Stanford University

International Relations

FSI researchers strive to understand how countries relate to one another, and what policies are needed to achieve global stability and prosperity. International relations experts focus on the challenging U.S.-Russian relationship, the alliance between the U.S. and Japan and the limitations of America’s counterinsurgency strategy in Afghanistan.

Foreign aid is also examined by scholars trying to understand whether money earmarked for health improvements reaches those who need it most. And FSI’s Walter H. Shorenstein Asia-Pacific Research Center has published on the need for strong South Korean leadership in dealing with its northern neighbor.

FSI researchers also look at the citizens who drive international relations, studying the effects of migration and how borders shape people’s lives. Meanwhile FSI students are very much involved in this area, working with the United Nations in Ethiopia to rethink refugee communities.

Trade is also a key component of international relations, with FSI approaching the topic from a slew of angles and states. The economy of trade is rife for study, with an APARC event on the implications of more open trade policies in Japan, and FSI researchers making sense of who would benefit from a free trade zone between the European Union and the United States.

Secret Practices of the War on Terror

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Barbara Olshansky is Director Counsel of the Global Justice Initiative and Deputy Legal Director of the Center for Constitutional Rights. Barbara's current docket at the Center for Constitutional Rights includes class action lawsuits concerning international human rights; immigrants' rights; race discrimination in employment, education, the environment, and public health; and prisoners' rights. Barbara recently co-authored two books: the most recent, entitled America's Disappeared, discusses the plight of America's "war on terror" detainees; and the second, entitled Against War With Iraq, analyzes the international law ramifications of the U.S. decision to pursue a military campaign in Iraq.

Barbara has also written two other books: Democracy Detained, discussing America's secret practices used in the "war on terror," and Secret Trials and Executions, assessing the military commissions scheduled for Guantánamo detainees. Stanford Law School recently named her 2005 Public Interest Lawyer of the Year.

Stanford Law School, Room 190

Barbara Olshansky Director Counsel of the Global Justice Initiative and Deputy Legal Director of the Center for Constitutional Rights. Speaker
Lectures

From California dreaming to silicon success: the rise of China's semiconductor industry

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George Krompacky
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On October 18, 2005, SPRIE presented the next seminar in its 2005-2006 series on "Greater China and the Globalization of R&D" with speaker Dr. Doug Fuller, current SPRIE Fellow. Dr. Fuller, speaking on "From California Dreaming to Silicon Success: The Rise of China's Semiconductor Industry," presented both industry-wide data and case studies of individual firms to explain how the politics of finance in China shape which Chinese chip firms become fast learners able to compete in world markets and which ones remain technological laggards.

Over the last several decades, there has been a strenuous debate about policies for economic development between the Washington Consensus promoted by the major international financial institutions and the revisionist political economists . Followers of the former view advocate free and unfettered markets buttressed by institutions to protect property rights. The revisionists argue that development involves social and political processes not adequately captured by the narrow prescriptive focus of the Washington Consensus.

In confronting globalization, there is also a new split among the revisionists themselves. Whereas the Washington Consensus welcomes globalization as a boon to developing countries through expanding the scope of market forces, the revisionists divide over the prospects for developing countries under globalization. The optimists, such as Ernst and Saxenian, see transnational networks as providing opportunities for developing countries to continue to learn the skills and competencies necessary to further their progress. The pessimists of the revisionist camp, such as Stiglitz and Strange, see globalization eroding the capabilities of the state or state-societal alliances necessary for development.

Using the case of technological upgrading (one aspect of economic development) in China's information technology (IT) industry, I demonstrate that opportunities for development exist under globalization. These paths to development are not simply the result of picking the right international networks to join nor are they due to the continued efficacy of state action. They also do not arise from well-developed market institutions within China. China's development success in spite of low levels of state industrial policymaking capacity and very incomplete market institutions tells us that other developing countries similarly unequipped can develop even in this globalized world.

