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.

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On May 5, 2006, Brazil officially inaugurated a plant that will produce enriched uranium to supply the country's two nuclear power reactors. Brazilian officials have claimed that providing domestic enrichment services will account for savings to the national nuclear industry. This work is a preliminary evaluation of the economic relevance of the Brazilian enrichment program, taking into account cost of production and the market price for uranium enrichment.

Belkis Cabrera-Palmer is a science fellow at the Center for International Security and Cooperation, Stanford University. She received her Ph.D. in Physics form Syracuse University in May 2005. Her research interest comprises the study of energy resources in Latin America, and this year she has focused on the role of nuclear power in electricity generation in Brazil. Her current research project is entitled "On the Uranium Enrichment Program in Brazil", and aims to evaluate the economic relevance a national enrichment program has in Brazil's nuclear industry.

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Belkis Cabrera-Palmer CISAC Science Fellow Speaker Stanford University
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Professor Piet Jan Slot is a Professor of European and Economic Law at the University of Leiden. He is also the Director of the Europa Institute and Editor of Common Market Law Review. Professor Slot has held many teaching positions including Visiting Jean Monnet Professor at the Reinische Friedrich Wilhelms University of Bonn, Visiting Professor at Paris II, Pantheon-Assas, and Visiting Professor at Stanford University Law School (2000-2001). He is also a Fellow of the Society for Advanced Legal Studies in London. Professor Slot's teaching is focused on the law of the European communities, advanced international competition law, and the legal environment of doing business in the European community. He has been a legal advisor for the U.N. Commission for Southeast Asia and the Pacific on issues pertaining to maritime law, and advisor on maritime legislation for several governments in Southeast Asia.

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Piet Jan Slot Professor of European and Economic Law and Director of the Europa Institute Speaker Leiden University
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This paper was discussed at the Global Justice workshop on November 3, 2006.

Abstract of Seema Jayachandran's "Applying the Odious Debts Doctrine while Preserving Legitimate Lending":

Odious debts are debts incurred by the government of a nation without either popular consent or a legitimate public purpose. While there is some debate within academic circles as to whether the successor government to a regime which incurred odious debts has the right to repudiate repayment, in the real world this is currently not an option granted legitimacy either by global capital markets or the legal systems of creditor states. There are compelling reasons to reform the law of odious debts to allow for such a repudiation in citizens of a tyrant to repay their oppressor's personal debts, but the burden of odious-debt servicing can perpetuate the cycle of state failure which has direct national security consequences. In addition, a properly designed odious debt reform could function as an alternative sanctions mechanism to trade sanctions with fewer harmful implications for the general population of the targeted state. Classical proponents of odious debt reform advocate for recognition of a legal rule under which successor governments could challenge the validity of debts incurred by prior regimes against the odious debt legal standard in a judicial-style forum. We make the case for an alternative "Due Diligence" model of reform which provides far greater ex ante certaining for lenders both as to which investments from subsequent invalidation. The Due Diligence Model also solves certain time-consistency problems inherent to the Classical model.

About the Author

Seema Jayachandran is assistant professor of economics at Stanford University. She received her PhD in economics from Harvard University. She specializes in development economics, labor economics, and political economy.

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Uncertainties about the effect of Biosafety Protocol (BSP) on global agricultural trade have caused concern among those with a stake in agrifood imports and exports. The primary goal of this paper is to analyze the effects of the BSP on both importing countries with a specific emphasis on China and exporting countries of soybean and maize. The results show that in absolute terms the BSP will require large investments internationally and will induce compliance costs. The BSP will increase the international price and domestic production in importing countries, and lower international trade and domestic production in the exporting countries. In absolute terms the impacts are large, amounting for each commodity into the tens of millions of dollars and varying largely among different scenarios. But in the percentage the impacts are small. Much smaller impacts are found in China because China has already invested in a system that provides almost all of the services that is contained within the BSP. Other developing nations may need more helps; and that it will be more costly.

