International Development

FSI researchers consider international development from a variety of angles. They analyze ideas such as how public action and good governance are cornerstones of economic prosperity in Mexico and how investments in high school education will improve China’s economy.

They are looking at novel technological interventions to improve rural livelihoods, like the development implications of solar power-generated crop growing in Northern Benin.

FSI academics also assess which political processes yield better access to public services, particularly in developing countries. With a focus on health care, researchers have studied the political incentives to embrace UNICEF’s child survival efforts and how a well-run anti-alcohol policy in Russia affected mortality rates.

FSI’s work on international development also includes training the next generation of leaders through pre- and post-doctoral fellowships as well as the Draper Hills Summer Fellows Program.

The Future of Mobile Internet Japan: Lessons from the 2011 Disaster

Thursday, December 8, 2011 | 4:15 PM -Thursday, December 8, 2011 | 5:30 PM

Japan Colloquium Series

KDDI is a leading telecommunications firm in Japan. Japan’s mobile Internet market has been the most highly developed in the world since the late 1990s, and KDDI has been a major innovator in providing services and a platform for content. The advent of smartphones is rapidly transforming the industry, and Mr. Tadashi Onodera will be looking into the future while reflecting on lessons learned from the 3-11 2011 triple disaster— earthquake, tsunami, and nuclear disaster—that hit Japan.

Tadashi Onodera has been chairman of KDDI Corporation since June 2005. He held the position of president from June through November 2010. KDDI was established in October 2000 through the merger of the DDI, KDD, and IDO Corporations.

Onodera joined DDI in November 1984, just before the Japanese telecommunications market was deregulated. Since then he has been involved in a wide variety of projects, such as the construction of a nationwide microwave network and the development of cellular phone networks. He has spent a lot of time and energy in the implementation of CDMA technology and mobile data services. He has received the “Industry Leadership” of 2005 3G CDMA Industry Achievement Award.

Co-sponsored by the Stanford US-Asia Technology Management Center

Skilling Auditorium
494 Lomita Mall
Stanford University

Tadashi Onodera Chairman Speaker KDDI Corporation

Seminars

Post-Catastrophe Japan: Economic and Political Prospects

Monday, November 14, 2011 | 5:00 PM -Monday, November 14, 2011 | 6:30 PM

Japan Colloquium Series Inaugural Event

Japan is facing a major set of challenges in the aftermath of its triple disaster of earthquake, tsunami, and nuclear crisis. It had just begun recovering from the 2008 global financial crisis when the disasters hit. Richard Katz will discuss the economic and political prospects for Japan after this catastrophe in a broader global context. He will also be presenting lessons from Japan for U.S. policymakers fighting the current slump.

Richard Katz is editor of the Oriental Economist Report, a monthly newsletter on Japan, as well as the semi-weekly TOE Alert e-mail service on Japan. He is also a special correspondent at Weekly Toyo Keizai, a leading Japanese business weekly. Katz is the author of two books on Japan. The first is Japan: The System That Soured--The Rise and Fall of the Japanese Economic Miracle (M.E. Sharpe,1998); it was published in a Japanese edition as Kusariyuku Nihon To Iu System (Toyo Keizai, 1999). His second book, entitled Japanese Phoenix: The Long Road to Economic Revival (M.E. Sharpe, 2002), was published in English, and in Japanese as Fushicho no Nikon Keizai (Toyo Keizai). Katz has taught about Japan as an adjunct professor in economics at the State University of New York at Stony Brook and at the New York University Stern School of Business. He regularly writes op-eds for newspapers such as the Asian Wall Street Journal and the Financial Times, as well as essays for a variety of journals, including the article “The Japan Fallacy?” for the March-April 2009 issue of Foreign Affairs. He has testified about in Japan in Congress on several occasions. Katz received his MA in economics from New York University in 1996.

Philippines Conference Room

Richard B. Katz Editor Speaker The Oriental Economist Report

Seminars

Expulsions: Inequality's Fifth Circle

Wednesday, May 2, 2012 | 4:30 PM -Wednesday, May 2, 2012 | 6:00 PM

In the last two decades there has been a sharp growth in the numbers of people that have been “expelled,” numbers far larger than the newly “incorporated” middle classes of countries such as India and China. I use the term “expulsion” to describe a diversity of conditions: the growing numbers of the abjectly poor, of the displaced in poor countries who are warehoused in formal and informal refugee camps, of the minoritized and persecuted in rich countries who are warehoused in prisons, of workers whose bodies are destroyed on the job and rendered useless at far too young an age, able-bodied surplus populations warehoused in ghettoes and slums. One major trend is the repositioning of what had been framed as sovereign territory, a complex conditions, into land for sale on the global market – land in Sub-Saharan Africa, in Central Asia and in Latin America to be bought by rich investors and rich governments to grow food, to access underground water tables, and to access minerals and metals. My argument is that these diverse and many other kindred developments amount to a logic of expulsion, signaling a deeper systemic transformation in advanced capitalism, one documented in bits and pieces but not quite narrated as an overarching dynamic that is taking us into a new phase of global capitalism. The paper is based on the author’s forthcoming book Expulsions.

