CDDRL organized a conference on "Governance and Sovereignty in Failed and Failing States," held April 16-17, 2004 at Stanford University. The event drew participants from around the United States and abroad, including speakers from Georgetown University, Oxford University, Stanford, Free University of Berlin, the United Nations, the World Bank, the Monterey Institute of International Studies, and the Carnegie Endowment for International Peace. Speakers from SIIS included Larry Diamond, Stephen J. Stedman and Michael A. McFaul.

The participants addressed a variety of topics including "Why States Fail," "UN Responses to State Failure," "Global Security and the United Nations," "Building Democracy in Iraq," and "Corruption and Misgovernance Lessons from U.S. Foreign Aid."

Although keeping score is difficult, the State Department's annual report on international terrorism, released last month, provides the best government data to answer this question. The short answer is "No," but that's not the spin the administration is putting on it.

"You will find in these pages clear evidence that we are prevailing in the fight," said Deputy Secretary of State Richard Armitage. As evidence, the "Patterns of Global Terrorism" report says that worldwide terrorism dropped by 45 percent between 2001 and 2003. The report even boasts that the number of terrorist acts committed last year "represents the lowest annual total of international terrorist attacks since 1969."

Yet, a careful review of the report and underlying data supports the opposite conclusion: The number of significant terrorist acts increased from 124 in 2001 to 169 in 2003 -- 36 percent -- even using the State Department's official standards. The data that the report highlights are ill-defined and subject to manipulation -- and give disproportionate weight to the least important terrorist acts. The only verifiable information in the annual reports indicates that the number of terrorist events has risen each year since 2001, and in 2003 reached its highest level in more than 20 years.

To be sure, counting terrorist acts is not as straightforward as counting the number of SARS victims. Specialists have not agreed to any test that would unambiguously qualify an act as one of international terrorism. But in the words of the Congressional Research Service, the State Department's annual report is "the most authoritative unclassified U.S. government document that assesses terrorist attacks."

So how did the report conclude that international terrorism is declining?

It accomplishes this sleight of hand by combining significant and nonsignificant acts of terrorism. Significant acts are clearly defined and each event is listed in an appendix, so readers can verify the data. By contrast, no explanation is given for how nonsignificant acts are identified or whether a consistent process is used over time -- and no list is provided describing each event. The data cannot be verified.

International terrorism is defined in the report as "premeditated, politically motivated violence perpetrated against noncombatant targets" involving citizens or property from multiple countries, "usually intended to influence an audience." An event "is judged significant if it results in loss of life or serious injury to persons" or "major property damage."

A panel determines whether an event meets this definition, but the State Department refused to tell us the members of the panel or the practices used to count nonsignificant terrorist acts.

We do know that the definition leaves much room for discretion. Because "significant events" include such things as destroying an ATM in Greece or throwing a molotov cocktail at a McDonald's in Norway without causing much damage, it is easy to imagine that nonsignificant events are counted with a squishy definition that can be manipulated to alter the trend.

The alleged decline in terrorism in 2003 was entirely a result of a decline in nonsignificant events.

Another curious feature of the latest report is that its catalogue of events does not list a single significant terrorist act occurring after Nov. 11, 2003, despite averaging 16 such acts a month in the rest of the year.

The representation that no terrorist events occurred after Nov. 11 is patently false. The bombings of the HSBC Bank, British Consulate, and Beth Israel and Neve Shalom synagogues in Istanbul by individuals associated with al Qaeda occurred on Nov. 20 and Nov. 15, respectively. Additionally, the report mentions the bombing of the Catholic Relief Services in Nasiriyah, Iraq, on Nov. 12 but somehow omits it from the official list of significant events.

So the record number of 169 significant international terrorist events for 2003 is undoubtedly an understatement. It is impossible to know if these and other terrorist events were left out of the State Department's total of events.

Despite the lack of transparency and the rose-colored graphs, the department's data reveal that administration policies in the past year have not turned the terrorist tide. Of course, it is impossible to know how many terrorist acts would have occurred absent the war on terrorism, but it is unambiguous that the number of significant international terrorist acts is on the rise.

The fact that the number of nonsignificant terrorist acts has headed down -- even if true -- is, well, nonsignificant. What matters for security is the number of significant acts. It is regrettable that one casualty in the war against terrorism has been the accurate reporting of statistics. This seems to be another fight we are losing.

