In the waning days of the Clinton administration, the momentum for engagement with North Korea, building from the earlier agreement to freeze its nuclear program and a moratorium on ballistic missile launches, accelerated to the brink of full-scale normalization of relations. The U.S. presidential election in 2000 brought that diplomatic freight train to an abrupt halt.

Will the 2008 election bring yet another dramatic change in U.S. Korea policy?

The answer, based on the published positions of the two candidates and conversations with his senior Asia policy advisors, seems to be NO. There are important differences of emphasis in the approaches of both candidates, which I will discuss, but the bottom line is that both men are likely to pick up where President George W. Bush leaves off.

There are two fundamental reasons why U.S. policy toward Korea – and more broadly in Northeast Asia --- will not change dramatically. First, Asia will continue to suffer from a deficit of presidential attention. The arc of crisis – Iraq, Iran, Afghanistan and Pakistan -- will necessarily still command, as it has for almost 8 years, the attention of senior American policymakers. Even that will have to fight for space with the growing global financial crisis.

Second, both candidates agree on the broad outlines of an Asia policy, one that does not depart radically from the one pursued by the Bush administration. As a senior McCain advisor put it to me: “There is not a huge difference on Asia between Obama and McCain.” Privately, Obama advisors also stress that there will not be a huge break with current U.S. policy.

Both campaigns are critical of the lack of attention paid to Asia and the need for the U.S. to be more proactive to strengthen existing alliances and to join the discussion about new forms of regional integration. Both candidates support the need to engage, rather than confront, a rising China. Both men call for the U.S. to pay more attention to management of our alliances with South Korea and Japan. And both Obama and McCain support the North Korean nuclear negotiations carried out by President Bush in his second term, although privately both campaigns are critical of the deal that has been struck.

If there are differences, they can be found in two areas – support for the Korea US free trade agreement and the willingness to directly engage North Korea and its regime.

Free Trade and the KORUS Free Trade Agreement

If there is one single issue regarding Korea on which Senators Obama and McCain clearly part company, it is the future of the free trade agreement negotiated with the Bush administration. Senator McCain is an unambiguous supporter of the FTA, not only as a trade pact but also as a symbol of the broader partnership between the U.S. and South Korea.

Senator Obama also supports free trade but is critical of this and other agreements, such as NAFTA, for failing to ensure market access and the protection of labor rights and the environment. Privately, Obama’s advisors understand the symbolic value of the FTA to the alliance, but they plan to ask Seoul to reopen talks on market access, particularly for the automobile industry. Their position reflects the importance of trade unions and the role of some key states – Michigan most of all – in the election outcome. Even if Obama loses, the Democrats are likely to strengthen their control of Congress, making approval of the FTA difficult under any circumstances.

Negotiating with Pyongyang: Back to the Future?

Both the McCain and the Obama camps publicly back the Bush administration’s negotiations with Pyongyang, but both are also privately critical, though for different reasons.

The Obama team is heavily populated by former Clinton administration officials who were involved in the negotiation of the 1994 Agreed Framework with North Korea. They see the current deal as an inevitably flawed bargain, the result of the refusal of the administration to seriously engage the North directly until it had crossed the red line of nuclear weapons testing. With little leverage, not least the credible threat of coercion, we are left with containing the plutonium production of the North, and hoping that a grand bargain down the line can yield full denuclearization.

Obama recognizes the need for “close coordination and consultation with our allies South Korea and Japan,” as one of his advisors put it in a published interview, and supports continuing the Six Party Talks. But the emphasis is clearly on direct talks with North Korea, though conducted with a principled toughness that the Bush administration has not exhibited in its final months in office.

That readiness to conduct direct negotiations, up to conclusion of a peace treaty with Pyongyang and full normalization of relations, is where the two candidates part company. The Republican nominee is clearly uncomfortable with direct dealings with Pyongyang – his position resembles the first term of the Bush administration more than the second in that respect. His advisory team combines realists, mainly veterans of the Powell State Department, and neoconservatives, reproducing the divisions that thwarted coherent policy-making in that first Bush term.

In the end, the views of McCain himself may be decisive. He was an opponent of the Agreed Framework, an agreement he characterized as “appeasement.” He maintained this stance into the Bush administration, vocally opposing any direct negotiations with the North Koreans as long as they maintained the right to develop nuclear weapons. He has been critical as well of the main deal struck by President Bush in his second term – “I didn’t believe in the KEDO agreement that President Clinton made and I don’t believe in this one,” he said in January.

