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Peter Henry's research on emerging markets provides fundamental insights about the impact of economic reform on the lives of people in developing countries. It uses theory and data to grapple objectively with some of the most important and contentious economic questions of our time: Does debt relief help or hurt poor countries? Should emerging nations permit capital to flow freely in and out of their economies? Is it possible to reduce inflation without undermining economic growth? Peter's answers to these questions appear in the leading academic journals and have led him to testify before the U.S. Congress and various United Nations Ambassadors.

Peter is Konosuke Matsushita Professor of International Economics, the John and Cynthia Fry Gunn Faculty Scholar, and Associate Director of the Center for Global Business and the Economy at the Stanford University Graduate School of Business. He is also a Senior Fellow of the Stanford Institute for Economic Policy Research, a Research Associate at the National Bureau of Economic Research, a Nonresident Senior Fellow of the Brookings Institution, and a member of the Council on Foreign Relations. From 2000-2001 he was a National Fellow at the Hoover Institution. The National Science Foundation's Early CAREER Development Program supported his research and teaching from 2001-2006. In 2004 Peter participated in the Copenhagen Consensus, an international conference on how to make the most efficient use of the world's scarcest resources. The Economist magazine named the published proceedings of the conference one of the best business books of 2004.

Peter received his PhD in economics from the Massachusetts Institute of Technology in 1997. While in graduate school, he served as a consultant to the Governors of the Bank of Jamaica and the Eastern Caribbean Central Bank (ECCB). His research at the ECCB contributed to the intellectual foundation for establishing the first stock market in the Eastern Caribbean Currency Area.

Prior to attending MIT, Peter was a Rhodes Scholar at Oxford University where he received a BA in mathematics and a Full Blue in basketball. He also holds a BA in economics from The University of North Carolina at Chapel Hill where he was a Morehead Scholar, a National Merit Scholar, a member of Phi Beta Kappa, a Marshall Scholar-Elect, a reserve wide receiver on the varsity football team, and a finalist in the 1991 campus-wide slam-dunk competition.

Born in Jamaica, Peter became a U.S. citizen in 1986. His wife of 12 years, Lisa J. Nelson, received her BA and MD from Yale University. She is a child psychiatrist and was a Glaxo Welcome Fellow of the American Psychiatric Association from 1995 to 1997. They have four sons: Christian Blair, Langston Alexander, Hayden Montgomery, and Harrison Elbert.

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Peter Blair Henry is the Class of 1984 Senior Fellow at Stanford University’s Hoover Institution, Senior Fellow at Stanford’s Freeman Spogli Institute for International Studies (FSI), and Dean Emeritus of New York University’s Leonard N. Stern School of Business. The youngest person ever named to the Stern Deanship, Peter served as Dean from January 2010 through December 2017 and doubled the school’s average annual fundraising. Formerly the Konosuke Matsushita Professor of International Economics at Stanford University’s Graduate School of Business, from 2001–2006 Peter’s research was funded by an NSF CAREER Award, and he has authored numerous peer-reviewed articles in the flagship journals of economics and finance, as well as a book on global economic policy, Turnaround: Third World Lessons for First World Growth (Basic Books).

A Vice Chair of the Boards of the National Bureau of Economic Research and the Economic Club of New York, Peter also serves on the Boards of Citigroup and Nike. In 2015, he received the Foreign Policy Association Medal, the highest honor bestowed by the organization, and in 2016 he was honored as one of the Carnegie Foundation’s Great Immigrants.

With financial support from the Hoover Institution and the Alfred P. Sloan Foundation, Peter leads the PhD Excellence Initiative, a predoctoral fellowship program in economics that identifies high-achieving students with the deepest commitment to economic research and prepares them for the rigors of pursuing a PhD in the field. For his leadership of the PhD Excellence Initiative, Peter received the 2022 Impactful Mentoring Award from the American Economic Association. Peter received his PhD in economics from MIT and Bachelor’s degrees from Oxford University, where he was a Rhodes Scholar, and the University of North Carolina at Chapel Hill, where he was a Morehead-Cain Scholar, a member of Phi Beta Kappa, a reserve wide receiver on the football team, and a finalist in the 1991 campus-wide slam dunk competition.

Born in Kingston, Jamaica, in 1969, Peter became a U.S. citizen in 1986. He lives in Stanford and Düsseldorf with his wife and four sons.