In China's IT industry, two local institutional variables, firm operational strategies and state-firm relations, have interacted with the technology flows present in global networks to create opportunities for certain types of firms to upgrade. A firm's operational strategy (OS) determines its motivation to upgrade in China as opposed to doing so elsewhere. The relationship of firms to the state determines their sources of finance i.e. whether or not they can access functioning financial institutions.

The relationship of firms to the state determines their sources of finance and these sources of finance in turn impact their ability to upgrade. Sources of finance that provide credit with hard budget constraints give firms incentives to upgrade. Firms have hard budget constraints when they do not receive free help in covering their own financial obligations. With hard budget constraints forcing firms to meet their financial obligations, firms have to remain competitive to survive. For technology firms, a critical part of their competitiveness is their technology so they have every incentive to improve their technologies to keep pace with competitors. Finance that provides credit with soft budget constraints deprives firms of the incentives and even the capabilities to upgrade. Firms have soft budget constraints when they do not have to pay for some or all of their financial obligations themselves. These firms can rationally expect to survive even if not competitive because others are willing to bail them out. A third possibility is no source of finance. Firms without financing will not be able to invest in technological development.

 

There are four types of firms in China: the favored domestic firms, the neglected domestic firms, the hybrid foreign-invested enterprises (FIEs) and the regular FIEs. Financing and motivation have varied across firm categories. Due to different state-firm relations, FIEs rely on foreign finance and domestic firms do not. Hybrid FIEs differ from regular FIEs because the hybrids have a China-based operational strategy. This operational strategy (OS) is a mix of interests and ideational factors that causes these firms to perceive China either as the vital center of their operations (the China-based OS) or as just another location among many (the non-China-based OS). Thus, variation in firm-state relations (finance) and operational strategy (motivation) determine the variation in technological upgrading.

This thesis finds that the two types of FIEs are more likely to contribute to upgrading in China than the two types of domestic firms. Among the FIEs, the hybrid FIEs are more likely to contribute than the regular FIEs though the discrepancy is not as large as it is between the FIEs and domestic firms.

The hybrids are the most successful upgraders because they have both disciplined finance (i.e. credit with relatively hard budget constraints) from foreign financial institutions and the motivation to upgrade in China due to their China-based OS. The unsuccessful domestic upgraders lack finance (neglected domestic firms) or financial discipline (the favored domestic firms) due to their particular relationships to the state. The regular FIEs have the capabilities to upgrade due to their financial discipline and access to transnational technology networks, but undertake less upgrading in China than the hybrids because they lack the China-based operational strategy.

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European Forum Fall 2005 Update

Authors
Christophe Crombez
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The 2005-06 Academic Year got off to an exciting start for the European Forum. Following the recent terror attacks in Madrid and London, the Forum plans to be organizing a variety of events on the manners in which European countries and institutions are facing the threat of terrorism. In the first weeks of the Fall Quarter the European Forum hosted several European politicians, academics and authors. On October 12 John Bruton, European Union Ambassador to the United States and former Prime Minister of Ireland (1994-97), presented his views on Europe and the United States as global partners in a fascinating lecture for a crowd of about 100 faculty and researchers.

Earlier during the Fall term the European Forum was honored to welcome Latvian Foreign Affairs Minister Artis Pabriks. On September 21 he gave a lecture on Latvia's current challenges in foreign policy and homeland security, and answered questions on Latvia's relations with the United States and its position within the European Union.

During a visit to Stanford on October 4 German sociologist Heinz Bude, from the University of Kassel, presented his views on the most recent German elections from a broad, societal and historical perspective, paying attention to the 1968 student uprisings and their long-term impact on German society. Later on in October Christian Deubner, from the CEPII research center in Paris, shared his opinions on current developments in French politics, with a focus on the French rejection of the EU Constitution earlier this year and its impact on France's position in the EU.

On October 26 German author Peter Schneider offered his reflections on the cultural differences between Europe and the United States. He compared the relationship between the two continents to a marriage that has its ups and downs, but endures. In a seminar on November 3 Josef Joffe, Editor of the German newspaper Die Zeit, pointed at cultural, demographic, political and economic reasons to argue that the European Union is not about to become a new superpower. Both events drew much attention and a large audience from the Stanford community.

