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47 Int'l J. 265 (1991-1992)
Co-Developing the FSX Fighter: The Domestic Calculus of International Co-Operation

handle is hein.journals/intj47 and id is 275 raw text is: DEBORA SPAR

Co-developing the FSX fighter:
The domestic calculus of
international co-operation
THE PUZZLE OF THE FSX
In November i988 the United States and Japan formally agreed
to co-operate in the development and production of a new breed
of aircraft, a sophisticated fighter dubbed the FSX (Fighter Sup-
port Experimental). Under the memorandum of understanding
that was signed, the two sides were to collaborate on all aspects
of the aircraft's development, sharing the revenues, the risks, and
virtually all of the technology. Barring technical difficulties, the
agreement provided for the 'co-development' of Japan's next gen-
eration of fighter aircraft, with production to commence in
1997. In many respects, the FSX agreement was a classic case of
co-operation for mutual gain. The agreement promised to
strengthen an alliance that both sides deemed critical, to
enhance the security of the Pacific region, and to provide both
countries with cutting-edge technology. In addition, co-develop-
ment was attractive because it was, to a large extent, merely an
extension of a co-operative relationship that had existed since
the end of World War II.'
The specific decision to co-operate on the FSX is not, there-
Assistant Professor, Graduate School of Business Administration, Harvard
University, Boston, Massachusetts.
i Soon after the United States dismantled Japan's aircraft industry, American
firms began transferring technology to Japan and entering into technical
partnerships with Japanese firms. For a description of some of these early
arrangements, see David C. Mowery, Alliance Politics and Economics:
Multinational Joint Ventures in Commercial Aircraft (Cambridge MA: Ballinger
1987), esp. 52-6.

International Journal XLViI spring 1992

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