Economic Affairs
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This event is co-sponsored by the Consulate General of Japan, San Francisco and the US-Asia Technology Management Center, Stanford University

The United States ushered in new leadership at the same time as an economic crisis swept over the globe. Responding to today’s crisis is an urgent task, but we simultaneously face the question of what kind of world order to create after the crisis. What is Japan’s core orientation as it looks to the future? Can America resume its role as moral leader once again?

About the Speaker

Yotaro Kobayashi is former Chairman of the Board, Fuji Xerox Co., Ltd. and serves on the boards of Callaway Golf Company, Nippon Telegraph and Telephone Corporation (NTT), American Productivity & Quality Center (APQC) and Sony Corporation. He is also the Pacific Asia Chairman of the Trilateral Commission, Chairman of the Aspen Institute Japan, and Chairman of International University of Japan.

After receiving his B.A. in economics from Keio University and his M.B.A. from the University of Pennsylvania’s Wharton School of Finance and Commerce, he joined Fuji Photo Film Co., Ltd., in 1958 from where he was assigned to Fuji Xerox Co., Ltd. in 1963. He became President and CEO in 1978, and Chairman and CEO in 1992. He served as Chairman of the Board from 1999 till March 2006 to become Chief Corporate Advisor in April the same year, and retired from that position in March 2009.

Mr. Kobayashi was awarded the Medal with Blue Ribbon (Japan) in 1991, the Insignia of Commander First Class of the Royal Order of the Polar Star (Sweden) in 1995, and the Royal Norwegian Order of Merit (Norway) in 1997.

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Yotaro Kobayashi Former Chief Corporate Advisor and Chairman of the Board Speaker Fuji Xerox Co., Ltd.
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Kenneth Arrow, a member of the CISAC Executive Committee and one of the most respected and admired living economists in the world, will be in conversation with John Shoven, the Charles Schwab Professor in Economics, Director of the Stanford Institute for Economic Policy Research, and Senior Fellow (by courtesy) at the Hoover Institution. A pioneer in the application of mathematics to the science of economics, his theory of economic equilibrium and his welfare theory provide the foundations for much of the practice of economics today. His work has earned him both a Nobel Prize in Economics (1972) and a National Medal of Science (2004).

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Kenneth J. Arrow Speaker
John Shoven Commentator
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FSI's Program on Energy and Sustainable Development (PESD) is pleased to announce the selection of a new director, Frank Wolak, who is Holbrook Working Professor of Commodity Price Studies in the Department of Economics and FSI Senior Fellow.  Professor Wolak brings to the post a distinguished record of scholarship and deep policy experience in energy and environmental economics and regulation.

Wolak’s wide-ranging research contributions have examined energy systems both domestically and in emerging markets around the world.  He is the Chairman of the Market Surveillance Committee of the California Independent System Operator for the electricity supply industry in California and a Research Associate of the National Bureau of Economic Research (NBER), among other professional affiliations.

PESD founder David G. Victor, Professor of Law and FSI Senior Fellow, stepped down from the director position effective April 1, 2009. PESD Assistant Director Mark C. Thurber will take over as acting director until Wolak assumes the director position on September 1, 2009.

Victor will remain at Stanford as faculty through the end of the summer of 2009, when he will leave to become a full professor at the School of International Relations and Pacific Studies at U.C. San Diego, where he will build a research group working on the study of international regulation.
 
“FSI and Stanford are extremely grateful to David Victor for all that he has done to establish PESD and build it into the innovative and influential research program that it is today,” said FSI Director Coit D. Blacker, the Olivier Nomellini Professor in International Studies. “I know that the entire Stanford community joins me in extending our best wishes to David and in offering a hearty welcome to Frank.”

In a world facing profound transformations in the way energy is generated and used, PESD’s work on how political, economic, and institutional factors combine to shape energy market outcomes meets a critical global research need. For additional information on PESD research interests and platforms, please contact Acting Director Mark Thurber.

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JP Schnapper-Casteras, a predoctoral fellow at CISAC, is a joint degree candidate at Stanford Law School and Harvard’s John F. Kennedy School of Government. His research on U.S.-Iraqi relations focuses on how legal agreements and bilateral accords shape internal security and regional relations. 