Later on in November there will be talks on the effects of the Europeanization of the holocaust on the attitudes toward Jews (November 16), by Werner Bergmann from the Technische Universität Berlin; and on Poland's current economic dilemma's (November 17), by Wojciech Bienkowski, from the Warsaw School of Economics.

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Trends in Outsourcing Services: A Vendor's Perspective

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The US-India corridor for services outsourcing, now over three decades old, has moved from providing software programming to a wide range of lines of work, encompassing business processes, call-centers and analytical work, and going beyond its original focus on the banking industry to cover other financial services, healthcare and personnel management. The talk will address the benefits and risks associated with outsourcing,  the value proposition from a vendors' perspective and trends in the outsourcing services industry. The talk will take an analytical view of the drivers of outsourcing, going beyond the usual arguments based on cost arbitrage to show how firms like TCS have built defensible businesses based on process maturity, domain expertise, scale and scope. 

Surya Kant (known as Sury) is  President, Tata Consultancy Services  North America. Tata Consultancy Services Limited (TCS) is India's largest global IT consulting and services company, employing over 50,000 persons in 34 countries. His 27 year career with TCS includes setting up TCS Japan in 1987. He has also been country manager, TCS UK.  His focus areas include software quality assurance and delivery center management.

Sury received his Masters in Electrical Engineering from IIT Delhi (1978) and his Bachelors of Electrical Engineering from Delhi College of Engineering (1976). He is a member of the Association of Computing Machinery (ACM), USA. He was nominated to the Tata Group Top Strategic Leadership Programme in 2004.

Tea and samosas will be served.

Philippines Conference Room

Surya Kant President, Tata Consultancy Services Limited, North American Operations (TSC) Speaker
Lectures

Indonesia's Yudhoyono: A Strong Leader At Last?

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After more than 30 years under the strong leadership of Suharto, Indonesians saw three weak and not always legitimate presidents come and go: B. J. Habibie (1998-99), Abdurrahman Wahid (1999-2001), and Megawati Sukarnoputri (2001-2004). Democratization went forward. Yet Indonesians increasingly longed for a stronger

government that could deliver on its promises, including economic development. In 2004 Susilo Bambang Yudhoyono (SBY) won the country's first-ever direct presidential election by a landslide. During the campaign he promised, above all, an effective

government. Looking back on his first year, how has he performed? Has he broken the string of weak leaders? Will he grow in his job to become more effective? More

broadly, are weak leaders good for democracy but bad for development? Or does Indonesia illustrate some other relationship between national leadership, political

openness, and economic progress?

Hadi Soesastro is currently a visiting professor in the Weatherhead Institute of East Asian Studies at Columbia University. He has been with CSIS since 1971. His research interests include the political economy of development, regionalism, and trade, and energy issues, topics on which he has published and lectured widely. Recent writing on Indonesia includes an essay in Economic Recovery and Reform (2004). Dr. Soesastro chairs the International Steering Committee of PAFTAD (Pacific Trade and Development) and serves as an adjunct professor at the Australian National University in Canberra. In Indonesia he has served as a member of the National Research Council and the National Economic Council. He earned his PhD from the RAND Graduate School in Santa Monica, California.

Daniel I. Okimoto Conference Room

Hadi Soesastro Executive Director, Centre for Strategic and International Studies, Jakarta Speaker
Seminars
Southeast Asia Program

Is Taiwan Chinese?: Comparing the Experiences of Taiwanese and Chinese

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Many people in China and the US assume that the new Taiwanese national identity is a political ploy which originated with Taiwan's government. Based on ethnographic research in both Taiwan and China, Melissa Brown argues that Taiwanese identity -- in both its ethnic and national forms -- are based on social experience. Because the people of Taiwan and China have had such different social experiences since 1895, Taiwanese identity as distinct from Chinese identity is real. The reality of Taiwanese identity poses challenges for resolving the debate over Taiwan's future relations with China, particularly in nationalistic responses due to lack of Chinese experience with Taiwanese society.

