Economic Affairs
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Robert D. Hormats is the Under Secretary of State for Economic, Energy, and Agricultural Affairs.

Formerly, Mr. Hormats was the Vice Chairman of Goldman Sachs International from 1982 to 2009.

Mr. Hormats served as Assistant Secretary of State for Economic and Business Affairs from 1981 to 1982, as Ambassador and Deputy U.S. Trade Representative from 1979 to 1981, and as Senior Deputy Assistant Secretary for Economic and Business Affairs at the Department of State from 1977 to 1979. He served as a Senior Staff Member for International Economic Affairs on the National Security Council from 1969 to 1977, where he was Senior Economic Advisor to Dr. Henry Kissinger, General Brent Scowcroft, and Dr. Zbigniew Brzezinski. Mr. Hormats was a recipient of the French Legion of Honor in 1982 and Arthur Fleming Award in 1974.

Mr. Hormats has been a visiting lecturer at Princeton University and is a member of the Board of Visitors of the Fletcher School of Law and Diplomacy and the Dean's Council of the John F. Kennedy School of Government at Harvard University. He is a member of the Council on Foreign Relations and a board member of the Irvington Institute for Immunological Research, Engelhard Hanovia, Inc., The Economic Club of New York, and Freedom House.

Mr. Hormats' publications include The Price of Liberty: Paying for America's Wars from the Revolution to the War on Terror; Abraham Lincoln and the Global Economy; American Albatross: The Foreign Debt Dilemma; and Reforming the International Monetary System. Mr. Hormats' articles have appeared in Foreign Affairs, Foreign Policy, The New York Times, The Washington Post, The Wall Street Journal, American Banker, and The Financial Times.

Mr. Hormats earned a B.A. from Tufts University in 1965 with a concentration in economics and political science. In 1966 he earned an M.A. and, in 1970, a Ph.D. in international economics from the Fletcher School of Law and Diplomacy.

CISAC Conference Room

Robert Hormats Under Secretary of State for Economic, Energy, and Agricultural Affairs Speaker
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Korean Studies Program at the Shorenstein Asia-Pacific Research Center is hosting an international workshop on South Korean economic affairs on March 18-19 sponsored by Koret Foundation.  Leading scholars and former senior officials from Korea and the United States will explore key aspects of economic globalization and Korea's role, from policies and politics to the economic prospects of a unified Korean. This lecture is offered as a public event on the first day of the workshop for a larger audience from the community and the Bay area.

Ambassador Han was appointed by President Lee, Myung-bak as the new Ambassador Extraordinary and Plenipotentiary to the United States of the America on January 18, 2009. He presented his Letter of Credence to President Barack Obama on May 20, 2009.

Before the appointment, Ambassador Han served as the 38th Prime Minister of the Republic of Korea after his nomination was approved by the National Assembly on April 2, 2007, and he worked in that capacity until February 2008.

Prior to serving as Prime Minister, Ambassador Han held numerous high-ranking positions in the Korean government. In 2006, he was named Chairman of the Presidential Committee on Facilitating KORUS FTA following his service as Deputy Prime Minister and Minister of Finance and Economy. Before being named Minister of Government Policy Coordination in early 2004, he worked as President of the Korea Institute for Industrial Economics and Trade.

As Korea’s Permanent Representative to the Organisation for Economic Co-operation and Development, Ambassador Han went to Paris in 2001 before returning to Seoul later that year to serve at the Blue House, first as Senior Secretary to the President for Policy and Planning and later as Senior Secretary to the President for Economic Affairs. 

Ambassador Han was the Minister for Trade at the Ministry of Foreign Affairs and Trade from 1998 to 2001. Previously, he was Assistant Minister for International Trade and Vice Minister at the Ministry of Trade, Industry and Energy. From 1993 to 1994, he served as Secretary to the President for Economic Affairs.

During his distinguished career in government, Ambassador Han has made many contributions to the development and modernization of the Korean economy.  Deregulation, market opening and strengthening of the market economy have been the three pillars of his philosophy and framework for the economic policy of Korea.

