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CISAC's Paul Kapur and Sumit Ganguly of Indiana University discuss the importance of probing the sources of the violence in Mumbai, and consider the attacks' implications for regional security in South Asia.

Security officials and cleanup crews are now combing through the carnage in Mumbai, following last week’s terrorist attacks in the city. As the citizens of this vast metropolis seek to restore some semblance of normalcy to their lives, it is important to probe the sources of the violence in Mumbai, and consider the attacks’ implications for regional security in South Asia.

How and why did the Mumbai attacks occur? Information at this stage is still incomplete. Nonetheless, a few points seem clear.

There is considerable evidence that Pakistan-based entities were behind the Mumbai attacks. The sole surviving terrorist is Pakistani. He claims that the attackers trained with the militant group Lashkar-e-Taiba for months inside Pakistan prior to launching their assault. And Indian officials have determined that the terrorists took a boat from Karachi to the Mumbai coast, leaving behind cell phones that had been used to call Pakistan.

None of this directly implicates the Pakistani government in the Mumbai attacks. It does, however, suggest that Pakistan bears some measure of responsibility for recent events; the Pakistani government is either unable or unwilling to prevent its territory from being used to launch terrorist attacks against India.

In fact, Pakistan has a long history of supporting anti-Indian militancy. For example, during the 1980s, the Pakistani Inter-Services Intelligence Directorate (ISI) began to provide training, arms, and financial and logistical support to insurgent groups fighting Indian rule in Kashmir. This transformed what had been a mostly spontaneous, local uprising into a low-intensity Indo-Pakistani war. Despite repeated Indian diplomatic entreaties and military threats, Pakistan has never fully ended its support for such groups.

These outside links notwithstanding, the complexity and organization of the Mumbai attacks suggest that they also employed local Indian support. Thus, even if the operation originated in Pakistan, the terrorists may well have had the assistance of disaffected Indian Muslims.

Since independence, many Muslims have thrived in India, availing themselves of educational opportunities, achieving high levels of prosperity, and blending into the country’s vast, pluralistic society. On a day-to-day basis they have faced little religious discrimination.

Less affluent segments of the Muslim community, however, have not been so fortunate. They have long endured discrimination in aspects of everyday life ranging from employment to housing opportunities. Past generations acquiesced in these humiliations. Today’s lower middle class Muslims, however, are better educated and more politically aware than their predecessors, and thus less prone simply to accept their fate.

Against this social backdrop, two incidents have helped to spur a process of Islamist radicalization within India. The first was a spate of anti-Muslim riots that swept across much of northern and western India after Hindu zealots destroyed the Babri Mosque in 1992. Hundreds of Muslims died at the hands of Hindu mobs while the police looked on. The second episode was a 2002 pogrom in the state of Gujarat that occurred after Hindu pilgrims died in a train fire allegedly set by Muslim miscreants. Few, if any, individuals involved these incidents have been prosecuted. Not surprisingly, these two episodes helped to radicalize a small but significant minority of Indian Muslims.

The Indian government has failed to devise a set of policies to address these social roots of Islamist zealotry. In addition, many of India’s state-level police forces have not mustered the requisite intelligence, forensic and prosecutorial tools necessary to suppress the resulting violence. Instead they have resorted to the random arrests of young Muslims, employed tainted evidence, and abused draconian anti-terrorist laws. Such actions have only worsened the situation, making it easier for foreign militants to recruit domestic sympathizers inside India.

What are the Mumbai attacks’ implications for South Asian security? The Manmohan Singh government has sought to avoid confrontation with Pakistan in the wake of several recent terror attacks with potential Pakistani links. Instead, it has preferred to maintain regional stability in hopes of achieving continued economic growth. The Mumbai attacks, however, undercut this rationale for restraint; by attacking international targets in India’s financial hub, they threaten to inflict significant harm on the Indian economy. Also, considerable domestic political pressure for strong anti-Pakistani action is likely to emerge, both from the opposition Bharatia Janata Party (BJP), which has long accused the government of being soft of Pakistan, and from ordinary voters outraged by the attacks.

In 2001, a failed assault on the Indian parliament by Pakistan-backed militants managed to kill only five people and was over in the space of a morning. In response, India mobilized roughly 500,000 forces along the Indo-Pakistani border, triggering a major militarized crisis with Pakistan. The Mumbai attacks killed and wounded hundreds, and lasted for nearly three days. Given the scale of the violence, as well as the economic and domestic political factors discussed above, the Indian government will be hard-pressed to avoid a reaction similar to 2001 – particularly if the evidence from Mumbai continues to point toward Pakistan. Given that both India and Pakistan possess nuclear weapons, the stakes in any ensuing confrontation will be enormous. Nuclear weapons will give both sides strong incentives to behave at least somewhat cautiously, in order to prevent a crisis from escalating too far. But they will also leave less room for error, making the costs of miscalculation potentially catastrophic.

Will a serious Indo-Pakistani crisis emerge from the Mumbai attacks, or will the Indian government manage to continue its policy of restraint, even in the face of such a brazen provocation? The pieces would appear to be in place for a serious regional confrontation. But only the coming days will tell for sure.

Sumit Ganguly is the director of research at the Center on American and Global Security at Indiana University, Bloomington, and an adjunct senior fellow at the Pacific Council on International Policy in Los Angeles.

Paul Kapur is an associate professor of National Security Affairs at the Naval Postgraduate School in Monterey, California, and an affiliate at Stanford University’s Center for International Security and Cooperation.