Melissa J. Brown is Assistant Professor of Anthropological Sciences and Research Affiliate at Asia-Pacific Research Center at Stanford University. She has been researching changing identities in Taiwan and China since 1991. Her books include Negotiating Ethnicities in China and Taiwan (University of California, Institute for East Asian Studies, 1996) and Is Taiwan Chinese? The Impact of Culture, Power, and Migration on Changing Identities (University of California Press, 2004).

Philippines Conference Room

Melissa J. Brown Speaker Stanford University
Seminars

A Dynamic Model of the Demand for the Rule of Law in Post-Communist Economies

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We investigate the demand for the rule of law in post-Communist economies after privatization under the assumption that theft is possible, that those who have "stolen" assets cannot be fully protected under a change in the legal regime towards "rule of law," and that the number of agents with control rights over assets is large. A demand for broadly beneficial legal reform may not emerge because the expectation of a legal vacuum increases the expected relative return to asset-stripping, and strippers may gain from a weak, corrupt state. The outcome can be inefficient even from the narrow perspective of the asset-strippers.

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Encina Basement Conference Room

Karla Hoff Speaker The World Bank
Seminars

Integrated Circuit Development in Globalization - a China Experience

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In today's global economy, access to resources around the world has never been easier. The high tech industry has always been in the forefront of globalization in lowering costs, acquiring talent as well as serving markets. For instance, Asian countries have long been known for their vast manufacturing bases for western high tech industry.

In recent years, thanks to Y2K, India has become the leader in software outsourcing. China, given its expanding economy as well as its open market direction, has rapidly become the emerging location for multi-national semiconductor companies to outsource their product development amidst China's own burgeoning integrated circuit (IC) industry. Mr. Lee has first-hand experience in building and managing an IC product development center in Shanghai, China. He will discuss the challenges of operating a R&D organization in an environment of different languages and cultures. He will also share his vision of the future of the IC industry in China.

Mr. Lee is Group Vice President and general manager of Timing Solutions Products at Integrated Device Technology, Inc.(IDT), a public semiconductor company of $650 million annual sales, focusing on valued-added solutions for communication, consumer and computing markets. He has been with IDT for the last 22 years and has served various management roles. In 2001, he architected the acquisition of Newave Semiconductor Corporation in China and established the Shanghai Product Development Center for IDT. Before joining IDT in 1984, Mr. Lee spent 5 years at Intel Corporation as a technologist for the early development of flash memory technology. Mr. Lee earned his B.S. degree in Electrical Engineering from National Taiwan University in 1975 and M.S. degree from Case Western Reserve University in 1979.

Philippines Conference Room

Jimmy Lee Group Vice President & General Manager of Timing Solutions Products Speaker Integrated Device Technology, Inc.
Seminars
Stanford Program on Regions of Innovation and Entrepreneurship (SPRIE)

Biometric Analysis of the US-VISIT Program

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Post-9/11, the U.S. government instituted the U.S. Visitor and Immigrant Status Indicator Technology (US-VISIT) Program, which compares two index fingerprints from every foreign visitor entering the U.S. against a watchlist of fingerprints from several million criminals and suspected terrorists. In the first part of this talk, we develop a new probabilistic model for fingerprint matching that allows for population heterogeneity in fingerprint image quality, calibrate this model using data from the National Institute of Standards and Technology (NIST), and embed the model into a Stackelberg game, in which the U.S. government chooses an optimal biometric strategy to maximize the detection probability subject to a constraint on the mean biometric processing time per legal visitor, and then the terrorist chooses his fingerprint image quality to minimize his detection probability. We predict that switching from a two-finger system to a ten-finger system would increase the detection probability in this game from 0.526 to 0.949. This work was the basis of Congressional testimony last fall, and the Department of Homeland Security recently announced that they are switching from a two-finger system to a ten-finger system. In the second part of this talk, we use new data from Cogent (the biometrics vendor for the U.S. Visit Program) to derive a two-stage, two-finger biometric strategy that works as well as a one-stage, ten-finger strategy. The second stage of this two-stage strategy employs texture matching rather than the traditional minutiae matching.

