle class is shrinking.Thus, the US government should adjust its social policies.Nonetheless, it is difficult to pass or carry out these social policies because of the current political polarization.

Keywords: Economic Recovery; Social Disparity; Social Policy; Political Polarization

21　Debating SCA-5: The New Development of Affirmative Action in California

　　【Fan Yongpeng】／366

Abstract: The California Senate Constitutional Amendment No.5 was introduced by Senator Edward Hernandez to the California State Senate on December 3, 2012 and was passed in the Senate on January 30, 2014.The SCA-5 aims to eliminate California Proposition 209’s ban on the use of race, sex, color, ethnicity, or national origin in recruitment, admissions, and retention programs at California’ public universities and colleges.Because of the strong public reaction, especially from Chinese American Communities, Assembly Speaker John Pérez referred the measure back to the Senate on March 17, 2014.From Proposition 209 to SCA-5, the State of California has been on the forward position of the evolution of Affirmative Action.Proposition 209 was the first state legislature which ended AA in public high education and SCA-5 was the first initiative against such legislatures in the U.S.The public debates over SCA-5 reflect a deep ambivalence about AA in American society as well as new challenges in California politics, especially those brought by the increasing ethnic diversity.

Keywords: American Politics; California; SCA-5; Proposition 209; Affirmative Action

22　Cause and Effect of the Spread of Marijuana Legalization in the U.S.【Gao Yingdong】／381

Abstract: Since the beginning of this century, the movement to legalize marijuana in the U.S.has spread quickly.By the end of 2014, of all the 50 states, 23 states and Washington D.C.had issued the act of marijuana legalization or completed referendum.The success is hitherto unknown.The occurrence of this situation is a result of prevailing liberalism, troublesome local finance, and more conflicts in the political and judicial systems, etc.The marijuana legalization is a major breakthrough on the federal prohibition of drugs.It will be made possible to legalize all drugs.In that sense, it may destroy the legal and moral consensus achieved through anti-drug campaigns over half a century.It may also bring heavy losses to the global drug control.The current situation shows that marijuana legalization is a process that is hard to reverse.It seems that the only way out is to make concessions on the side of the federal government and to allow the Congress to amend the existing legislation over the prohibition of marijuana so as to reach a compromise with the states which have legalized marijuana.

Keywords: American Social Problems; Drug Control Policy; Marijuana Legalization; Recreational Marijuana; Medical Marijuana

The book gives a systematic review of the major events in domestic and foreign affairs, and contextualizes the main policies from the perspectives of politics, economy, society and diplomacy, and foreign relations. Contributors give an analysis of the political apathy and asymmetric action in politics; the state of economy on the whole; intensified social conflict, strategic contraction and regional security in 2014.