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East Asia's demographic landscape is rapidly changing and comparative academic research is crucial to help guide well-informed decisions in the many policy areas that are affected, such as security, economics, and immigration. From January 20 to 21, the Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC) gathered subject experts from numerous fields for two days of lively and productive presentations and dialogue to help identify key research issues and questions for its new, three-year research initiative on this significant subject.

Shorenstein APARC held a public panel discussion on January 20, featuring eight scholars from across the United States and Asia. The issue of aging featured prominently in their presentations, as did fertility rates and immigration. A full audio recording of the panel discussion is available on the Shorenstein APARC website and summaries of the presentations follow below. A closed-session workshop took place the next day, the discussions from which will serve as the foundation for future programs and publications related to the research initiative.

January 20 Panel Discussion Presentations

The link between demography and security is more tenuous in East Asia than in other parts of the world, suggested Brian Nichiporuk, a political scientist with the RAND Corporation. Nichiporuk discussed possible policy responses to demographic change in Japan, North and South Korea, the Russian Federation, and China. He suggested, for example, that Japan's new maritime security focus is related to perceived economic and political competition from China, which is magnified by its domestic demographic concerns.

Michael Sutton, a visiting fellow with the East-West Center in Washington, DC, stated that Japan's aging population would remain a major policy issue for the next 20–30 years. He emphasized that the policy challenges posed by this phenomena are complicated by the role that the United States plays in the regional security structure, and also by the growing dominance of China and the history that it shares with Japan. Nonetheless, maintained Sutton, despite the obvious challenges, it is possible for Japan and the other countries facing this demographic issue to successfully adapt.

Social attitudes and policy in East Asia do not favor immigration, as they do in European countries such as Spain and Italy, suggested John Skrentny, director of the Center for Comparative Immigration Studies at the University of California, San Diego. Skrentny focused his talk on low-skill immigrant workers in South Korea and Japan, noting that these two countries, which began receiving workers in the 1970s and 1980s, commonly associate immigrants with social disruption. According to Skrentny, immigration policy is often tied to economics and tends to favor co-ethnic workers.

Chong-En Bai
, chair of the Department of Economics at Tsinghua University, discussed numerous economic policy implications and responses related to demographic change in China. He noted areas where successful policies have been adopted but challenges still remain, including savings and investment, labor and urbanization, pension, healthcare, and long-term care. Bai described, for example, how the children of rural migrants now have access to urban schools, but that they still face the logistical challenge of having to travel back to their home provinces to take college entrance examinations.

Examining demographic change and health improvements is essential to understanding the significant economic growth in East Asia over the past several decades, emphasized David Bloom, chair of the Department of Global Health and Population at Harvard University. He noted the success of East Asian countries in lowering their infant mortality rates through investment in public health improvements, such as sanitation and vaccination. Bloom suggested that these and other past successful policy mechanisms have run their course, and that it is now imperative to find ways to address the region's key demographic issue of aging.

Naohiro Ogawa, director of the Population Research Institute at Nihon University, described findings from the National Transfer Accounts (NTA) project, an international effort to gauge economic flows across age groups. He discussed the pressure placed on Japan's working-age population by the increasing cost of caring for children and the elderly, as well as the challenges and possibilities related to having a large, healthy, aging population. Ogawa noted that institutional responses to demographic change, such as increasing the retirement age and adopting more open immigration policy, have moved slowly in Japan.

Andrew Mason, a professor of economics at the University of Hawai'i, Manoa, also utilized NTA data to make predictions about East Asia's economic future. He proposed that the amount of human capital, such as the money that parents spend on the education of their children, is likely to grow quite rapidly. He also suggested that financial wealth in East Asia is likely to increase significantly as the populations of its countries age. Finally, he suggested that the current trend of regional economic growth would continue, although at a somewhat steadier rate. Mason qualified his predictions with questions, such as whether the return on investment in education would be commensurate with what is spent.

James Raymo, a professor of sociology at the University of Wisconsin-Madison, described a wide array of findings about changes in fertility and family structure in Japan and their connections, as well as possible policy implications. Raymo discussed trends in marriage, childbearing, divorce, non-marital cohabitation, and the participation of women in the labor force. He pointed to gaps in current research, and suggested possible linkages to research on other demographic trends, such as Japan's aging population.