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Scott Rozelle
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This is a Research Seminar within the CDDRL Taiwan Democracy Program.

John Fuh-sheng Hsieh is the former director of the Center for Asian Studies at University of South Carolina (USC). Currently he is Professor of the Political Science Department at USC. Professor Hsieh received his Ph.D. in political science from the University of Rochester in 1982. Before moving to the University of South Carolina, he taught at National Chengchi University (NCCU) in Taipei, Taiwan. He has been active in scholarly activities, serving as secretary-general of the Chinese Association of Political Science (Taipei), chairman of the Comparative Representation and Electoral Systems Research Committee in the International Political Science Association, and coordinator of the Conference Group on Taiwan Studies, a related group in the American Political Science Association. His research interests include rational choice theory, constitutional choice, electoral systems, electoral behavior, political parties, democratization, foreign policy, and East Asian politics.

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John Fuh-sheng Hsieh Professor of Political Science Speaker University of South Carolina
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Taking a mathematical perspective, CISAC science fellow Jonathan Farley argues that legal issues aside, the National Security Agency's collection of phone records is not likely to help defeat terrorists.

News that AT&T, Verizon and BellSouth gave customer records to the National Security Agency has set off a heated debate over the intricacies of espionage law. But legal or not, this sort of spying program probably isn't worth infringing our civil liberties for -- because it's very unlikely that the type of information one can glean from it will help us win the war on terrorism.

If the program is along the lines described by USA Today -- with the security agency receiving complete lists of who called whom from each of the phone companies -- the object is probably to collect data and draw a chart, with dots or ''nodes'' representing individuals and lines between nodes if one person has called another.

Mathematicians who work with pictures like this are called graph theorists, and there is an entire academic field, social network analysis, that tries to determine information about a group from such a chart, like who the key players are or who the cell leaders might be.

But without additional data, its reach is limited: as any mathematician will admit, even when you know everyone in the graph is a terrorist, it doesn't directly portray information about the order or hierarchy of the cell. Social network researchers look instead for graph features like ''centrality'': they try to identify nodes that are connected to a lot of other nodes, like spokes around the hub of a bicycle wheel.

But this isn't as helpful as you might imagine. First, the ''central player'' -- the person with the most spokes -- might not be as important as the hub metaphor suggests. For example, Jafar Adibi, an information scientist at the University of Southern California, analyzed e-mail traffic among Enron employees before the company collapsed. He found that if you naively analyzed the resulting graph, you could conclude that one of the ''central'' players was Ken Lay's secretary.

And even if you manage to eliminate all the ''central players,'' you may well still leave enough lesser players that the cell retains a complete chain of command capable of carrying out a devastating terrorist attack.

In addition, the National Security Agency's entire spying program seems to be based on a false assumption: that you can work out who might be a terrorist based on calling patterns. While I agree that anyone calling 1-800-ALQAEDA is probably a terrorist, in less obvious situations guilt by association is not just bad law, it's bad mathematics, for two reasons.

The simplest reason is that we're all connected. Not in the Haight-Ashbury/Timothy Leary/late-period Beatles kind of way, but in the sense of the Kevin Bacon game. The sociologist Stanley Milgram made this clear in the 1960's when he took pairs of people unknown to each other, separated by a continent, and asked one of the pair to send a package to the other -- but only by passing the package to a person he knew, who could then send the package only to someone he knew, and so on. On average, it took only six mailings -- the famous six degrees of separation -- for the package to reach its intended destination.

Looked at this way, President Bush is only a few steps away from Osama bin Laden (in the 1970's he ran a company partly financed by the American representative for one of the Qaeda leader's brothers). And terrorist hermits like the Unabomber are connected to only a very few people. So much for finding the guilty by association.