Class of 1984 Senior Fellow, Hoover Institution
Senior Fellow, Freeman Spogli Institute for International Studies
Dean Emeritus, New York University’s Leonard N. Stern School of Business
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Peter B. Henry Konosuke Matsushita Professor of International Economics, Gunn Faculty Scholar Speaker Stanford Graduate School of Business and CDDRL Faculty Member
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Shadi Hamid is a Hewlett Fellow at the Center for Democracy, Development, and the Rule of Law (CDDRL). He currently also serves as director of research at the Project on Middle East Democracy (POMED). This past year, he was a research fellow at the American Center for Oriental Research in Amman, where he conducted research on the evolving relationship between the Muslim Brotherhood and the Jordanian regime. His articles on Middle East politics and U.S. democracy promotion policy have appeared in The Washington Post, The Christian Science Monitor, The Jerusalem Post, The New Republic, The American Prospect, Democracy: A Journal of Ideas, and other publications. A Marshall Scholar, Hamid is completing his doctoral degree in politics at Oxford University, writing his dissertation on Islamist political behavior in Egypt, Jordan, and Morocco.

Previously, Hamid served as a program specialist on public diplomacy at the State Department and a Legislative Fellow at the Office of Senator Dianne Feinstein. During 2004-5, he was a Fulbright Fellow in Jordan, researching Islamist participation in the democratic process. He writes for the National Security Network's foreign affairs blog Democracy Arsenal and is a security fellow at the Truman National Security Project. He has been a consultant to various organizations on reform-related issues in the Arab world, and has appeared on The NewsHour with Jim Lehrer, NPR, Voice of America, and the BBC. Hamid received his B.S. and M.A. from Georgetown University's School of Foreign Service. 

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CDDRL Hewlett Fellow 2008-09

Shadi Hamid was a Hewlett Fellow in 2008-09 at CDDRL. At the same time he also served as director of research at the Project on Middle East Democracy (POMED). Prior to that, he was a research fellow at the American Center for Oriental Research in Amman, where he conducted research on the evolving relationship between the Muslim Brotherhood and the Jordanian regime. His articles on Middle East politics and U.S. democracy promotion policy have appeared in The Washington Post, The Christian Science Monitor, The Jerusalem Post, The New Republic, The American Prospect, Democracy: A Journal of Ideas, and other publications. A Marshall Scholar, Hamid also completed his doctoral degree in politics at Oxford University, writing his dissertation on Islamist political behavior in Egypt, Jordan, and Morocco.

Previously, Hamid served as a program specialist on public diplomacy at the State Department and a Legislative Fellow at the Office of Senator Dianne Feinstein. During 2004-5, he was a Fulbright Fellow in Jordan, researching Islamist participation in the democratic process. He writes for the National Security Network's foreign affairs blog Democracy Arsenal and is a security fellow at the Truman National Security Project. He has been a consultant to various organizations on reform-related issues in the Arab world, and has appeared on The NewsHour with Jim Lehrer, NPR, Voice of America, and the BBC. Hamid received his B.S. and M.A. from Georgetown University's School of Foreign Service.

Shadi Hamid Hewlett Predoctoral Fellow Speaker CDDRL
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Minxin Pei is a senior associate in the China Program at the Carnegie Endowment for International Peace. His research focuses on democratization in developing countries, economic reform and governance in China, and U.S.-China relations. He is the author of From Reform to Revolution: The Demise of Communism in China and the Soviet Union (Harvard University Press, 1994) and China’s Trapped Transition: The Limits of Developmental Autocracy (Harvard University Press, 2006). Pei’s research has been published in Foreign Policy, Foreign Affairs, The National Interest, Modern China, China Quarterly, Journal of Democracy and many edited books. Pei is a frequent commentator on BBC World News, Voice of America, and National Public Radio; his op-eds have appeared in the Financial Times, New York Times, Washington Post, Newsweek International, and International Herald Tribune, and other major newspapers. Pei received his Ph.D. in political science from Harvard University.

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Minxin Pei Senior Associate Speaker China Program at the Carnegie Endowment for International Peace
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Electricity transmission pricing and transmission grid expansion have received increasing regulatory and analytical attention in recent years. There are two disparate approaches to transmission investment: one employs the theory based on long-run financial rights (LTFTR) to transmission (merchant approach), while the other is based on the incentive-regulation hypothesis (regulatory approach). The transmission firm (Transco) is regulated through benchmark or price regulation to provide long-term investment incentives. In this presentation I consider the elements that could combine the merchant and regulatory approaches in a setting with price-taking electricity generators and loads. A new price-cap incentive mechanism for electricity transmission expansion is proposed based upon redefining transmission output in terms of point-to-point transactions. The mechanism applies the incentive regulatory logic of rebalancing the variable and fixed parts of a two-part tariff to promote efficient, long-term expansion.