McCain, according to an interview with one of his senior Asia advisors, would “seek a return to the core principles of denuclearization known as CVID, or complete, verifiable, irreversible, dismantlement.” The demand for CVID was the watchword of the Bush administration’s earlier stance, in effect a call for Pyongyang to abandon its nuclear option as a first step. But that demand was dropped after Pyongyang called the Bush administration’s bluff by exploding a nuclear device in October, 2006.

McCain also wants to “broaden our policy goals related to North Korea” beyond nuclear issues, to including human rights, economic and political reform, and reduction of the conventional military threat from North Korea, goals also set out at the outset of the Bush administration. McCain has repeatedly referred to the North Korean regime, and its leader, Kim Jong Il, in harsh terms and embraced a policy of “rogue state rollback.”

Realistically, however, McCain offers no credible, practical means to reach these goals. He reserves, as does Obama, the option to use force. But concretely he comes back to the strategy of pressing China to bring North Korea to heel. Unfortunately the Bush administration also relied on China and found there were clear limits to Beijing’s ability to control or its willingness to press its North Korean client. In the end, McCain may have little option but to follow Bush to Pyongyang’s doorstep.

One Caveat – Events Matter

Despite the powerful impetus to maintain continuity in U.S. policy toward the Korean peninsula, no matter whom is elected in November, there is one important caveat to keep in mind – events matter. Unplanned, and unforeseen, developments could force Korea to the top of the President’s agenda. Already we have seen the reports of Kim Jong Il’s serious illness trigger fresh concerns about a possible collapse of political authority in Pyongyang. A simultaneous rush by China, South Korea and the United States to fill a vacuum of power in the North could upset all calculations. For South Korea, and President Lee Myung-bak, it is always best to prepare for the unexpected.

Two countries with a common and ancient civilization, India and Pakistan, celebrated 60 years of independence from colonial rule this week. At the time of independence, both countries were in danger of collapsing from internal and external threats. This greatly influenced both countries' subsequent turn toward centralism - in India's case, statism, and in Pakistan's case, army rule.

For four decades, both statism and army rule seemed irreversible. This was despite failures across the board: In both countries, territory was lost and the economy stagnated. Resources were spent on developing nuclear weaponry and on dealing with the Kashmir insurgency, which was fostered by Pakistan and repressed by India. What was left was often wasted through corruption. By 1990, it was common for Pakistan to be labeled a failed state and India, perhaps more damningly, a failed democracy.

Pakistan's army and feudal landlords, who shared political power via an informal coalition throughout the first 40 years, deserve most of the blame for Pakistan's failures. They carved up the economy among themselves, and let the poor survive by growing food and providing simple services to the rich. India's greater failures hid these strategies from national or global attention. Pakistan even overtook India for a while until Zulfikar Ali Bhutto's nationalizations of the 1970s brought them on par again.

Pakistan, a day older than India, but with an even younger population, seems to have aged more poorly over the past two decades. As the Indian economy picks up speed on the back of the 1991 reforms, India is on its way to becoming a global player in services and acquiring as formidable a reputation as China for job creation. The IT sector alone creates three new jobs every minute of each working day. In the four statistics that really matter - literacy, life expectancy, infant mortality rates and the female-to-male ratio - only in the last does Pakistan perform better than India and that, too, marginally. In the others, it is substantially worse.

There is no single reason for Pakistan's poorer performance. It turned as reformist as India in the 1990s. This has benefited some parts of its economy. For instance, the country adds over 2.5 million new cell phone users each month, or 1 for every second of the day. Though below India's rate of 2.7 new cell phone users per second, it is a much better ratio to the population.

Religious fervor is often accused, but has not - in either the subcontinent's history or in Pakistan's shorter one - been a barrier to development. Despite incidents such as led to the recent siege of the Red Mosque in Islamabad, theocratic parties have never received more than 15 percent of the popular vote - and that was three decades ago. Evidence within all the countries of South Asia provides proof of the proposition that the poor, regardless of faith or ethnicity, seek the means of development, particularly the acquisition of education. Muslims are no exception to this proposition. For instance, the first administrative district to reach 100 percent literacy in the subcontinent was the Muslim-majority district of Malappuram in the Indian state of Kerala.

Finally, one cannot simply blame performance on Pakistan not being a full democracy. The world abounds with more failed than successful democracies, while China provides the most stunning counterexample of a successful dictatorship. Pakistan's current state of governance - in which the military, the courts and parliament share power and the press is relatively free - has been achieved through decades of negotiation and may well be the best framework given its current stage of political maturity.

Yet, there is one difference that may be the real reason for Pakistan's backwardness, and it is now becoming evident - again, by comparison with India. It is linked to bad governance but does not always follow from the democratic tradition. The difference is, in a word, freedom. India provides a good example: The government used to decide how resources were spent, leaving citizens with few choices on careers, education and lifestyles - on participation in their nation's growth. Since the 1990s, the Indian state has worked hard to give its citizens more freedom. The result is an invigorated India.

