The British economist David Ricardo advocated for comparative advantage. This theory posits that when a country trades goods where it holds a comparative advantage over another, both nations benefit.
However, there's a problem with this theory: the speed of technological accumulation varies significantly between different types of goods.
Semiconductor capacity increases exponentially, but however much agricultural technology advances, banana production increases only arithtically. As ti passes, nations exporting semiconductors gain an advantage, while those exporting bananas fall behind.
The US and Russia are resource-rich nations, abundant in oil and gas. Nevertheless, they are renowned as nuclear powerhouses and continue to build nuclear power plants dostically. Is this rely because of nuclear weapons?
Similar to the earlier point, thermal power generation and nuclear power generation have different speeds of technological accumulation. Thermal power generation fundantally involves burning fossil fuels like coal or gas, so there are clear limits to its future technological advancent.
However, nuclear power generation has evolved through generations. If the Traveling Wave Reactor (TWR) is comrcialized, it could boost generation efficiency by tens of tis or more compared to current levels. Since spent fuel rods from light-water or heavy-water reactors can be recycled, fuel costs can be considered virtually zero.
There was a ti when OPEC wielded oil resources as a weapon to sway the global economy. The two oil shocks caused by OPEC devastated the global economy, but orchestrating such an event has now beco impossible.
“Over the past few decades, technology has advanced dazzlingly in every field, and world-class companies have erged in developed and erging nations. But the countries that sold oil are still just selling oil. Russia’s Gazprom remains a global giant. But for how long?”
A resource-dependent economy suffers a major blow if resource prices fall or resources are depleted. Indeed, following the US shale revolution, oil and natural gas prices have been on a continuous decline. Additionally, the adoption of electric vehicles and the generation of renewable energy are rapidly expanding.
“The hegemony in energy is already shifting elsewhere. If Russia simply stands still, it will increasingly fall behind on the world stage.”
President Vysotsky leaned back and clasped his hands.
“If developing the Traveling Wave Reactor is necessary, Russia is perfectly capable of funding it itself.”
“Well, you are welco to do so. Russia isn’t the only country with the technology to build a Traveling Wave Reactor, after all.”
This was a bluff.
The precognition I saw was that Professor Petrov’s experint would succeed. But the person opposite didn't know this.
“Then why co to Russia first, instead of approaching them?”
“Firstly, because I empathize with Professor Petrov’s vision.”
“And secondly?”
“I am considering expanding into Russia, using this cooperation as a starting point.”
Although OTK Company lacks nuclear power technology itself, it owns companies with top-tier technology in other fields.
“Starting with the Traveling Wave Reactor project, I hope to cooperate with Russia in various fields.”
In other words, without cooperation on the TWR project, there would be no other cooperation.
“There’s no guarantee when the experint will succeed, is there?”
“Even if it fails, there’s nothing to lose. But there will be much to gain in the process.”
I was footing the bill anyway. And the re fact that I, Kang Jin-hoo, invested would significantly promote Russian nuclear technology.
From Russia's perspective, it was a deal with no downside.
President Vysotsky’s official assets were ‘only’ tens of millions of dollars. However, rumors suggested his actual wealth exceeded $200 billion.
Naturally, this wasn't wealth accumulated by diligently saving a civil servant's salary, but rather a hefty sum secured during the privatization of state-owned enterprises and the crackdown on oligarchs.
It was an open secret that he held shares in Gazprom and Rosatom under borrowed nas. If the TWR developnt succeeded, his assets would also increase significantly.
Therefore, joining hands with benefited both Russia and him personally. That must be why he was showing such interest.
President Vysotsky continuously scanned my expression with cold eyes.
“Do you think Russia needs help?”
“Isn’t it true that it’s facing difficulties due to sanctions?”
At those words, his expression hardened.
“Russia is not so laughable country that would yield to Western sanctions.”
“I know that.”
Indeed, sanctions against Russia were entirely different in nature from those against Iran or North Korea.
No country wants to antagonize a nation possessing nuclear weapons, ICBMs, and a permanent seat on the UN Security Council.
A strong sense of intimidation emanated from his eyes and expression. The person before was the leader of Russia. And Russia is a superpower standing shoulder-to-shoulder with the US and China.
He could move the vast country of Russia with a flick of his finger. That was the power he possessed.
Then what was my power?
Money, of course. If I didn't have money, I wouldn't even be facing him like this in this place.
“But no citizens would welco a falling ruble, job losses, and rising inflation, would they?”
Max Weber explained the legitimacy of rule in three ways. But however ruling power is acquired, the most important factor is the economy.
Even as a dictator, he could not ignore the economy. No, precisely because he is a dictator, he must pay even closer attention to it.
When the economy struggles, public discontent grows. Falling approval ratings inevitably beco a burden for maintaining long-term rule.
President Vysotsky stared hard at with a stiff expression, and I t his gaze as calmly as possible. Just eting his eyes felt draining.
Soone help .
Just as I was thinking that, Taek-gyu, who had been silent until now, spoke.
“All successful presidents succeed for similar reasons, but every unsuccessful president fails for their own unique reason.”
“……”
What is he suddenly talking about?
But at that mont, President Vysotsky burst into laughter.
“Phahaha!”
He laughed so loudly that the interpreter beside him was startled.
After a mont, he stopped laughing and asked.
“Do you like Anna Karenina?”
A look of panic flickered across Taek-gyu’s face.
I could read his eyes.
‘Who’s that?’
I shot him an intense look.
‘It’s a book, a book! I said it’s a book!’
This guy clearly hadn’t read the book and just picked up the line from ani or sothing.
Though he seed clueless, Taek-gyu nodded confidently.
