{
"authors": [
"Alicia Phillips Mandaville"
],
"type": "other",
"centerAffiliationAll": "",
"centers": [
"Carnegie Endowment for International Peace"
],
"collections": [],
"englishNewsletterAll": "",
"nonEnglishNewsletterAll": "",
"primaryCenter": "Carnegie Endowment for International Peace",
"programAffiliation": "",
"programs": [],
"projects": [],
"regions": [
"North America",
"United States"
],
"topics": [
"Economy",
"Foreign Policy"
]
}
Source: Getty
If fragility is defined as the absence or breakdown of the social contract between a state and its citizens, then any effort to address fragility must also consider fragility’s economic underpinnings.
Source: Fragility Study Group Policy Brief
Policymakers are increasingly attuned to the security implications of state fragility. Whether we worry that the state in question is unable to prevent localized conflict from spilling over borders, inadvertently providing a safe haven for violent actors through lack of territorial control, or increasing the risk of epidemics as a result of inadequate medical response, most of the policy community’s focus on fragile states begins with a security concern. However, if fragility is defined as the absence or breakdown of the social contract between a state and its citizens, then any effort to address fragility must also consider fragility’s economic underpinnings.
In looking for ways to make economic assistance effective in fragile states, the question arises of whether a major innovation of U.S. economic assis-tance of the past decade—the economic compact model pioneered by the Millennium Challenge Corporation (MCC)—might usefully be applied. The answer is yes, but not in all fragile states, and only if we learn the full lessons of what MCC’s experiment can teach us about the compact approach to eco-nomic development.
Alicia Phillips Mandaville is the vice president for Global Development at InterAction.
Alicia Phillips Mandaville
Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.
Across Asia, China is better positioned to withstand energy shocks from the fallout of the Iran war. Its abundant coal capacity can ensure stability in the near term. Yet at the same time, the country’s energy transition away from coal will make it even less vulnerable during the next shock.
Damien Ma
In the latest Five-Year Plan, the Chinese president cements the shift to an innovation-driven economy over a consumption-driven one.
Damien Ma
Malaysia’s chairmanship sought to fend off short-term challenges while laying the groundwork for minimizing ASEAN’s longer-term exposure to external stresses.
Elina Noor
For Malaysia, the conjunction that works is “and” not “or” when it comes to the United States and China.
Elina Noor
In July 2025, Vietnam and China held their first joint army drill, a modest but symbolic move reflecting Hanoi’s strategic hedging amid U.S.–China rivalry.
Nguyễn Khắc Giang