In a May 14 lecture hosted by the Center on Democracy, Development and the Rule of Law, Francis Fukuyama, PhD -- professor of international political economy at Johns Hopkins University and renowned author of The End of History and the Last Man -- discussed the problem of weak, underdeveloped nation-states; the effectiveness of various approaches to strengthening such states; and the importance of culture, context and history in the task of state-building. His lecture, titled "State-building: A Framework for Thinking about the Transfer of Institutions to Developing Countries," drew a full room of attendees to the Bechtel Conference Center in Encina Hall

A former member of the RAND Corp. and the U.S. Department of State who has written widely on issues of democratization and international political economy, Fukuyama first presented a framework with which nation-states can be evaluated according to two key criteria: the strength of the state, and the scope of its functions. The first refers to a state's ability to enforce its own laws and policies; the second refers to how involved the state becomes in carrying out various societal functions, ranging from basic functions such as maintaining law and order and protecting public health, to more "activist" functions such as running industries and redistributing wealth.

Fukuyama asserted that from a development standpoint, nation-states should be strong but should carry out only the minimum necessary functions. He said that only one country he has studied -- New Zealand -- has effectively moved toward this ideal in recent years. He noted that many struggling, developing nations, such as Brazil, Mexico, Pakistan and Turkey, are overly ambitious in their scope -- attempting to run vast industries, for example -- but are weak and unable to carry out their policies because of factors like corruption. Other states that Fukuyama identified as "failed states," such as Haiti and Sierra Leone, are both limited in scope and weak, attempting to carry out only the most basic governmental functions and not doing it very well.

Fukuyama then discussed and evaluated various approaches to strengthening developing nations. He noted that in recent years much emphasis has been placed on encouraging such nations to reduce the scope of their functions, through deregulation and privatization, but said the effectiveness of this approach is now in question. A more effective approach, he said, is helping weak nation-states build their own strong institutions, such as political parties, public health networks and central banking.

Unfortunately, Fukuyama said, sometimes the efforts of outside organizations to strengthen a country's institutions only make things worse, because solutions are imposed from outside rather than developed from within. "Ideally, we would want a country's own public health system to handle that country's problems with AIDS or malaria," he said. "But when you flood the country with your organization's own doctors and nurses and infrastructure, what do the local doctors do? They quit their government posts to get on the payroll of your NGO." In a few months or years, when the organization withdraws its support, Fukuyama noted, the system collapses, because it was not built to be self-sustaining.

At the end of his talk, Fukuyama emphasized the importance of understanding local culture, context and history in the task of state building. For example, he said, those who run programs aiming to reduce the spread of HIV/AIDS in Africa should consider working with traditional faith healers, as they are an important part of the healthcare system in Africa.

A $2 million gift honoring Professor William J. Perry, from telecommunications entrepreneur Jeong H. Kim, will create a new professorship on contemporary Korea to be established jointly by the Stanford Institute for International Studies (SIIS) and the School of Humanities and Sciences.

Perry, the 19th secretary of defense of the United States, currently holds the Michael and Barbara Berberian Professorship and is a senior fellow at SIIS. Upon Perry's retirement from Stanford the new Korea chair will be named the William J. Perry Professorship.

"Bill Perry's dedicated work on Korean issues over the last decade and the significant contributions he has made to this very crucial dialogue are unparalleled," said Kim, a member of the SIIS Board of Visitors. "I can think of no one more appropriate than Bill for this chair to be named after."

Kim's interest in the political and cultural life of his native Korea has been sustained over the years in part by following the work of his mentor and friend, Bill Perry, who has played a significant role in encouraging Kim's entrepreneurship.

Learning of Kim's gift, Perry said, "I am pleased that so many students will benefit from this generous gift. I am quite humbled that Jeong and Cindy Kim have chosen to honor me in this way, as Jeong's own accomplishments deserve to be acknowledged and, indeed, emulated."

As Perry related, "Jeong Kim's story is as impressive as it is inspiring. He left Korea at the age of 14 and made his way to America with no money and little English. He worked his way through high school and college, and became a nuclear engineering officer in the U.S. Navy. After leaving the navy, he returned to school, earned his Ph.D. from the University of Maryland, and started an innovative new company in the highly competitive telecom business. Within five years he took his very successful company public and sold it to Lucent Technologies for $1 billion. He went on to manage a major division for Lucent, until offered a professorship at the University of Maryland. His dedication to education is clearly evident, not only by his decision to teach future leaders, but through his endowments of a new engineering building at the University of Maryland and now this chair in Korean studies at Stanford. And all before he turned 45."

"I understand that the university is at a critical juncture in the development of Korean Studies at Stanford," said Kim. "I am delighted to be able to do something meaningful to encourage its growth."