A second problem with the spy agency's apparent methodology lies in the way terrorist groups operate and what scientists call the ''strength of weak ties.'' As the military scientist Robert Spulak has described it to me, you might not see your college roommate for 10 years, but if he were to call you up and ask to stay in your apartment, you'd let him. This is the principle under which sleeper cells operate: there is no communication for years. Thus for the most dangerous threats, the links between nodes that the agency is looking for simply might not exist.

If our intelligence agencies are determined to use mathematics in rooting out terrorists, they may consider a profiling technique called formal concept analysis, a branch of lattice theory. The idea, in a nutshell, is that people who share many of the same characteristics are grouped together as one node, and links between nodes in this picture -- called a ''concept lattice'' -- indicate that all the members of a certain subgroup, with certain attributes, must also have other attributes.

For formal concept analysis to be helpful, you need much more than phone records. For instance, you might group together people based on what cafes, bookstores and mosques they visit, and then find out that all the people who go to a certain cafe also attend the same mosque (but maybe not vice versa).

While researchers at Los Alamos National Laboratory have used this tool to sift through hundreds of terrorism-related reports -- and find connections that human analysts could not have found easily -- it's still dangerous to rely on the math.

This is because, as Kennedy and Lincoln assassination buffs know, two people can be a lot alike without being the same person. Even if there is only a 1 in 150 million chance that someone might share the profile of a terrorist suspect, it still means that, in a country the size of the United States, two people might share that profile. One might be a terrorist, or he might be Cat Stevens.

This isn't to say that mathematicians are useless in fighting terrorism. In September 2004 -- 10 months before the bombing of the London Underground -- Gordon Woo, a mathematician and risk-assessment consultant, gave a speech warning that London was a hotbed of jihadist radicalism. But Dr. Woo didn't anticipate violence just using math; he also used his knowledge of London neighborhoods. That's what law enforcement should have been doing then and should be doing now: using some common sense and knowledge of terrorists, not playing math games.

Math is just a tool. Used wisely, math can indeed help in warfare: consider the Battle of Britain, won in part by breaking the German codes. But use it unwisely -- as seems to be the case here -- and your approval ratings might just hit a new all-time low.

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Iran has climbed to No. 1 on the Washington crisis hit parade. The question of how to stop Iran's nuclear program has unleashed a torrent of punditry. Advocates of diplomacy and a military strike spar on television and in op-ed pages.

Iran's nuclear ambitions deserve our attention. But even by the most alarmist estimates, Iran is years away from being able to build a nuclear warhead.

Meanwhile, over in Northeast Asia, North Korea now has enough fissile material for five to seven weapons and is quietly churning out enough plutonium to build at least one warhead a year, according to rough intelligence estimates. More ominously, work is moving ahead on a new reactor that could potentially produce enough separated plutonium for up to 10 weapons a year.

Somehow this danger prompts no sense of urgency in Washington. After a promising breakthrough last September, the six-party talks to halt the program have lapsed into a stalemate that is close to total collapse.

The Bush administration seems unconcerned. Diplomacy has ground to a halt. The North Koreans refuse to return to the six-party talks. The White House has barred its chief negotiator from talking directly with them, despite Pyongyang's desire to meet and the urging of our six-party partners.

Administration officials have recently floated a report that they are considering a new initiative to negotiate a peace treaty with North Korea. This is a smoke-screen to conceal an empty North Korea policy. According to administration officials, the peace treaty idea has been kicking around for months without going anywhere. South Korean officials tell me that they have been waiting, so far in vain, for any serious detailed discussion of this proposal.

It is the president himself who opposes direct negotiations with Pyongyang, over anything, including a peace treaty. He sees direct talks with North Korea or Iran as an act of weakness. "Somehow,'' he said last month, "the world ends up turning the tables on us.''

In reality, the administration is content to pursue a strategy of going after North Korean counterfeit currency and production of amphetamines and cigarettes, hoping to cut off the flow of funds from these activities. According to administration officials, Under Secretary of State Robert Joseph, the driving force behind this policy, gleefully talks about ``turning out the lights'' in Pyongyang.