Ambassador Han earned a B.A. in economics from Seoul National University, and an M.A. and Ph.D. in economics from Harvard University.  He has been awarded two Order of Public Service and Merit Medals.

This event is supported by a generous grant from the Koret Foundation.

Bechtel Conference Center

Duk-Soo Han Korean Ambassador to the United States Keynote Speaker
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David Lobell
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Changes in temperature due to climate change over the next few decades will put considerable pressure on crop production in already vulnerable areas of sub-Saharan Africa, states a new study from Stanford University's Program on Food Security and the Environment published this week in Environmental Research Letters. The study found that average yields for five staple crops - maize, sorghum, millet, groundnuts, and cassava -will likely be harmed by warming without successful adaptation

"In all cases except cassava, we estimate a very high (95%) probability that damages would exceed 7%, and a low (5%) probability that they exceed 27%," said co-author David Lobell, an assistant professor of Environmental Earth System Science and center fellow at the Program on Food Security and the Environment, a joint program of the Freeman Spogli Institute for International Studies and Woods Institute for the Environment at Stanford.

The findings present a surprisingly robust picture of how weather affects yields in sub-Saharan Africa (SSA) and suggest there is a real threat of large near-term impacts in this food-insecure part of the world. SSA has the highest proportion of malnourished populations in the world, with one in three people chronically hungry.

"These are very resource scarce countries," noted lead author Wolfram Schlenker, assistant professor of economics at Columbia University, "and a reliable picture of what climate change will mean for crop yields can be very useful in allocating investments."

Panel dataset approach

Up to this point, the scientific basis for estimating production risks and prioritizing investments has been quite limited. "Many approaches have been limited by a lack of reliable data on such things as soil properties, historical agricultural data, and management practices," said Lobell. "This has not inspired a lot of confidence in the estimates, and has caused many to question some high-level statements about risks of climate change to Africa. The results presented in this study are not as disastrous as some have claimed, but they are big enough to suggest that major adaptations are needed in this region."

Schlenker and Lobell utilized a different approach than had been tried, by matching country-level yields (ton/ha) with various weather measurements for 1961-2002. By combining all the countries into a panel dataset, they were able to see a much clearer signal of weather than would be possible looking at data from individual countries.

"The observational approach enabled us to measure how farmers react to weather shocks given various, shared constraints such as credit markets and lack of required inputs," said Schlenker. "This is very difficult to do with a field trial approach."

Future research and investments

The authors emphasize that the results are not predictions of what will happen, but of what the potential stakes are if we don't take the threat seriously. Varieties with greater drought and heat tolerance, improved and expanded irrigation systems, rainwater harvesting technologies, disaster relief efforts, and insurance programs will likely all be needed to foster agricultural development and adaptation to warming.

"There is arguably little scope for substantial poverty reductions in SSA without large improvements in agricultural productivity," conclude the authors. "The findings presented here suggest that this challenge will get even more difficult in a warming climate. Rather than a cause for despair, we view this as an added incentive for serious, immediate, and sustained investments in agricultural productivity in SSA."

This work was supported by a grant from the Rockefeller Foundation. The Program on Food Security and the Environment is jointly run by the Woods Institute for the Environment and the Freeman Spogli Institute for International Studies at Stanford.

 

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Marshall Burke
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Can anyone say that South Korean society and politics have become "transformed" since the 1987 democratic opening and transition? This statement is "admittedly ambitious" as a claim "because an endpoint of transformation can never be attained with certainty," the speaker argues.  After a successful democratic transition, South Korea’s next challenge lies in consolidating its democratic gains and building durable political institutions, requiring full compliance with democratic norms by all major political forces and interest groups in civil society. This on-going quest for liberal democracy, not easy for South Korea’s Sixth Republic, will be explored in Professor Kihl's presentation.