Manas Baveja is a doctoral candidate in the Institute for Computational and Mathematical Engineering at Stanford University and a CISAC science fellow. His doctoral research is focused on quantitative modeling of homeland security projects.

Lawrence Wein is the Paul E. Holden Professor of Management Science at the Graduate School of Business, Stanford University, and an affiliated faculty member at CISAC.

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Reuben W. Hills Conference Room

Manas Baveja Speaker

Lawrence M. Wein

Graduate School of Business
Stanford University
Stanford, CA 94305-5015

(650) 724-1676 (650) 725-0468
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Jeffrey S. Skoll Professor of Management Science
CISAC Affiliated Faculty Member
Wein.jpg PhD

Lawrence Wein is the Jeffrey S. Skoll Professor of Management Science at the Graduate School of Business, Stanford University, and an affiliated faculty member at CISAC. After getting a PhD in Operations Research from Stanford University in 1988, he spent 14 years at the Sloan School of Management at MIT, where he was the DEC Leaders for Manufacturing Professor of Management Science. His research interests include mathematical models in operations management, medicine and biology.

Since 2001, he has analyzed a variety of homeland security problems. His homeland security work includes four papers in Proceedings of the National Academy of Sciences, on an emergency response to a smallpox attack, an emergency response to an anthrax attack, a biometric analysis of the US-VISIT Program, and an analysis of a bioterror attack on the milk supply. He has also published the Washington Post op-ed "Unready for Anthrax" (2003) and the New York Times op-ed "Got Toxic Milk?", and has written papers on port security, indoor remediation after an anthrax attack, and the detention and removal of illegal aliens.

For his homeland security research, Wein has received several awards from the International Federation of Operations Research and Management Science (INFORMS), including the Koopman Prize for the best paper in military operations research, the INFORMS Expository Writing Award, the INFORMS President’s Award for contributions to society, the Philip McCord Morse Lectureship, the Frederick W. Lanchester Prize for best research publication, and the George E. Kimball Medal. He was Editor-in-Chief of Operations Research from 2000 to 2005, and was elected to the National Academy of Engineering in 2009.   

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Lawrence M. Wein Speaker
Seminars

The Dangers of Accidental Ballistic Missile Launch

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During the Cold War the United States and the Soviet Union made launch-on-warning an important part of their nuclear strategies. To achieve the launch-on-warning capability both countries deployed networks of early-warning satellites and radars as well as command and control systems that allowed them to launch a retaliatory strike in response to a ballistic missile attack. These systems, which remain operational to this day, are believed to support the "hair-trigger alert" posture of strategic nuclear forces.

This presentation will consider the current status of the U.S. and Russian early-warning systems and the extent to which characteristics of these systems can contribute to the danger of an accidental ballistic missile launch. It will also analyze various proposals that aim at reducing the danger of accidental launch--de-alerting, reduction of strategic forces, repairing the Russian early-warning system, etc. It will be shown that most of these measures are inadequate and some may in fact increase the danger of an accident.

Pavel Podvig joined CISAC as a research associate in 2004. Before that he was a researcher at the Center for Arms Control, Energy and Environmental Studies at the Moscow Institute of Physics and Technology (MIPT). He worked as a visiting researcher with the Security Studies Program at MIT and with the Program on Science and Global Security at Princeton University, and he taught physics in MIPT's General Physics Department for more than ten years. Podvig graduated with honors from the Moscow Institute of Physics and Technology in 1988, with a degree in physics. In 2004 he received a PhD in political science from the Moscow Institute of World Economy and International Relations.

His research has focused on technical and political issues of missile defense, space security, U.S.-Russian relations, structure and capabilities of the Russian strategic forces, nuclear nonproliferation. He was the head of the Russian Strategic Nuclear Forces research project and the editor of a book of the same title, which is considered a definitive source of information on Russian strategic forces.

Reuben W. Hills Conference Room

Pavel Podvig Speaker
Seminars
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