JP has worked at the House Foreign Affairs Committee, State Department, and West Point’s Combating Terrorism Center and conducted research at the Stanford Constitutional Law Center, Stanford Law School’s Olin Program in Law and Economics, Harvard Law School, the Belfer Center for Science and International Affairs, and the Center for American Progress. 

JP graduated from Stanford University in 2005 with an MA in sociology and a BA with honors in political science.

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John Paul Schnapper-Casteras CISAC Predoctoral Fellow; MPP Candidate, Harvard Kennedy School; JD Candidate, Stanford Speaker
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Scott Sagan is a professor of political science and co-director of Stanford's Center for International Security and Cooperation. He is on sabbatical in 2008-09. Before joining the Stanford faculty, Sagan was a lecturer in the Department of Government at Harvard University and served as a special assistant to the director of the Organization of the Joint Chiefs of Staff in the Pentagon. He has also served as a consultant to the office of the Secretary of Defense and at the Sandia National Laboratory and the Los Alamos National Laboratory.

Sagan is the author of Moving Targets: Nuclear Strategy and National Security (Princeton University Press, 1989), The Limits of Safety: Organizations, Accidents, and Nuclear Weapons(Princeton University Press, 1993), and with co-author Kenneth N. Waltz, The Spread of Nuclear Weapons: A Debate Renewed (W.W. Norton, 2002). He is the co-editor of Peter R. Lavoy, Scott D. Sagan, and James L. Wirtz, Planning the Unthinkable (Cornell University Press, 2000). Sagan was the recipient of Stanford University's 1996 Hoagland Prize for Undergraduate Teaching and the 1998 Dean's Award for Distinguished Teaching. As part of CISAC's mission of training the next generation of security specialists he and Stephen Stedman founded Stanford's Interschool Honors Program in International Security Studies in 2000.

His recent articles include "How to Keep the Bomb From Iran," in Foreign Affairs (September-October 2006); "The Madman Nuclear Alert: Secrecy, Signaling, and Safety in October 1969" co-written by Jeremi Suri and published in International Security in spring 2003; and "The Problem of Redundancy Problem: Will More Nuclear Security Forces Produce More Nuclear Security?" published in Risk Analysis in 2004. The first piece warns against "proliferation fatalism" and "deterrence optimism" to argue that the United States should work to prevent Iran's pursuit of nuclear weapons by addressing the security concerns that are likely motivators for Iran's nuclear ambitions. The International Security piece looks into the events surrounding a secret nuclear alert ordered by President Nixon to determine how effective the alert was at achieving the president's goal of forcing negotiations for the end of the Vietnam War. It also questions many of the assumptions made about nuclear signaling and discusses the dangers of new nuclear powers using this technique. Sagan's article on redundancy in Risk Analysis won Columbia University's Institute for War and Peace Studies 2003 Best Paper in Political Violence prize. In this article, Sagan looks at how we should think about nuclear security and the emerging terrorist threat, specifically whether more nuclear facility security personnel increases our safety. His article, "Realism, Ethics, and Weapons of Mass Destruction" appears in Ethics and Weapons of Mass Destruction: Religious and Secular Perspectives, edited by Sohail Hashmi and Steven Lee. In addition to these works, Sagan is also finishing a collection of essays for a book tentatively entitled Inside Nuclear South Asia.

Gareth Evans has been since January 2000 President and Chief Executive of the Brussels-based International Crisis Group (Crisis Group), the independent global non-governmental organisation with nearly 140 full-time staff on five continents which works, through field-based analysis and high-level policy advocacy, to prevent and resolve deadly conflict. Born in 1944, he went to Melbourne High School, and holds first class honours degrees in Law from Melbourne University (BA, LLB (Hons)) and in Politics, Philosophy and Economics from Oxford University (MA). Evans was one of Australia's longest serving Foreign Ministers, best known internationally for his roles in developing the UN peace plan for Cambodia, bringing to a conclusion the international Chemical Weapons Convention, founding the Asia Pacific Economic Cooperation (APEC) forum and ASEAN Regional Forum (ARF), and initiating the Canberra Commission on the Elimination of Nuclear Weapons.