Young Whan Kihl is currently a visiting scholar in the Korean Studies Program at APARC. He is Professor of Political Science, Emeritus, at Iowa State University. Professor Kihl taught courses on International Relations, Comparative Politics, Comparative Political Behavior, and Comparative Foreign Policy at Iowa State University, 1974-2006, and served as Chair of the Department of Political Science, Juniata College, 1963-1974.  He was editor-in-chief of The International Journal of Korean Studies from 2004 to 2008 and was on the editorial advisory board of International Studies Quarterly from 1998 to 2004.  He has written numerous books on Korean politics, both North and South. Included in the list of his recent books are: North Korea: the Politics of Regime Survival, 2006 (coeditor) and Transforming Korean Politics: Democracy, Reform, and Culture, 2005.

Professor Kihl received a BA in Political Science and Economics from Grinnell College and a Ph.D. in International Politics and Organizations, Comparative Politics (Asia), and Political Behavior from New York University.

Philippines Conference Room

Shorenstein APARC
Stanford University
Encina Hall E301
Stanford, CA 94305-6055

(650) 724-5710
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2009-10 Visiting Scholar
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Professor Kihl taught courses on International Relations, Comparative Politics, Comparative Political Behavior, and Comparative Foreign Policy at Iowa State University, 1974-2006, and served as Chair at the Department of Political Science, Juniata College, 1963-1974.  He was editor-in-chief of The International Jounal of Korean Studies, 2004-2008, and was on the editorial advisory board of The International Studies Quarterly, 1998-2004.

Prof. Kihl received a BA in Political Science and Economics from Grinnell College and a Ph.D. in International Politics and Organizations, Comparative Politics (Asia), and Political Behavior from New York University.

Young Whan Kihl Visiting Scholar, Asia-Pacific Research Center, Stanford Speaker
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Jenny Aker an Assistant Professor in the Economics Department and Fletcher School of Law and Diplomacy, Tufts University, provided an overview of the welfare impacts of mobile technologies and how current research is testing our assumptions about the benefits of mobile phones for individuals in developing countries.

Mobile phones are used by some of the poorest people in the world; even at the country ranked 160 in the UN's Human Development Index, levels of adoption of mobile phones are at 50%. There are few systematic studies looking at why people adopt mobile technology, but those that exist suggest there are correlations with higher income levels, trading professions and an urban location. Mobile phone coverage across Africa is now extensive. Research shows that roll out by mobile phone companies is determined by factors including the size of population, the costs associated with terrain, quality of road access and the operating environment (whether there exists a competitive liberalized market).

Identifying the positive impact of mobiles can be difficult because they have so many uses, making assessment of costs and benefits problematic. Mobiles are also only pseudo private goods since they are often shared and benefits extend beyond the owner.  Despite these difficulties, a number of researchers have demonstrated the impact of mobile phones in the developing world. Robert Jensen's paper found that the introduction of mobiles into the fishing industry in Kerala, India resulted in reduced price discrepancies and significant welfare benefits in the form of increased profits for fishermen and reduced waste. Similarly, Jenny's own study of grain markets in Niger found that the use of mobile phones reduced price discrepancy and enhanced welfare through increased trader profits and reduced average consumer prices.

As well as these externalities from the IT sector, we are also seeing deliberate attempts to harness the potential of mobile phones, from private sector services (e.g. the provision of mobile money transfers such as M-Pesa) to non-profit development projects using mobiles in diverse contexts including health, governance and market information. Jenny is currently working on a project that will examine how mobiles can improve literacy in Niger. A pilot of Project ABC over the next three years will assess how access to mobile phones can complement traditional literacy lessons by giving people the chance to practice their literacy skills via SMS. Early results suggest significantly higher performance in literacy testing by groups using mobile phones.

If mobiles have genuine welfare impacts then ensuring access becomes a key policy concern. Jenny highlighted the importance of continuing liberalization of telecoms markets in Africa, maintaining fair and transparent legislation and reconsidering ICT taxes (in some countries mobiles are taxed as a luxury good). But while mobiles can enhance the delivery of and access to resources and information, we should be wary of viewing them as a development panacea since they cannot replace basic infrastructure investments such as power and roads.

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