Pakistan, meanwhile, has moved slowly on freedom. The state has withdrawn from the economy, but now grants favors selectively to the private sector, with the inevitable corollary of massive corruption and loss of freedom of action.

This suggests that Pakistan is only a crucial freedom step away from success. In reality, the immediate future does not look promising because the country's citizens do not have the political will to achieve real change. It is a sad commentary that Pakistan's choices for the next cycle of political rule look like bad ones: the continuation of the present system of quasi-military rule or its replacement with the destructive feudal forces that Benazir Bhutto and Nawaz Sharif represent. Surely, Pakistan's citizens deserve much better - something worth pondering as their nation celebrates turning 60.

Reprinted with permission by The San Jose Mercury News.

To read the seismic signal sent from an abandoned coal mine in the mountains of North Korea's coast, you must first recognize that it represents four major failures, two grave dangers, and one big opportunity.

The apparent explosion of a nuclear device, coming after two decades of trying to stop North Korea from achieving this goal, is a manifest failure of policy on four fronts -- a failure of U.S. nuclear non-proliferation policy, a failure of international diplomacy, a failure of Chinese leadership and a failure of South Korea's strategy of engaging the North.

Having failed so completely, the world now faces two grave dangers. The first is the very real threat of war on the Korean Peninsula, triggered by a series of escalatory actions in the wake of the bomb test. The second is the danger that North Korea will proliferate its nuclear technology, materials or know-how to others -- not the least to another nuclear hopeful, Iran.

But there remains a lone and tenuous opportunity. Having removed all ambiguity about its nuclear ambitions, North Korea may finally have created a common sense of threat that will galvanize the kind of concerted international action that so far has been absent.

THE FOUR FAILURES

Non-proliferation failure

The United States has spent two decades trying to stop North Korea from going nuclear, a turbulent period of crisis and negotiation that even went to the brink of war. At least three administrations confronted this problem and none, certainly not the Bush administration, can escape blame.

North Korea agreed to sign the Nuclear Non-Proliferation Treaty (NPT) in 1985, but it stalled before signing an agreement with the International Atomic Energy Agency (IAEA) in 1992 to place its nuclear facilities under international safeguards and inspections. During that time the North Koreans reprocessed some spent fuel from their reactor into plutonium - an amount that American intelligence believes was enough for building one or two warheads.

North Korea's resistance to full inspections, while it kept pulling spent fuel rods out of its reactor, provoked a crisis in 1994 and led the Clinton administration to ready military forces to strike the North's nuclear facilities. In a last-minute deal, North Korea froze its reactor and reprocessing facilities, effectively halting plutonium production under IAEA supervision. In exchange, the United States, Japan, South Korea and others agreed to construct two light-water reactors for North Korea and to supply fuel oil until the reactors came online.

The deal was troubled from the start. Neither party was satisfied with the compromise or the way it was to be implemented. By the late 1990s, the North had begun a secret effort to acquire uranium-enrichment technology from Pakistan and, in 1998, tested a long-range ballistic missile. Despite this, the plutonium freeze remained in place. But it did not survive the Bush administration.

The Bush administration came into office challenging the value of the agreement and froze contacts with the North. After receiving intelligence showing moves to build enrichment facilities, it confronted North Korean officials at an acrimonious meeting in Pyongyang in October 2002.

The United States halted fuel shipments a month later, and, in early 2003, the North Koreans expelled IAEA inspectors and withdrew from the Non-Proliferation Treaty. They proceeded to reprocess the fuel rods they had stored for a decade, producing enough plutonium, intelligence estimates say, for four to six nuclear warheads. In February 2005, the North Koreans announced they had manufactured nuclear weapons. Last week, they apparently made good on that declaration.

Blame aside, North Korea's emergence as the world's ninth nuclear power may be the most serious failure in non-proliferation history. Unlike India and Pakistan, which remained outside the system of international treaties, North Korea acted in defiance of those controls. Who might be next?

Diplomatic failure

Unlike Iraq, the attempt to stop North Korea's nuclear program has relied on the tools of diplomacy, accompanied by economic incentives and coercive sanctions.

But serious questions have been raised from the start about the sincerity and methods of the diplomatic efforts, particularly on the part of the United States and North Korea. The Bush administration has insisted -- and the president continues to make this argument -- that direct talks with North Korea do not work. Pyongyang has tried to frame everything as an issue with Washington, undermining talks that involved others, including South Korea.