He was Australian Humanist of the Year in 1990, won the ANZAC Peace Prize in 1994 for his work on Cambodia, was made an Officer of the Order of Australia (AO) in 2001, and was awarded Honorary Doctorates of Laws by Melbourne University in 2002 and Carleton University in 2005. In 2000-2001 he was co-chair, with Mohamed Sahnoun, of the International Commission on Intervention and State Sovereignty (ICISS), appointed by the Government of Canada, which published its report, The Responsibility to Protect, in December 2001. He was a member of the of the UN Secretary General's High Level Panel on Threats, Challenges and Change, whose report A More Secure World: Our Shared Responsibility was published in December 2004; the Commission on Weapons of Mass Destruction sponsored by Sweden and chaired by Hans Blix which reported in June 2006;  the International Task Force on Global Public Goods, sponsored by Sweden and France and chaired by Ernesto Zedillo, which reported in September 2006, and the Independent Commission on the Role of the IAEA to 2020 and Beyond, which reported in May 2008. In June 2008 he was appointed to co-chair (with former Japanese Foreign Minister Yoriko Kawaguchi) the International Commission on Nuclear Non-Proliferation and Disarmament. He had previously served as a member of the Carnegie Commission on Preventing Deadly Conflict, co-chaired by Cyrus Vance and David Hamburg (1994-97), and is currently a member of the UN Secretary-General's Advisory Committee on Genocide. 

Michael May is Professor Emeritus (Research) in the Stanford University School of Engineering and a senior fellow with the Institute for International Studies at Stanford University. He is the former co-director of Stanford University's Center for International Security and Cooperation, having served seven years in that capacity through January 2000. May is a director emeritus of the Lawrence Livermore National Laboratory, where he worked from 1952 to 1988, with some brief periods away from the Laboratory. While there, he held a variety of research and development positions, serving as director of the Laboratory from 1965 to 1971. May was a technical adviser to the Threshold Test Ban Treaty negotiating team; a member of the U.S. delegation to the Strategic Arms Limitation Talks; and at various times has been a member of the Defense Science Board, the General Advisory Committee to the AEC, the Secretary of Energy Advisory Board, the RAND Corporation Board of Trustees, and the Committee on International Security and Arms Control of the National Academy of Sciences. He is a member of the Council on Foreign Relations and the Pacific Council on International Policy, and a Fellow of the American Physical Society and the American Association for the Advancement of Science. May received the Distinguished Public Service and Distinguished Civilian Service Medals from the Department of Defense, and the Ernest Orlando Lawrence Award from the Atomic Energy Commission, as well as other awards. His current research interests are in the area of nuclear and terrorism, energy, security and environment, and the relation of nuclear weapons and foreign policy. 

If you would like to be added to the email announcement list, please visit https://mailman.stanford.edu/mailman/listinfo/socialscienceseminar 

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The Caroline S.G. Munro Professor of Political Science
The Bass University Fellow in Undergraduate Education  
Senior Fellow, Freeman Spogli Institute for International Studies
rsd25_073_1160a_1.jpg PhD

Scott D. Sagan is Co-Director and Senior Fellow at the Center for International Security and Cooperation, the Caroline S.G. Munro Professor of Political Science, and the Bass University Fellow in Undergraduate Education at Stanford University. He also serves as Co-Chair of the American Academy of Arts and Sciences’ Committee on International Security Studies. Before joining the Stanford faculty, Sagan was a lecturer in the Department of Government at Harvard University and served as special assistant to the director of the Organization of the Joint Chiefs of Staff in the Pentagon.

Sagan is the author of Moving Targets: Nuclear Strategy and National Security (Princeton University Press, 1989); The Limits of Safety: Organizations, Accidents, and Nuclear Weapons (Princeton University Press, 1993); and, with co-author Kenneth N. Waltz, The Spread of Nuclear Weapons: An Enduring Debate (W.W. Norton, 2012). He is the co-editor of Insider Threats (Cornell University Press, 2017) with Matthew Bunn; and co-editor of The Fragile Balance of Terror (Cornell University Press, 2022) with Vipin Narang. Sagan was also the guest editor of a two-volume special issue of DaedalusEthics, Technology, and War (Fall 2016) and The Changing Rules of War (Winter 2017).