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Juan Rosellón Professor of Economics Speaker Centro de Investigación y Docencia Económicas, Mexico
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The Mumbai terror attacks, apparently carried out by Pakistan-based Kashmiri militant groups, highlight one of the most pressing challenges facing the new Obama administration. Though it is officially a key ally in U.S. anti-terrorism efforts, the Pakistani government has been unable or unwilling to control Islamist militancy within its borders. Large swaths of the country are now in the hands of the jihadis, including reconstituted elements of the Taliban. These groups are wreaking havoc both in Pakistan and abroad. Combined with Pakistan's collapsing economy and arsenal of at least several dozen nuclear weapons, this is the recipe for disaster.

Observers have suggested that, to ameliorate this situation, the United States should lead a renewed effort to solve Pakistan's dispute with India over the territory of Kashmir. The resolution, according to this reasoning, will significantly reduce the militants' incentives for violence. There is even talk of appointing former President Bill Clinton as special envoy to lead such a project.

Not a good idea

Despite its intuitive appeal, this would be an unfortunate South Asia policy for the United States. American efforts to mediate the Kashmir dispute would be ill advised for three reasons:

First, Islamist militants seek nothing less than complete Pakistani possession of Kashmir. Such a solution is out of the question. To allow Muslim-majority Kashmir to secede from the Indian Union on the basis of religion would badly undermine India's efforts to build a cohesive state out of the multiplicity of ethnic and religious groups within its borders. India has flatly rejected such an approach for more than 60 years and will not agree to it now. Thus, American efforts to devise a solution acceptable to both New Delhi and the militants would, at best, be wasted.
At worst, such a policy could convince the militants that violence has been effective, coercing the United States into bringing India to the bargaining table. This could embolden the jihadis further, resulting in even more terrorism in Pakistan and abroad.
Second, American intervention in the Kashmir dispute would greatly annoy India. After decades of mutual indifference, Washington and New Delhi now view each other as strategic partners, with a host of common economic and security interests. The Indian government has made clear that it considers Kashmir a bilateral issue to be resolved solely with Pakistan. U.S. interference would demonstrate callousness toward Indian concerns on this sensitive issue and could squander much hard-earned good will.

Kashmir improving

Third, proponents of American intervention ignore recent improvements in Kashmir. Left to their own devices, India and Pakistan have launched a peace process and implemented a series of confidence-building measures. As a result, violence has declined, and Indian forces have adopted a less aggressive posture in the region.

Of course, such improvements are tenuous. They could fall victim to events such as the Mumbai attacks, which were undoubtedly intended to undermine the improved security situation and increase regional tensions. Nonetheless, given recent progress, it would be inadvisable to jettison Indo-Pakistani bilateralism in favor of third-party diplomatic intervention.

Observers are correct to note the dangers emanating from Pakistan and the importance of South Asian stability to United States security. South Asia is no longer a strategic backwater; it is a region to which the Obama administration will have to pay close attention, as events in Mumbai have dramatically demonstrated. In crafting its South Asia policy, however, the administration should remember that less can be more, particularly regarding Kashmir.

S. Paul Kapur is associate professor in the Department of National Security Affairs, U.S. Naval Postgraduate School, and a faculty affiliate at Stanford University"s Center for International Security and Cooperation. His views do not necessarily reflect those of the U.S. government. Sumit Ganguly is professor of political science at Indiana University-Bloomington and an adjunct senior fellow of the Pacific Council on International Policy in Los Angeles. They wrote this article for the Mercury News.

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The small band of terrorists who attacked Mumbai last week killed nearly 200 people, wounded several hundred more and stoked tensions between India and Pakistan. The attacks have brought attention to the countries' long-simmering dispute over Kashmir and the diplomatic balancing act the United States must play between the nuclear-armed neighbors. They also expose major flaws in India's national security and highlight Pakistan's ineffectiveness in dealing with terrorist groups.

Paul Kapur, a faculty affiliate at Stanford's Center for International Security and Cooperation and an associate professor at the U.S. Naval Postgraduate School, is an expert on international security in South Asia. He's the author of Dangerous Deterrent: Nuclear Weapons Proliferation and Conflict in South Asia, and his work has appeared in journals such as International Security, Security Studies, Asian Survey, and Asian Security.

In an interview with Stanford Report, Kapur discussed the group that was likely behind the attacks and how he expects the situation to unfold.