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China is becoming increasingly urbanized as the government adopts policies to encourage migration from the countryside. Rural migrant families face challenges amidst the new urban opportunities. | Sarah Lin Bhatia
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East Asia's demographic landscape is rapidly changing and comparative academic research is crucial to help guide well-informed decisions in the many policy areas that are affected, such as security, economics, and immigration. From January 20 to 21, the Walter H. Shorenstein Asia-Pacific Research Center gathered subject experts from numerous fields for two days of lively and productive presentations and dialogue to help identify key research issues and questions for its new, three-year research initiative on this significant subject. A public panel discussion was held on January 20, featuring eight scholars from across the United States and Asia. The issue of aging featured prominently in their presentations, as did fertility rates and immigration. A full audio recording of the panel discussion and summaries of the presentations are now available.
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About the event

On Tuesday, March 1, SPRIE and Alibaba.com hosted “Entrepreneurship in the Global Marketplace,” a seminar featuring noted venture capitalists, entrepreneurs and executives. The seminar was the first in a series being conducted at several California universities under the auspices of the Schwarzenegger Emerging Entrepreneur Initiative.

Famed venture capitalist Tim Draper kicked off the event, sharing his insight on trends and strategies relevant to global business.  Multiple facets of China’s role in supporting and enabling entrepreneurial ventures were spotlighted, including the presentation of new research on the rise and global impact of Chinese e-commerce, a talk by an executive from Chinese e-commerce giant Alibaba.com, and lessons from a diverse set of entrepreneurs whose businesses depend on international trade. Additional perspectives were shared by China- and U.S.-based VCs.

This event was one of many being held at Stanford University during Entrepreneurship Week 2011, including compelling lectures, workshops, mentoring sessions, a job fair, and more. See full details at the Stanford Entrepreneurship Week website.


About the hosts

The Stanford Program on Regions of Innovation and Entrepreneurship (SPRIE) is dedicated to advancing the understanding and practice of innovation and entrepreneurship in leading high technology regions in the global economy. Through and international and interdisciplinary research, publications, executive education, and conferences, SPRIE impacts the arenas of academia, policy, and business.

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Alibaba.com is a publicly-traded company (HK:1688) focused on facilitating global trade and entrepreneurship through e-commerce for small businesses with more than 56 million users across 240 countries.

The Schwarzenegger Emerging Entrepreneur Initiative is a program to spur entrepreneurship and stimulate job growth in California, created by Alibaba.com in partnership with former Governor Arnold Schwarzenegger. Through a series of interactive events, the initiative aims to provide 3,000 California university students with guidance, skills and entrepreneurial know-how to start their own businesses and participate successfully in the knowledge-based networked economy.

Bechtel Conference Center

Timothy C. Draper Founder Speaker Draper Fisher Jurvetson
Tami Zhu Head of International Business Development and Marketing Speaker Alibaba.com Americas

BDA China Ltd
#2908 North Tower, Kerry Centre
1 Guanghua Road
Beijing 100020, China

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Senior Advisor for China 2.0 Project
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Duncan Clark is Chairman of BDA China, a consultancy he founded in Beijing in 1994 after four years as an investment banker with Morgan Stanley in London and Hong Kong. Over the past 19 years, Duncan has guided BDA to become the leading investment advisory firm in China specialized in China's technology, internet and e-commerce sectors.

An angel investor in mobile game app developer Happy Latte and digital content metrics company App Annie Duncan has also served on the Advisory Board of Chinese internet company Netease.com (Nasdaq: NTES) and serves on the Advisory Board of the Digital Communication Fund of Geneva-based bank Pictet & Cie.

A UK citizen, Duncan was raised in England, the United States and France. A graduate of the London School of Economics & Political Science, Duncan is a Senior Advisor to the ‘China 2.0' initiative at the Stanford Graduate School of Business’s Stanford Program on Regions of Innovation and Entrepreneurship, where he was invited as a Visiting Scholar in 2010 and 2011.

Duncan is partner in a Beijing-based film production company CIB Productions, and Executive Producer of two China-themed television documentaries including ‘My Beijing Birthday’.

Duncan was appointed Officer of the Order of the British Empire (OBE) in the 2013 New Year Honours for services to British commercial interests in China.

Duncan Clark Visiting Scholar Speaker SPRIE
Mike Effle CEO Speaker Vendio
Marguerite Gong Hancock Associate Director Speaker SPRIE
William F. Miller Co-director Speaker SPRIE
Jonathan Ross Shriftman Co-founder Speaker Solé Bicycle Co
Ryder Fyrwald Vice President of Global Operations Speaker Kairos Society
Sanjay Subhedar Managing Director Speaker Storm Ventures
Hans Tung Partner Speaker Qiming Ventures
Seminars
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Bandwidth connectivity is extremely low in many parts of the world, often delaying or even preventing people from accessing information. Although connectivity has increased by a factor of 10 or 15 over the last decade, average webpage size and number of objects has simultaneously increased by a factor of 60. This has resulted in what Subramanian terms an "unusable web"; the addition of video, audio and images has created huge web pages that take minutes or even hours to load in low connectivity worlds.

