

Lawfare Archive: A Weaponized World Economy with Henry Farrell and Abe Newman
Feb 23, 2025
Henry Farrell, a political scientist and co-author of "Underground Empire," joins forces with fellow scholar Abe Newman to unpack economic warfare. They discuss how technological advancements have transformed economic statecraft and its merging with U.S. national security objectives. The duo reveals how the U.S. has weaponized global markets, influenced by corporations and historical precedents. With insights into the complexities of legal frameworks and economic coercion, they delve into the unintended consequences on global stability, especially in the context of relations with China.
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Riston's Accidental Empire
- Walter Riston, CEO of Citibank, sought to create a global, state-free marketplace.
- His efforts inadvertently empowered US regulators by centralizing finance.
Euro-Dollar Market's Double-Edged Sword
- Riston's creation of the euro-dollar market facilitated global trade by connecting dollar supply and demand.
- This unintentionally gave US authorities control due to the necessary link to US banks.
SWIFT's Rise
- Riston's attempt to centralize financial messaging through Citibank failed due to other banks' concerns.
- This led to the adoption of SWIFT, which later became a tool for US government surveillance.