Recent publications include “Creeds and Contestation: How US Nuclear and Legal Doctrine Influence Each Other,” with Janina Dill, in a special issue of Security Studies (December 2025); “Kettles of Hawks: Public Opinion on the Nuclear Taboo and Noncombatant Immunity in the United States, United Kingdom, France, and Israel”, with Janina Dill and Benjamin A. Valentino in Security Studies (February 2022); “The Rule of Law and the Role of Strategy in U.S. Nuclear Doctrine” with Allen S. Weiner in International Security (Spring 2021); “Does the Noncombatant Immunity Norm Have Stopping Power?” with Benjamin A. Valentino in International Security (Fall 2020); and “Just War and Unjust Soldiers: American Public Opinion on the Moral Equality of Combatants” and “On Reciprocity, Revenge, and Replication: A Rejoinder to Walzer, McMahan, and Keohane” with Benjamin A. Valentino in Ethics & International Affairs (Winter 2019).

In 2022, Sagan was awarded Thérèse Delpech Memorial Award from the Carnegie Endowment for International Peace at their International Nuclear Policy Conference. In 2017, he received the International Studies Association’s Susan Strange Award which recognizes the scholar whose “singular intellect, assertiveness, and insight most challenge conventional wisdom and intellectual and organizational complacency" in the international studies community. Sagan was also the recipient of the National Academy of Sciences William and Katherine Estes Award in 2015, for his work addressing the risks of nuclear weapons and the causes of nuclear proliferation. The award, which is granted triennially, recognizes “research in any field of cognitive or behavioral science that advances understanding of issues relating to the risk of nuclear war.” In 2013, Sagan received the International Studies Association's International Security Studies Section Distinguished Scholar Award. He has also won four teaching awards: Stanford’s 1998-99 Dean’s Award for Distinguished Teaching; Stanford's 1996 Hoagland Prize for Undergraduate Teaching; the International Studies Association’s 2008 Innovative Teaching Award; and the Monterey Institute for International Studies’ Nonproliferation Education Award in 2009.     

Co-director of the Center for International Security and Cooperation
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Scott D. Sagan Co-Director of CISAC (sabbatical 2008-09) and Professor of Political Science Speaker
Gareth Evans President and Chief Executive, International Crisis Group Commentator
Michael M. May Professor of Management Science and Engineering, Emeritus; FSI Senior Fellow; CISAC Faculty Member Commentator
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Mark Thompson
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Some theorists of modernization have influentially claimed that successful “late industrialization” led by developmental states creates economies too complex, social structures too differentiated, and (middle-class-dominated) civil societies too politically conscious to sustain nondemocratic rule. Nowhere is this argument—that economic growth drives democratic transitions—more evident than in Northeast and Southeast Asia (hereafter Pacific Asia).

South Korea and Taiwan, having democratized only after substantial industrialization, seem to fit this narrative well. But “late democratizers” have been the exception rather than the rule. Indonesia, the Philippines, and Thailand democratized before high per capita incomes were achieved. Malaysia, and especially Singapore are more wealthy than they are democratic. The communist “converts” to developmentalism, China and Vietnam, are aiming for authoritarian versions of modernity. Table 1* shows that there is no clear pattern in Pacific Asia. Indeed, according to the nongovernmental organization Freedom House (and using the World Bank categories of low, lower middle, upper middle, or high income), poor and rich countries alike in Pacific Asia are rated “free,” “partly free,” or “not free.”

What key factors have influenced the different timing of democratization in Pacific Asia? Democratization has occurred early in the developmental process when authoritarian states have failed to create sustainable economic growth, which in turn has led to mounting debt. Many reasons explain this phenomenon, but a primary cause is the so-called failure to “deepen”—that is, certain countries’ inability to become major manufacturers of high-tech and heavy industrial goods. For example, when economic crises rocked the Philippines in the mid-1980s and Indonesia in the late 1990s, both nations lacked the economic maturity and breadth to rebound, prompting abrupt financial collapse. These nations’ political systems were too ossified to channel popular unrest, and mass mobilization resulted. Ideologically, the Marcos and Suharto regimes faced accusations of cronyism, as favored business leaders stepped in to rescue failing conglomerates, sidelining once-influential technocrats in the process. In the end, these countries’ limited economic development actually broke down their authoritarian systems.