Saskia Sassen is the Robert S. Lynd Professor of Sociology and Co-Chair, The Committee on Global Thought, Columbia University (www.saskiasassen.com). Her recent books are Territory, Authority, Rights: From Medieval to Global Assemblages (Princeton University Press 2008), A Sociology of Globalization (W.W.Norton 2007), both translated into Spanish by Editorial Katz (Madrid y Buenos Aires), and the 4th fully updated edition of Cities in a World Economy (Sage 2012). Among older books is The Global City (Princeton University Press 1991/2001). Her books are translated into over 20 languages. She is the recipient of diverse awards and mentions, ranging from multiple doctor honoris causa to named lectures and being selected as one of the 100 Top Global Thinkers of 2011 by Foreign Policy Magazine.

Worldwide Inflation and International Monetary Reform: Exchange Rates or Interest Rates?

Wednesday, February 29, 2012 | 12:00 PM -Wednesday, February 29, 2012 | 1:30 PM

Ronald I. McKinnon is an applied economist whose primary interests are international economics and economic development-with strong secondary interests in transitional economies and fiscal federalism. Understanding financial institutions in general, and monetary institutions in particular, is central to his teaching and research. His interests range from the proper regulation of banks and financial markets in poorer countries to the historical evolution of global and regional monetary systems. His books, numerous articles in professional journals, and op-eds in the financial press such as The Economist, The Financial Times, and The Wall Street Journal reflect this range of interests.

Event Summary

Professor McKinnon first outlines the two major assumptions behind his paper (available on this page). First, that from December 2008 to August 2011, an inflow of "hot money" to emerging economies resulted from low U.S., European, and Japanese interest rates. Since then, the trend has reversed in the wake of the European banking crisis and bank lending has fallen. Second, the dollar remains the widespread central bank reserve currency despite instability in the U.S. system.

McKinnon voices concern about Federal Reserve Chairman Ben Bernanke's zero interest rate policy, calling it an overreaction to the crisis and a "lose-lose" policy as it deters investment in the U.S. while simultaneously spurring destabilizing hot money flows to surrounding emerging markets. These countries are in turn forced to suppress interest rates to mitigate the inflows, and to build up dollar reserves to keep exchange rates in check. The zero interest rate policy also stimulates carry trades in commodities by speculators.

The belief that under a zero interest rate regime, inflation will stimulate the economy by bringing real interest rates to negative levels, is misplaced in McKinnon's view. He argues that this simply adds uncertainty and interferes with efficient bank intermediation, as banks hold high excess reserves and tighten lending, causing a procyclical contraction as has been seen in the United States and Europe. He contrasts this approach with China, which stabilized its economy following the “dot-com” bust by expanding rather than contracting bank credit. He criticizes U.S. pressure on China to appreciate or float its currency, asserting that these strategies would fail to reduce China's trade surplus.

McKinnon suggests that international reforms should target interest rates instead of exchange rates. He recommends coordination between central banks of the major industrialized countries, especially the United States, European countries, and Japan - to collectively raise interest rates to approximately 2%. This would improve overall bank intermediation, and would benefit both central and peripheral countries in Europe.

A question and answer session following the talked addressed topics including: the likelihood of a coordinated effort between central banks; the potential effects of Kucinich's monetary reform proposal; the potential negative effects on real growth from carry trades, and whether this is a cause for concern; and the effects of bank borrowing trends in Europe on the European monetary system.

Download pdf

CISAC Conference Room

Ronald I. McKinnon

Shorenstein APARC
Stanford University
Encina Hall, Room E301
Stanford, CA 94305-6055

(650) 723-9741 (650) 723-6530

mckinnon@stanford.edu

William D. Eberle Professor of International Economics

R_McKinnon_headshot.jpg PhD

Ronald McKinnon is the William D. Eberle Professor of International Economics at Stanford University. Currently, he is researching trade and financial policy in less-developed countries, the transition from socialism in Asia and Eastern Europe, the foreign exchange market and U.S.-Japan trade disputes, European monetary unification and international monetary reform, and the economics of market-preserving federalism.

Recent books by McKinnon include The Order of Economic Liberalization: Financial Control on the Transition to a Market Economy, 2nd edition (1993); The Rules of the Game: International Money and Exchange Rates (1996); and Dollar and Yen: Resolving Economic Conflict between the United States and Japan (with K. Ohno, 1997). Recent (1997) articles include "Credible Liberalizations and International Capital Flows: The Overborrowing Syndrome" (with H. Pill); "The East Asian Dollar Standard, Life after Death?" (1999); and "The Syndrome of the Ever-Higher Yen: American Mercantile Pressure on Japanese Monetary Policy" (with K. Ohno and K. Shirono, 1999). McKinnon teaches international trade and finance, economic development, money and banking, and financial control in developing and transitional socialist economies.