The establishment of an incremental endowed faculty position to be held jointly by both SIIS and the School of Humanities and Sciences is unique and innovative for Stanford University and is a likely precursor to further joint appointments that may characterize the university's upcoming multidisciplinary initiatives.

"Jeong Kim's gift is a momentous tribute to Bill Perry. It also presents a perfect opportunity for the Institute and H&S to work cooperatively to further strengthen Korean Studies at Stanford, which has been growing impressively under the leadership of Program Director Professor Gi-Wook Shin," said SIIS Director Coit D. Blacker.

H&S Dean Sharon Long concurred, "I am so pleased that Dr. Kim has extended such a generous recognition of one of the university's most valued faculty members. This gift will contribute to the growth of our understanding of Korea, a subject of deep concern to our donor and to our faculty and students."

William J. Perry has worked inside and outside of government over the last decade toward a resolution of what he has often called the "dangerous armed truce" on the Korean peninsula. Having served as secretary of defense during the 1994 crisis on the Korean peninsula, he has often said that the United States was closer to war there during that period than at any other time during his tenure.

During the second term of the Clinton administration, Perry served as special advisor to the president and the secretary of state for the review of the United States policy toward North Korea. He continues his efforts for peace on the Korean Peninsula at SIIS and as co-director of the Preventive Defense Project, a research collaboration between Stanford and Harvard.

A $2 million gift honoring Professor William J. Perry, from telecommunications entrepreneur Jeong H. Kim, will create a new professorship on contemporary Korea to be established jointly by the Stanford Institute for International Studies (SIIS) and the School of Humanities and Sciences.

Perry, the 19th secretary of defense of the United States, currently holds the Michael and Barbara Berberian Professorship and is a senior fellow at SIIS. Upon Perry's retirement from Stanford the new Korea chair will be named the William J. Perry Professorship.

"Bill Perry's dedicated work on Korean issues over the last decade and the significant contributions he has made to this very crucial dialogue are unparalleled," said Kim, a member of the SIIS Board of Visitors. "I can think of no one more appropriate than Bill for this chair to be named after."

Kim's interest in the political and cultural life of his native Korea has been sustained over the years in part by following the work of his mentor and friend, Bill Perry, who has played a significant role in encouraging Kim's entrepreneurship.

Learning of Kim's gift, Perry said, "I am pleased that so many students will benefit from this generous gift. I am quite humbled that Jeong and Cindy Kim have chosen to honor me in this way, as Jeong's own accomplishments deserve to be acknowledged and, indeed, emulated."

As Perry related, Jeong Kim's story is as impressive as it is inspiring. He left Korea at the age of 14 and made his way to America with no money and little English. He worked his way through high school and college, and became a nuclear engineering officer in the U.S. Navy. After leaving the navy, he returned to school, earned his Ph.D. from the University of Maryland, and started an innovative new company in the highly competitive telecom business. Within five years he took his very successful company public and sold it to Lucent Technologies for $1 billion. He went on to manage a major division for Lucent, until offered a professorship at the University of Maryland. His dedication to education is clearly evident, not only by his decision to teach future leaders, but through his endowments of a new engineering building at the University of Maryland and now this chair in Korean studies at Stanford. And all before he turned 45.

"I understand that the university is at a critical juncture in the development of Korean Studies at Stanford," said Kim. "I am delighted to be able to do something meaningful to encourage its growth."

The establishment of an incremental endowed faculty position to be held jointly by both SIIS and the School of Humanities and Sciences is unique and innovative for Stanford University and is a likely precursor to further joint appointments that may characterize the university's upcoming multidisciplinary initiatives.

"Jeong Kim's gift is a momentous tribute to Bill Perry. It also presents a perfect opportunity for the Institute and H&S to work cooperatively to further strengthen Korean Studies at Stanford, which has been growing impressively under the leadership of Program Director Professor GiWook Shin," said SIIS Director Coit D. Blacker.

H&S Dean Sharon Long concurred, "I am so pleased that Dr. Kim has extended such a generous recognition of one of the university's most valued faculty members. This gift will contribute to the growth of our understanding of Korea, a subject of deep concern to our donor and to our faculty and students."

William J. Perry has worked inside and outside of government over the last decade toward a resolution of what he has often called the "dangerous armed truce" on the Korean peninsula. Having served as secretary of defense during the 1994 crisis on the Korean peninsula, he has often said that the United States was closer to war there during that period than at any other time during his tenure.

During the second term of the Clinton administration, Perry served as special advisor to the president and the secretary of state for the review of the United States policy toward North Korea. He continues his efforts for peace on the Korean Peninsula at SIIS and as co-director of the Preventive Defense Project, a research collaboration between Stanford and Harvard.