 “Late industrializers,” by contrast, do succeed in industrial “deepening.” But they are often less successful in terms of “widening”—the perception that the benefits of development are being fairly shared in society. Statistics show that South Korea and Taiwan are relatively equal societies. Nevertheless, neither of these technocratically oriented authoritarian regimes was able to blunt criticisms that growth was unjustly distributed. South Korean workers and native Taiwanese felt particularly disadvantaged. In Malaysia, too, tensions are now mounting about distribution along ethnic lines. Electoral authoritarianism helped to defuse earlier crises in South Korea and Taiwan, but beginning in the mid-1980s, opposition forces in both nations launched successful challenges through the ballot box to bring about democratization. In Malaysia, the opposition scored major gains in the 2008 elections. Ideologically, all three authoritarian regimes were weakened by activist campaigns for social justice, which mobilized middle class professionals.

One can only speculate about whether Singapore will one day democratize. Its economy has continually deepened, most recently through a major drive to grow a biotech industry. At the same time, it has widened through a series of welfare-related measures focused on housing and pensions. The Singaporean government has also perfected a system of electoral authoritarianism, allowing some competition and participation without threatening the ruling party’s hold on power. Ideologically, the government has long determined the political agenda through its collectivist campaigns (including the once high-profile “Asian values” discourse). However, when Singapore’s founding father, Lee Kuan Yew, eventually passes away, the nation’s technocratic elite may be tempted to democratize. Democratization would give the government greater legitimacy to reform welfare provision, which many believe is currently limiting Singapore’s competitiveness. The main arguments are summarized in table two.*

It is evident that China and Vietnam are trying to imitate the Singaporean model. Though each faces many obstacles, both countries have already made great strides in industrial deepening and widening through an elaborate postcommunist welfare system. Ideologically, these countries will rely not just on growth—which will inevitably slow during the current economic crisis—but also on appeals to a collectivist identity that is simultaneously both nationalist and neo-Confucianist in character. Whether China and Vietnam eventually democratize or remain authoritarian despite modernization is one of the most important political questions in the world today.

* Please contact the Manager of Corporate Relations for a full PDF copy of this dispatch, including tables.

 

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The purpose of this presentation is to indicate possible ways in which nuclear power plant (NPP) projects and possibly related nuclear fuel cycle facilities (should there be any) could be subverted to hide and clandestinely support nuclear weapons development programs. The discussion here is generic in nature; however, special applicability to the newly emerging nuclear programs in the Middle East is noted. The speaker's purpose is not to provide a ‘cookbook' for would-be proliferators on how to utilize NPP projects to support clandestine weapons development programs, but rather to provide indication to the nonproliferation-minded as to what to look for and guard against when a number of new NPP projects are initiated within a short time frame in a region with limited past nuclear experience as a direct response to the Iranian quest for ‘nuclear power'. This is not to imply that there are nefarious intents behind the sudden desire to acquire nuclear power capabilities by several countries that are mostly well endowed with oil and natural gas resources. My intent here is rather to provide a general assessment on how such NPP projects might be utilized, should their national owners decide to do so in situations of "supreme national interest', as a guise for clandestine nuclear weapons programs.

Chaim Braun is a CISAC consulting professor specializing in issues related to nuclear power economics and fuel supply, and nuclear nonproliferation. At CISAC, Braun pioneered the concept of proliferation rings dealing with the implications of the A.Q. Khan nuclear technology smuggling ring, the concept of the Energy Security Initiative (ESI), and the re-evaluation of nuclear fuel supply assurance measures, including nuclear fuel lease and take-back.

Braun, currently, is working on an analysis of new nuclear power plant prospects in the Middle East, and the potential for nuclear proliferation from prospective nuclear plants in industrializing countries. He also works on extensions of nuclear fuel supply assurance concepts to regional fuel enrichment plants operated on a ‘black box' mode, particularly as applied to the South Asian, Central Asian and South American regions.

Previously, Braun worked at CISAC on a study of safeguarding the Agreed Framework in North Korea, was the co-leader of a NATO Study of Terrorist Threats to Nuclear Power Plants, led CISAC's Summer Study on Terrorist Threats to Research Reactors and, most recently, chaired a working group on the back-end of the nuclear fuel cycle, as a part of a CISAC summer study on Nuclear Power Expansion and Nonproliferation Implications.