In his talk, Subramanian describes a range of techniques that he and his colleagues are developing to enhance information access in three scenarios of poor connectivity. These techniques illustrate the type of technologies being devised by a new group in Computer Science termed "Computing for Development." The focus of this group is on the design, implementation and evaluation of new computing innovations that enable global social and economic development. Since first world technology can often be a bad fit, this group instead seeks technologies that are locally appropriate, cost-effective, and easy to use.

The first low-connectivity scenario Subramanian discusses is that facing rural mobile users, who rely on low-end mobile devices and can thus only access voice and SMS services. To address the massive need for SMS services for this scenario, Subramanian and his colleagues have developed an SMS-based protocol stack for mobile applications that makes it possible to compress large quantities of information. The so-called UjU stack enables the compression of information into a 140-byte stack, while an affiliated UjU Create App interface enables anyone to create their own apps and forms. These forms are essentially turned into structured records (tables) that can be filled out and transmitted through a short message on a mobile phone. To date, UjU has already been used for microfinance applications in Mexico, mobile health data collection in India, and other applications in Ghana. Subramanian and his colleagues are also rolling out a live SMS search engine in Kenya and a data-over-GSM voice stack to support data connectivity over cellular voice.

Shared low bandwidth networks present a second low-connectivity scenario. In this scenario, an example of which might be a school where 2 Mbps of connectivity is used by 400 students, Subramanian suggests that a completely new Web architecture is needed. He and his colleagues have deployed an early version of such a system called Rural Café User Interface. Typically, a web browser sends dozens of requests when it is loading a particular page, since each site draws content from various sources and advertisers. Rather than being able to attempt to load as many windows and pages as possible, which results in even slower access, every user in Rural Café has a queue of what their search requests are. Users can search for anything at any point, but the interface acts as a planning tool by reporting how long (in seconds or minutes) the user would have to wait to load any particular site. The queue is persistent, so it doesn't change depending on how many new windows users try to open. This system is already being deployed in a few schools and universities in Kenya and India.

The third scenario is that of schools that have computer access, but no connectivity. To address this problem, Subramanian proposes the use of "vertical search engines" or contextual information portals that deliver a vertical slice of the Web in a hard-disk and provide an offline searchable and browse-able Internet. The portals are locally searchable and composed of many web-based services. Since the portals allow the user to search the local cache for the information they need rather than the URLs themselves, many local requests can be handled without browsing, supposing the local cache is strong and based on local interests and content. This is a good tool for either improving download times for people who have limited connectivity, or for enabling access for information for people without any connectivity at all. So far, the system has been piloted as an information tool for students and teachers in five schools with computers but no connectivity around Nairobi, Kenya.

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The central premise underlying Bussell's discussion this week is the reality that public service provision is often flawed in the developing world. Reforming public services entails significant efforts to increase the quality of public service, and there have been two important recent trends in this space: privatization and public-private partnerships and increased use of information and communication technologies (ICTs). The one-stop services model (which has been adopted globally in various forms, from Singapore's eCitizen Centre to Germany's Buergerbuero or "Citizen's Bureau"), exemplifies current trends.

In her research, which focuses primarily on the case of India, Bussell asks the following questions: why do or don't governments reform public service delivery? And when governments decide to implement reforms, why do they or don't they employ ICTs in these reforms?

The Indian strategy to public service reform has been to create stand-alone, one-stop citizen service centers. These centers are computerized and frequently have private-sector participation. Aside from these typical characteristics, there is significant state-level variation on several points, including timing of policy adoption, quantity and type of services, degree of automation, and ownership and management models.

Bussell discusses a variety of hypotheses that offer insight into the potential factors influencing the character of Indian reforms. First, she notes that politicians faced mixed electoral incentives for and against reforms. After all, there is evidence that eServices can improve service characteristics and reduce corruption. On the other hand, reforms may also reduce politicians' opportunities to amass funds to run for re-election. After all, bureaucratic discretion and opaque processes enable the siphoning of funds and bribe taking in service delivery. Politicians use "transfer authority" over bureaucrats to access bribes. More transparent services, due the implementation of reforms, threaten this access to bribes. At the same time, reform may also offer new opportunity for rents. Private partnerships to run centers entail new contracting processes. Larger-scale bribes may be available from ownership and management negotiation.