“Of course. I love it. Who in the world could dislike Anna Catalena?”
“……”
It’s Karenina! Who the heck is Catalena?
Perhaps thinking it was a pronunciation issue, President Vysotsky didn't notice. He nodded with a satisfied expression.
“Indeed. Anna Karenina is a perfect work of art. Anyone who dislikes it doesn't understand life, I'd say.”
Taek-gyu continued bluffing without changing his expression.
“That’s right. Anna Catalena is life, and life is Anna Catalunya.”
“……”
What's Catalunya now? Barcelona?
“A good friend.”
Suddenly, the atmosphere turned amicable.
President Vysotsky asked kindly.
“Have you both had dinner?”
“We haven’t even had lunch yet.”
Because soone scheduled the eting right at lunchti and then showed up late themselves.
“Haha, my apologies then. Let's leave the practical details to the staff and have dinner together with a shot of vodka, shall we?”
***
The news that Kang Jin-hoo was eting President Viktor Vysotsky at the Kremlin quickly spread worldwide. There was no need to dig for information, as Russian dia continuously reported it as major news.
The next day, President Vysotsky and Kang Jin-hoo signed an MOU in front of assembled Russian and foreign journalists.
The scene of the two sitting side-by-side, signing docunts, and then shaking hands was broadcast by dia worldwide.
[Russia to Cooperate with OTK Company in Nuclear Sector]
[Kang Jin-hoo ets with Russian Business Leaders]
[OTK Company Decides to Invest in Traveling Wave Reactor Experint!]
[Traveling Wave Reactor: Next-Gen Nuclear Tech Improving on Existing Plant Issues...]
[Details Being Negotiated with Rosatom]
[What Impact Will Kang Jin-hoo's Investnt Have on the Nuclear Industry?]
There's a term called the "OTK effect."
Coined by a Wall Street Journal (WSJ) reporter, it signifies that companies invested in by OTK Company achieve great success, exerting enormous influence across their industry.
Therefore, by watching OTK Company's investnts and investing in related companies or industries, one can potentially profit. Indeed, several investnt firms have employed this strategy.
Once OTK Company's investnt was decided, attention instantly flooded towards the nuclear power industry and the Traveling Wave Reactor.
Other companies didn't sit idly by.
gaPower requested permission from the US governnt to push ahead with experints within the US, while Chinese and French nuclear firms announced plans to develop the technology independently or form consortia.
The repercussions also reached South Korea. Controversy imdiately ignited over the governnt's ongoing nuclear phase-out policy.
***
OTK Company's working-level team and Golden Gate entered negotiations with the Russian Ministry of Energy and Rosatom.
Rosatom established a subsidiary, Rosatom TWR, for the developnt and comrcialization of the Traveling Wave Reactor, and OTK Company invested $1 billion for a 36 percent stake. Furthermore, it was agreed that OTK would continuously provide separate funding depending on future additional experintal needs.
In other countries, administrative procedures like site acquisition, environntal assessnts, and suppressing local opposition would likely take over a year. But in Russia, things proceeded at lightning speed.
The original TWR developnt plan had been scrapped just before the experintal stage, but the site's infrastructure was already completed. Even though a formal contract hadn't been finalized, construction of the experintal reactor began imdiately on the site. Local opposition... was officially treated as non-existent.
I stayed in my hotel and watched the news. Reactions varied.
Russia welcod it, attributing everything to President Vysotsky's efforts bearing fruit and crediting him entirely. The US watched the situation closely, while the EU expressed concern that sanctions might crumble.
Hyun-joo noona stayed in constant contact with the Russian branch, leading the negotiations, while Ellie handled legal matters with Russian legal experts.
I received a call from Chairman Im Jin-yong.
[You've expanded into Russia already, I see.]
“It just sort of happened that way.”
[Market expansion is good, but the political atmosphere here is uneasy. It's clear that neither the Blue House nor the ruling party is pleased.]
“I've been watching the news.”
Environntal groups opposing nuclear power rose up in unison, the ruling and opposition parties engaged in fierce clashes, and the National Assembly fell into paralysis once again.
Still, they'll collect their salaries regularly, I bet.
I t Professor Petrov.
He was the chief researcher for this experint. He looked utterly exhausted from being summoned here and there by governnt and Rosatom officials.
Still, his expression was bright.
“Thanks to you, we can proceed with the TWR experint. I honestly wasn't sure if you would really invest.”
“What happens next depends on you, Professor.”
“Haha, I'll do my very best.”
Professor Petrov spoke as if reminiscing.
“As I ntioned before, my father built nuclear weapons. So of them were dismantled and used as fuel for power plants, but others are still stored in military bases. He always said that those weapons must never be used, no matter what.”
During the Cold War, scientists in the US and the Soviet Union built various weapons, including nuclear arms and missiles, under governnt orders. But none of them likely wished for the weapons they created to take thousands of lives.
“My father believed that the Soviet Union possessing more nuclear weapons could actually prevent war.”
This might sound contradictory, but it's true.
The developnt of nuclear weapons enabled Mutually Assured Destruction (MAD), which beca the biggest reason the superpowers avoided all-out war. And the Cold War ended naturally, without a single shot being fired.
“Another reason was his belief that the technology accumulated while developing nuclear weapons would surely prove beneficial. He believed that once peace eventually ca, nuclear power would beco obsolete, and the technology created to kill people would then be used for the benefit of humanity.”
“Indeed, it must have been that sentint that led him to conceive of the fast breeder reactor concept.”
Professor Petrov looked at us and said.
“The Traveling Wave Reactor was my father's long-held dream. I desperately want to fulfill that dream for him.”
I nodded.
“I'm sure it will happen.”
Reviews
All reviews (0)