Ronald I. McKinnon William D. Eberle Professor of International Economics (Emeritus) Speaker Stanford University

Seminars

Incomplete Assimilation among Muslims in France

Thursday, March 1, 2012 | 12:15 PM -Thursday, March 1, 2012 | 1:30 PM

Recognizing the political consequences for Europe of Muslim immigration, and relying on a novel identification strategy, this paper investigates why Muslim assimilation into French cultural norms is incomplete, and provides experimental and survey evidence that reveals the low expected payoffs that Muslim immigrants in France receive for full assimilation. While the data show that rooted French people initially distrust Muslims (compared to a matched set of Christians) in part due to their unwillingness to fully assimilate, the real source of Muslim reluctance to fully assimilate is their perception that in anonymous transactions (i.e., through French institutions) they will always be perceived as foreign and face discrimination.

Workshop paper is available to Stanford affiliates upon request by email to khaley@stanford.edu

David Laitin is the James T. Watkins IV and Elise V. Watkins Professor of Political Science at Stanford University. He received his B.A. in Political Science from Swarthmore College and his Ph.D. in Political Science from the University of California, Berkeley. His research interests include comparative politics, nation-state formation, ethnic conflict, and religion. Among his publications are Politics, Language and Thought: The Somali Experience (1977), Hegemony and Culture: Politics and Religious Change among the Yoruba (1986), Language Repertoires and State Construction in Africa (1992), Identity in Formation: The Russian-Speaking Populations in the Near Abroad (1998), and Nations, States and Violence (2007). Prof. Laitin has been a recipient of fellowships from the Howard Foundation, the Rockefeller Foundation, the Guggenheim Foundation, and the Russell Sage Foundation. He is an elected member of the American Academy of Arts and Sciences and the National Academy of Sciences.

Event Summary

Professor Laitin opens the seminar by providing background on the research project that motivated the paper. This examined: whether Muslim immigrants in France faced unique social and economic barriers; the source of the barriers; and whether French republicanism exacerbated or lessened the barriers. He provides a brief summary of studies examining the first and third points, but the focus of his talk was on the second point: if there are higher barriers for Muslims, who is building them?

Professor Laitin then describes the study his research team carried out on a Senegalese population in France for 15 years, drawing on equal-sized groups of Muslims and Christians from similar social and economic conditions. Through a series of games and surveys, the team observed that within Senegalese Muslims in France, certain groups assimilate more than others, and those that assimilate less are treated worse by French individuals and institutions. Many of the Muslims expected to be treated less generously by French individuals, and reported more experiences of discrimination from French institutions, which Professor Laitin's team found was more difficult to overcome than individual discrimination. This group also exhibited stronger financial ties (measured by investments and remittances sent to Senegal from France) and emotional ties (measured by desire to be buried in Senegal rather than France after death). The results of the study are used to provide a series of decision rules and reward matrixes for incoming Senegalese Muslims, including the likelihood of penalties and rewards for assimilation, such as giving children French names.

During a discussion period following the presentation, such questions were raised as: Do the results of the study have more to do with the respondents being Muslim, or simply not being French - or, do other ethnic or religious groups have the same problems assimilating into French Catholic society? Is the example of preferences for burial locations more about ties to Senegal than lack of ties to France? How much of the effect is due to being black rather than Muslim? Will the results of the study change as the Muslim population in France increases? What has been the reception in France to the prohibition of collecting ethnographic data? Why is "incomplete assimilation" framed as a "response" to the discrimination - is it a choice or is it just the way things are? Where does the fault lie in the discrimination reported in the survey?

CISAC Conference Room

David Laitin

Department of Political Science
Stanford University
Encina Hall, W423
Stanford, CA 94305-6044

(650) 725-9556 (650) 723-1808

dlaitin@stanford.edu

James T. Watkins IV and Elise V. Watkins Professor of Political Science

laitin.jpg PhD

David Laitin is the James T. Watkins IV and Elise V. Watkins Professor of Political Science and a co-director of the Immigration Policy Lab at Stanford. He has conducted field research in Somalia, Nigeria, Spain, Estonia and France. His principal research interest is on how culture – specifically, language and religion – guides political behavior. He is the author of “Why Muslim Integration Fails in Christian-heritage Societies” and a series of articles on immigrant integration, civil war and terrorism. Laitin received his BA from Swarthmore College and his PhD from the University of California, Berkeley.

Affiliated faculty at the Center for International Security and Cooperation

Affiliated faculty at The Europe Center

David Laitin Speaker

Seminars