American and Indian officials say there's evidence linking the attacks to members of Lashkar-e-Taiba. Who are these people, and what would be their motivation for hitting Mumbai?

Lashkar-e-Taiba is one of a number of militant groups that have been fighting against Indian control of Kashmir. India doesn't control all of Kashmir but controls part of it, including the Kashmir valley, which is especially prized.

These types of groups have been active since the late 1980s. There was a spontaneous--and mostly indigenous--uprising against Indian rule in Kashmir as the result of Indian ineptitude and malfeasance. The Pakistanis took advantage of the situation and got involved with the insurgency and started backing militant organizations with arms and training and financial and logistical support. It was an opportunity on the Pakistani side. By supporting the insurgency, they could potentially get the territory from India and bleed Indian resources.

What does that say about Pakistan's responsibility for the attacks?

There does seem to be strong evidence that Lashkar-e-Taiba was involved, and the attackers did come from Pakistan. But that doesn't mean the Pakistani government was directly involved with this operation. My guess is they probably weren't.

Events like this show that the Pakistani government is either unable or unwilling to quash militancy within its territory and to stop terrorists from using Pakistani soil to launch attacks on its neighbors.

Even if the Pakistani government now is not directly pulling the strings of these groups, the groups exist largely because of Pakistani support in the past. So now the genie is out of the bottle. The big danger is that a group like this could trigger an Indo-Pakistani crisis and conflict without the direct involvement of the Pakistani government.

But that doesn't mean the Pakistani government was directly involved with this operation. My guess is they probably weren't.

What does this mean for relations between India and Pakistan? Do you expect India will launch a military response?

It's certainly possible. If you think about the last time there was a major Indo-Pakistani militarized crisis, it was after a failed attack on the Indian parliament-also involving Lashkar-e-Taiba-back in 2001. That attack failed. About five people died, and it was over in the space of a morning. Nonetheless, the Indians were so outraged that they mobilized about 500,000 troops along the international border, and there was a major standoff that lasted almost a year.

That was-in my view-a lot less provocative than Mumbai. This attack killed almost 200 people, wounded hundreds more, lasted almost three days and targeted the financial hub of India. There's going to be a lot of pressure domestically for the government to act in a forceful way.

The unfortunate thing is that things were getting better between the two sides. Since that last crisis in 2001-2002, a peace process had begun and there was really a thaw in Indo-Pakistani relations. Kashmir had actually gotten more stable, and the general sense was that the regional trajectory was a positive one. Ironically, it may be that some of that progress is what motivated the Mumbai attacks. Part of the goal of an operation like this would certainly be to derail improving relations in the region.

Both India and Pakistan have nuclear weapons. How will that factor into how the countries deal with each other?

Nuclear weapons will create incentives for the two countries-even in the event of a crisis-to behave somewhat cautiously so the situation doesn't spin out of control. But the problem is that nuclear weapons also greatly reduce the margin for error. In the event of a miscalculation, the cost could be catastrophic.

America is an ally of both these countries and has relied on the Pakistanis to combat the Taliban along the border with Afghanistan. What's at stake for American diplomacy in this situation?

It's very tricky. The U.S. relies on Pakistan as a major ally in the war on terror. We've been pressuring the Pakistanis to pay attention to the northwest frontier and the border with Afghanistan and get that area under control. One thing the United States does not want to see is an Indo-Pakistani conflict, which draws Pakistani forces away from that mission in the northwest and back to the east to combat the Indians. From the standpoint of U.S. goals in Afghanistan, it would take resources away from that struggle, and so the United States very much wants the current situation to be resolved in a way that doesn't involve a major confrontation.

The problem is that it's going to be hard for the U.S. to say to the Indians, "Hey, you shouldn't retaliate against these guys," because this is exactly the argument that the United States makes in justifying its own retaliation against terrorists. If a country is unable or unwilling to keep its territory from being used to launch terror attacks, then U.S. leaders have claimed to have the right to go in and deal with the situation.

There are reports that India received warnings about the possibility of terrorist attacks on Mumbai. What did government officials do with that information, and why wasn't more done to beef up security and counterterrorism measures?

It's not clear that they did anything. They may have ratcheted up security for a short time and then let it return to normal levels. One of the things that's going to come out of this in the weeks and months ahead is an examination of the effectiveness of the Indian security services. Obviously, there's a huge intelligence failure here. But at a tactical level, it took almost three days to get a handful of terrorists out of three or four buildings. It wasn't a shining moment. The Indian security forces bravely did their job. But in terms of their effectiveness, my sense is that there were some pretty serious shortcomings.

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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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