Braun is a member of the World Nuclear Association (WNA) committees on Nuclear Economics and Assured Fuel Supplies. He is a permanent lecturer at the World Nuclear University's (WNU) One-Week Courses. Braun was a member of the Near-Term Deployment and the Economic Cross-Cut Working Groups of the Department of Energy (DOE) Generation IV Roadmap study. He conducted several nuclear economics-related studies for the DOE Nuclear Energy Office, the Energy Information Administration (EIA), the Electric Power Research Institute (EPRI), the Nuclear Energy Institute (NEI), the Non-Proliferation Trust International, and other organizations.

Before joining CISAC, Braun worked as a member of Bechtel Power Corporation's Nuclear Management Group, and led studies on power plant performance and economics used to support maintenance services. He also managed nuclear marketing in East Asia and Eastern Europe. Prior to that, Braun worked at United Engineers and Constructors (UE&C), EPRI and Brookhaven National Laboratory (BNL).

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Chaim Braun CISAC Consulting Professor Speaker
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Japan has been hit unexpectedly hard by the global economic  recession.  Although Japanese financial institutions were not  seriously damaged by the initial financial crisis in the United  States, the economy has been staggered by an unprecedented drop in  exports.  With the economy likely to shrink by five to six percent  in 2009, Japan faces the worst economic downturn in over a half  century.  Policy responses to this situation have been complicated  by the uncertain political situation, with an unpopular prime  minister and a looming election for the lower house of the national  Diet.

What does all this mean for relations with the United States?   There are several important developments.  First, one impact of the  crisis is a shrinkage of Japan's current-account surplus, implying  that (at least in 2009) Japan will be a much smaller net supplier  of capital to the United States and the rest of the world.  Second,  the government appears to be willing to respond to the crisis with  strong fiscal stimulus, which should please the Obama  administration.  Third, even with stimulus in Japan, economic  recovery will lag behind that of the United States because real  recovery will depend on an upturn in exports.  Fourth, it is China,  not Japan, that will be the key among Asian countries.  China will  continue to grow, and is also applying fiscal stimulus, so it will  likely play a significant global role in enabling an end to the  recession.
All of these factors will play into bilateral relations,  complicated by the political uncertainty in Japan.  Bilateral  relations are close, and will remain so in the Obama  administration.  But the administration is likely to view Japan as  playing only a limited role in the global effort to cope with the  consequences of the financial and economic crisis.

About the Speaker:

Edward J. Lincoln joined NYU in 2006 to be director of the Center for Japan-U.S. Business and Economic Studies and clinical professor of Economics at the Stern School of Business. Professor Lincoln teaches courses on the global economy.

Professor Lincoln’s research interests include contemporary structure and change in the Japanese economy, East Asian economic integration, and U.S. economic policy toward Japan and East Asia. His latest book, on the underappreciated importance of economic issues in international relations and American foreign policy, is Winners Without Losers: Why Americans Should Care More About Global Economic Policy, published in 2007. He is the author of eight other books and monographs, including East Asian Economic Regionalism (The Council on Foreign Relations and the Brookings Institution, 2004), Arthritic Japan: The Slow Pace of Economic Reform (Brookings, 2001), and Troubled Times: U.S.-Japan Economic Relations in the 1990s (Brookings, 1998). An earlier book, Japan Facing Economic Maturity (Brookings, 1988) received the Masayoshi Ohira Award for outstanding books on the Asia-Pacific region.

Before joining NYU, Professor Lincoln was a senior fellow at the Council on Foreign Relations, and earlier a senior fellow at the Brookings Institution. In the mid-1990s, he served as Special Economic Advisor to Ambassador Walter Mondale at the American Embassy in Tokyo. He has also been a professorial lecturer at the Johns Hopkins University School of Advanced International Studies.

Professor Lincoln received his Bachelor’s degree from Amherst College, his M.A. in both economics and East Asian Studies at Yale University, and his Ph.D. in economics also at Yale University.