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Japan's industrial landscape is characterized by hierarchical forms of industry organization that are increasingly inadequate in modern sectors, where innovation relies on platforms and horizontal ecosystems of firms producing complementary products. Using three case studies--software, animation and mobile telephony--two key sources of inefficiencies that this mismatch can create will be illustrated.

First, hierarchical industry organizations can "lock out" certain types of innovation indefinitely by perpetuating established business practices. Second, even when the vertical hierarchies produce highly innovative sectors in the domestic market, the exclusively domestic orientation of the "hierarchical industry leaders" can entail large missed opportunities for other members of the ecosystem, who are unable to fully exploit their potential in global markets.

Dr. Hagiu will argue that Japan has to adopt several key measures in order to address these inefficiencies and capitalize on its innovation: strengthening antitrust and intellectual property rights enforcement; improving the legal infrastructure (e.g. producing more business law attorneys); lowering barriers to entry for foreign investment and facilitating the development of the venture capital sector.

Andrei Hagiu is an Assistant Professor in the Strategy group at Harvard Business School. His research focuses on multi-sided markets, which feature platforms serving two or more distinct groups of customers, who value each other's participation. He is studying the business strategies used by such platforms and the structure of the industries in which they operate: payment systems, advertising supported media, personal computers, videogames, mobile devices, shopping malls, etc. Hagiu is using the insights derived from this research to advise a wide range of companies in all of these industries.

In addition, he is also involved in competition and industrial policy research and advisory projects, in Japan, China and in the United States. He graduated from the Ecole Polytechnique and the Ecole Nationale de la Statistique et Adminstration Economique in France with an MS in economics and statistics, before obtaining a PhD in economics from Princeton University in 2004. Prior to joining HBS, he spent 18 months in Tokyo as a fellow at the Research Institute of Economy Trade and Industry, an economic policy think-tank affiliated with the Japanese Ministry of Economy Trade and Industry.

This event is presented in conjunction with the Japan Society of Northern California.

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Andrei Hagiu Assistant Professor, Strategy Unit Speaker Harvard Business School
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Andrew F. March is Assistant Professor, Department of Political Science, Yale University. He is the author of Islam and Liberal Citizenship: The Search for an Overlapping Consensus (OUP, 2009), “Islamic Foundations for a Social Contract in non-Muslim Liberal Democracies (American Political Science Review, Vol. 101, No. 2, May 2007), “Liberal Citizenship and the Search for Overlapping Consensus: The Case of Muslim Minorities,” (Philosophy & Public Affairs, 34.4, Fall 2006) and “Sources of Moral Obligation to Non-Muslims in the ‘Jurisprudence of Muslim Minorities’ (Fiqh al-aqalliyyat) Discourse.” (Forthcoming in Islamic Law and Society).

He is working on a new book project entitled Explaining Disbelief: Moral Epistemology and the Moral Other in the Islamic Tradition.

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Andrew March Assistant Professor, Department of Political Science Speaker Yale University
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The United States was one of the early champions of the human rights movement and international criminal justice institutions like the Nuremberg Tribunal and the International Criminal Tribunal for the Former Yugoslavia. It is also a country with a deep constitutional tradition of respect for human rights and the rule of law. Yet the United States has been reluctant to join some of the most important international human rights treaties and has strongly opposed the International Criminal Court (ICC). What explains the U.S. attitude toward the ICC? What should the new Administration's approach tot he ICC be?

Co-presented in commemoration of the 60th Anniversary of the UN Declaration of Human Rights by UNA-USA Midpeninsula Chapter and the Peninsula World Affairs Council

Additional co-sponsors (partial list): Program on Global Justice, Stanford University; American Red Cross Palo Alto Area, Los Altos Library; United Nations Association Film Festival (UNAFF)

Los Altos Youth Center
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Allen S. Weiner Professor Speaker Stanford School of Law
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Effective strategies for managing the dangers of global climate change are proving very difficult to design and implement. They require governments to undertake a portfolio of efforts that are politically challenging because they require large expenditures today for uncertain benefits that accrue far into the future. That portfolio includes tasks such as putting a price on carbon, fixing the tendency for firms to under-invest in the public good of new technologies and knowledge that will be needed for achieving cost-effective and deep cuts in emissions; and preparing for a changing climate through investments in adaptation and climate engineering. Many of those efforts require international coordination that has proven especially difficult to mobilize and sustain because international institutions are usually weak and thus unable to force collective action...."

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The Harvard Project on International Climate Agreements
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David G. Victor
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José María Aznar, Prime Minister of Spain from 1996 to 2004, delivered a public lecture to an overflow crowd at Stanford University on November 17, 2008, entitled, "America and Europe After Bush." This program was sponsored jointly by the Forum on Contemporary Europe, International Law Society, and Stanford Law School.
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David Hults
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Sanctuary for the State: National Oil Companies in Brazil, Mexico, and Venezuela

As the pro-market "Washington Consensus" has unraveled, this decade has seen the emergence of two new Latin American trends: One group of countries favoring continued liberalization (Brazil, Chile, Mexico), and another opting for increasing state intervention (Argentina, Ecuador, Venezuela). Energy policy tells some of the story behind these two trends. This talk will focus on energy policy for three Latin American countries-- Brazil, Mexico, and Venezuela-- within the context of a larger fifteen-country study on National Oil Companies. The speaker will address how oil has both facilitated greater state control and created, though typically to a lesser degree, some pressures for market liberalization, as well as suggest some implications from recent oil market trends (new oil field discoveries in Brazil, falling oil prices globally) for state control in the region. 

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David Hults
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