Based on these mixed direct and indirect incentives, Bussell predicts that reform will require expected net benefits to ruling politicians. States with higher petty corruption should implement policy reforms later. Meanwhile, states with higher grand corruption might lead to more partnerships with private sector.

So what factors actually explain variation in when different Indian states adopted reform? According to Bussell's research, the level of corruption was the most statistically significant variable affecting the timing of reform adoption. However, whether or not there was a coalition government in power was also significant. This means that an increase of 1 point out of 10 in the state's corruption level led to a 63% decrease in the chance of a reform being adopted in a given year. The quantity of services covered varied widely in the sample of states from less than 10 to more than 40 services. On average, moving from a state with below average corruption to a state with above average corruption causes a drop of 14 in the number of services covered.

In addition to examining the variation in reform adoption across Indian states, Bussell also looks at the consequences of reform. Despite reforms in the state of Karnataka, to give one example, demand for services continues to outstrip supply. Visitors to Nemmadi (privately-run computerized centers) were able to access services faster, while paying less money, making less visits, spending less time waiting at each visit, and seeing a reduction (on average) in the number of days before receiving the service. Despite quantitative improvements in average efficiency, however, perceived efficiency actually declined. Now, there is a 7-day minimum for service delivery and a 21-day maximum. Although average has declined as a consequence of these new requirements, it is now impossible to bribe officials in order to achieve service delivery in one day.

According to Bussell, these results bring up some interesting policy implications. First, it is important to consider the institutional incentives underlying the established model in order to ensure that reforms are effective. The incentives faced by both top politicians and street level officials must be taken into account. Second, it may be best to design policies that establish a strong, if narrow, initial model. After all, growing citizen demand affects electoral benefits and the calculations of politicians. Third, more research must be done regarding the various factors that influence policy outcomes. According to cases in South Africa and Brazil, there is some evidence that differences in electoral competition can affect policy outcomes. In South Africa, for instance, less electoral competition has led to less incentive to reform. More research will help to clarify the factors of importance in public service reform implementation.

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In today's networked information economy, Yochai Benkler suggests, the most important inputs into the core economic activities of the most advanced economies are, for the first time, widely distributed in the population. Examples of decentralized or peer production are increasingly common, with Wikipedia just one among the list of notable examples. In contrast to the old model, in which all parties needed large-scale capital investment to influence the public space, Benkler suggests that today's networked public sphere has fewer barriers to entry. The groups that have traditionally influenced the public sphere include commercial interests (representing the power of money), government (which influences through funding, access, and threats, representing the power of power), parties, citizens, and a final group of civil society actors (i.e. professional values, journalism and universities). In Benkler's view, these categories of power have been destabilized by the spread of new means of social sharing and exchange. Today, authority, quality and accreditation are separate to capital due the addition of many new groups and platforms, including examples such as the following:

  • Pro Publica, American Independent Media
  • New highly visible blogs
  • Sunlight Foundation
  • Wikileaks
  • Large-scale participatory platforms for politically active participants
  • Citizen journalism, camera phones, and footage

Benkler notes that many critiques have arisen to the argument that the Internet democratizes. For example, some claim that new parties can talk on the Internet, but no one will necessarily hear them. Not only is very little attention actually paid to politics online, but links between sources are also very concentrated. Additionally, there is the question of whether the blogosphere simply offers a new version of elitism, in which the top bloggers come from similar backgrounds to those who formerly dominated the public sphere.

However, Benkler argues that the Internet does make the public sphere more democratic after all. The structured web offers more visibility to more people, in accreditation and filtration clusters. Speakers on the periphery can be identified by major sites and broadcast iteratively to higher-level visibility. On Daily Kos, for example, people are able to bring posts of interest forward onto the home page. All of this occurs with relatively little financing.

In their 2010 paper, Benkler and Shaw explored patterns among the top 155 political blogs, applying link analysis and other methods to explore differences between bloggers on the political left and on the political right. They found that the left adopts enhanced platforms much more quickly and has more flexible content boundaries--a measure of how easy it is for bloggers on the periphery to have their content taken up. While the right has more sole-author blogs, the left has more user blogs available and more large-scale collaboration (exemplified by blogs with more than 20 writers). The authors found that there was no single effect of "Liberation Technology" in this case, in that the left and right showed divergent practices. While Benkler concedes that a link analysis is only so useful without full content analysis, he also notes that the results are consistent with social cognition literature on the differences between people on the left and the right. Another explanation, however, comes from the theory that there was more need for the left to embrace the blogosphere in 2002; when technology first became available, the right dominated the government, news, and already had a platform for discussion in churches. Seeking a new forum for discussion and debate, the left seized on the blogosphere as a solution.

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