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Edward J. Lincoln Director, Professor of Economics, Japan-U.S. Business Center Speaker New York University
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Stephen D. Krasner, the Graham H. Stuart Professor of International Relations, and senior fellow at the Freeman Spogli Institute for International Studies (FSI) and the Hoover Institution, has been named deputy director of FSI, announced FSI Director Coit D. Blacker, the Olivier Nomellini Professor in International Studies. Larry Diamond, a senior fellow at FSI and the Hoover Institution, and professor, by courtesy, of political science and sociology, has been named director of FSI's Center on Democracy, Development, and the Rule of Law (CDDRL).

Krasner succeeds political science Professor Michael McFaul, former deputy director of FSI and CDDRL director, who has joined the Obama administration as special assistant to the president for National Security Affairs and senior director for Russian and Eurasian Affairs at the National Security Council.  Diamond will direct CDDRL while McFaul is on leave.

"We are delighted that Steve Krasner and Larry Diamond are assuming these leadership roles at this dynamic time in FSI's growth and development," said Blacker. "Steve and Larry's exemplary scholarship, research, and teaching, and their passionate commitment to the expansion of democracy and good governance, are a wellspring of inspiration to Stanford faculty and students, and to current and aspiring leaders the world over."

Krasner served as deputy director of FSI and CDDRL director from January 2003 to January of 2005. He then served as director of policy planning at the U.S. Department of State from February 2005 through April of 2007. In that role, Krasner was the driving force behind foreign assistance reform designed to more effectively target American foreign aid. He was also involved in activities related to the promotion of good governance and democratic institutions around the world.

Among extensive publications, Krasner is the author of Defending the National Interest: Raw Materials Investment and American Foreign Policy (1978), Structural Conflict: The Third World Against Global Liberalism (1985), and Sovereignty: Organized Hypocrisy (1999). Publications he has edited include Problematic Sovereignty: Contested Rules and Political Possibilities (2001). He taught at Harvard and UCLA before coming to Stanford in 1981.

Krasner received a BA in history from Cornell University, an MA in international affairs from Columbia University, and a PhD in political science from Harvard. He is a fellow of the American Academy of Arts and Sciences and a member of the Council on Foreign Relations.
Diamond is the founding coeditor of the Journal of Democracy, the co-director of the International Forum for Democratic Studies of the National Endowment for Democracy, and has been coordinating CDDRL's democracy program. His newest book, The Spirit of Democracy: The Struggle to Build Free Societies Throughout the World (Times Books, 2008), explores the sources of democratic progress and stress and the prospects for future democratic expansion.

Diamond's other published works include Squandered Victory: The American Occupation and the Bungled Effort to Bring Democracy to Iraq (Times Books, 2005), Developing Democracy: Toward Consolidation (1999), Promoting Democracy in the 1990s (1995), and Class, Ethnicity, and Democracy in Nigeria (1998).

In May 2007, Diamond was named "Teacher of the Year" by the Associated Students of Stanford University for teaching "that transcends political and ideological barriers." At Stanford Commencement ceremonies in June 2007, he was honored with the Dinkelspiel Award for Distinctive Contributions to Undergraduate Education and cited, inter alia, for "the example he sets as a scholar and public intellectual, sharing his passion for democratization, peaceful transitions, and the idea that each of us can contribute to making the world a better place."

Diamond received a BA, MA and PhD from Stanford, all in sociology.

Krasner and Diamond are part of the distinguished Stanford faculty group who lead the Draper Hills Summer Fellows on Democracy and Development Program each summer, which brings to Stanford some 30 rising leaders from major transitioning countries such as Russia, Iran, Iraq, Pakistan, Afghanistan, Nigeria, and Kenya to examine and foster linkages among democracy, sustainable economic development, and good governance.

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'Personalized medicine' promises to increase the quality of clinical care and, in some cases, decrease health-care costs. Despite this, only a handful of diagnostic tests have made it to market, with mixed success. Historically, the challenges in this field were scientific. However, as discussed in this article, with the maturation of the '-omics' sciences, it now seems that the major barriers are increasingly related to economics. Overcoming the poor microeconomic alignment of incentives among key stakeholders is therefore crucial to catalysing the further development and adoption of personalized medicine, and we propose several actions that could help achieve this goal.

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