Administration officials claim they are drying up slush funds that North Korean dictator Kim Jong Il uses to buy the loyalty of his subordinates. Some even suggest this could trigger a coup against Kim, with the Chinese pulling the strings.

But American intelligence experts who monitor North Korea closely see little evidence to support the conclusion that North Korea is being brought to its knees. Even if the measures are drawing blood, it is self-delusional to believe that this will bring down a regime that has already proven it is willing to starve its own population to stay in power.

The administration seems intent as well on pressing China and South Korea to curb their trade and investment with the North. The administration's special envoy on human rights in North Korea, Jay Lefkowitz, seems to spend most of his time attacking the South for setting up an industrial park in Kaesong in the North. He portrays it as exploiting slave labor. The South Koreans defend it as a vehicle to bring capitalism into the communist North.

The Bush administration's combination of attempted coercion and diplomatic freeze has only two visible effects so far.

First, it lends credence to North Korean claims that the United States, contrary to the joint statement issued last September, is still intent on overthrowing their regime.

Second, it undermines gains made by allowing chief envoy Christopher Hill to hold direct talks with his North Korean counterparts. That demonstrated a flexibility and confidence that disarmed critics, particularly in South Korea, and isolated the North. It strengthened coordination with China and South Korea, the two players with the most leverage over the North.

Now officials in both those capitals again question American readiness to seriously negotiate. Beijing and Seoul are even more convinced that pushing market reforms is the only route to bring the North to give up its nuclear option. Next month former South Korean President Kim Dae Jung will revisit his historic summit with the North Korean leader in 2000.

This growing gap with our allies and partners is deadly. Even if we wanted to opt for coercion, the United States can't do so alone. For that reason, it is urgent that the United States regains the diplomatic upper hand.

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Yunxiang Yan is a professor of anthropology and co-director of the Center for Chinese Studies at University of California, Los Angeles. He is the author of The Flow of Gifts: Reciprocity and Social Networks in a Chinese Village (Stanford University Press, 1996) and Private Life under Socialism: Love, Intimacy, and Family Change in a Chinese Village, 1949-1999 (Stanford University Press, 2003). His current research interests include the rise of the individual and the impact of cultural globalization in urban China.

This seminar is part of the Taiwan/China Seminar Series hosted by Melissa Brown, Assistant Professor, Anthropological Sciences, Stanford University.

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Yunxiang Yan Professor of Anthropology Speaker University of California - Los Angeles
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Nearly all male adults illegally crossing the US-Mexico border, most of whom are Mexicans, are seeking employment, although a few may be terrorists. We are particularly interested in the impact of immigration strategies on the probability for an OTM (Other than Mexican) terrorist to enter the country, which is based on four models: (a) Discrete Choice Model, (b) Border Apprehension Model, (c) DRO (Detention and Removal Operations) Model, and (d) Illegal Wage Model.

These four models explain the inter-relationship among four key variables -- crossing rate, apprehension probability, removal probability, and illegal wage, which are also affected by other factors, such as detention policy, DRO beds, work site enforcement and legalization policy.

Model (a) introduces a combination of the multinomial-logit model with backward recurrence; model (b) is mainly based on the data we have and the previous research work; model (c) is a 2-class priority queueing analysis with inhomogeneous incoming rate; and model (d) includes some economic theory. Numerical results and discussions are given based on the model parameters existing or estimated from the data provided.

Yifan Liu is currently a CISAC science fellow, and Ph.D. student in the Institute for Computational and Mathematical Engineering at Stanford University. His Ph.D. dissertation, under the supervision of Lawrence Wein at the Graduate school of Business, uses operation research methods to construct mathematical models for homeland security issues, and solve these models both analytically and numerically.

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Yifan Liu CISAC Science Fellow Speaker
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