Let's get something straight here. Are we seriously dragging the discussion about this Embargo into the economic domain? God's sake, Freelancer is a very imperfect game and we are trying to roleplay the leaders of what is essentially millions of people, in our spare time with whatever imagination and thoughts we can come up with.
But since we're discussing economics, let's get a simple axiom together. Economic activities flow both ways. Kusari supplies raw materials to liberty, and it also provides a huge ready market for liberty made goods. Someone here made an argument about Kusari businesses losing money and creating an unemployment crisis. in theory, Liberty will go through the larger of the crises in time, because they have lost a huge market. But since the embargo is only for a couple of goods, the effects are very restricted. So economic factors are not a huge consideration for either house.
Kusari is not a parliamentary state. If Carina wanted to get something done, the best she could hope for is that the party in power will agree with her opinion and get the required bills passed et cetera. However, Kusari's Emperor, in a symbiotic relationship with Samura, the larger of the Kieretsu exercises a very real control over Kusari politics. If we allow for the personality and power of the Emperor, and the bad PR that Samura and Kishiro will probably be getting because of news-mongers screaming Supplying those people who kill our brave pilots or something along those lines.
So I think that this decision did not actually effect the current balance of power much. Long term, there will be effects, but seriously...are we going to play this game for a long term?