Bush's stance lends credibility to those who charge the administration seeks "regime change," not a compromise that it believes will lend legitimacy to Kim Jong Il. The North Koreans now appear to have used the talks to buy time and build bombs.

Diplomacy has, at American insistence, consisted of six-party talks, held under Chinese auspices and including both Koreas, Japan and Russia. In truth, little real negotiating went on at these gatherings, at least until the last full round of talks in September 2005. In contrast to the thousands of hours of negotiations between Americans and North Koreans that led to the 1994 deal, there have been only tens of hours of actual give and take.

It is intriguing that the September agreement on a statement of principles for denuclearization came only after the State Department's chief negotiator was finally allowed to talk to his North Korean counterpart at length. Even then, their agreement evaporated almost immediately as they dueled publicly over the deal's meaning. American financial sanctions against North Korean currency counterfeiting further clouded the atmosphere, and direct contacts ground to a halt.

China's failure

The North Korean nuclear crisis is also a failure of China's bid for regional, if not global leadership. North Korea is an ally of China, a relationship that goes back more than half a century to the Korean War, when Chinese "volunteers" poured across the border to prevent an American victory. Their relationship has become more difficult since China embarked on market reforms while North Korea clung to its peculiar brand of Stalinism.

China has been torn between its loyalty to Pyongyang, its desire to maintain a stable balance of power in the region and its fear that the North's nuclear ambitions could provoke conflict on its borders. By becoming host for the six-party talks, Beijing stepped into an unusual leadership role.

The Bush administration was eager to move the burden of the North Korean problem onto the Chinese. Some administration hard-liners argued that China had the power to trigger the collapse of Kim Jung Il's regime by cutting off energy and food supplies.

Time and again, Beijing dragged the North Koreans back to the negotiating table, while also pushing Washington to engage Pyongyang in the talks. But Chinese irritation over American inflexibility has now been trumped by North Korea's defiance. Chinese policy-makers now wonder how they can punish the North without creating chaos, or war.

Failure of engagement

The final failure lies on the doorstep of South Korea's 10-year-long policy of engagement. The "sunshine policy" asserted that the North could be induced to give up its nuclear option by opening up the isolated communist state and promoting the forces of Chinese-style reform.

After a historic summit meeting in 2000, South Korean aid and trade, even tourists, flowed into the North. South Koreans lost their fear of a former foe, seeing it more as an impoverished lost brother than a mortal threat. Tensions with their American allies rose because of a gap in the North's perceived threat. The United States wondered why its troops should continue to defend South Korea.

Now South Koreans must confront the possibility that the North may have used engagement only to buy time.

THE TWO DANGERS

Threat of war

With eyes on Iraq and the Middle East, the Korean Peninsula has been far from the center of American attention. American forces based in South Korea and Japan have been dispatched to Iraq.

Yet the demilitarized zone that separates the two Koreas remains the most militarized frontier on the planet, with hundreds of thousands of well-armed soldiers poised against each other. Clashes along that frontier used to be commonplace and there are signs of a renewal of tensions. The danger of unintended escalation cannot be dismissed.

What might happen if a U.S. naval vessel, moving to inspect a North Korean freighter - as the U.N. resolution may authorize - is fired on or even captured, as the USS Pueblo was in 1968? It is a frightening scenario already worrying some at the Pentagon and the State Department.

Risk of proliferation

More than anything else, American policy-makers fear that North Korea, emboldened by its nuclear success and perhaps desperate for funds amid economic sanctions, might sell its nuclear expertise to Iran and others, including terrorist groups.

For Pyongyang, an alliance with Iran is a logical response to American and global pressure. The North Koreans have sold ballistic missiles to Tehran since the 1980s and rumors of nuclear cooperation persist.

An American effort to interdict the movement of ships and planes to Iran -- with possible U.N. backing - is probable. But the most likely transit is across the long and loosely controlled land border with China. The amount of plutonium needed to make a warhead is the size of a grapefruit and hard to detect - creating yet another nightmare scenario.

THE OPPORTUNITY

In this otherwise bleak landscape, there is an opportunity. For the first time, there is a chance of a consensus among the key players -- China, Japan, South Korea, Russia and the United States. The passage of a U.N. resolution is a small step in that direction. But the real test will come next, as the nations must cooperate to put pressure on North Korea, while coolly navigating the perils of war and making sure to leave open a diplomatic exit.

There is a slim chance of such concerted action, and a limited window for achieving it. Not everyone sees the dangers the same way. Signs of rethinking errors of the past are no more evident in Beijing and Seoul than they are in Washington or Tokyo. Ultimately, however, if they are to seize this moment of opportunity, all parties must face up to the fact that the policies of the past have failed.