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In April 2007, a delegation of scholars from Shorenstein APARC visited Shanghai, Hangzhou, and Beijing, fulfilling the center's mission to carry its work "into Asia." The delegation met senior officials from government and business and held wide-ranging exchanges with Chinese scholars and policymakers at leading universities and research institutions. The conversation ranged from China's development strategy to the current state of relations between China and its longtime rival and neighbor, Japan. Daniel Sneider, Shorenstein APARC's associate director for research, recalled the busy trip for FSI's regular newsletter, Encina Columns, (page 8).

Walking down a side street in Shanghai's French Concession, a partially preserved corner of that city's gloried and turbulent past, visitors come upon an ivy-covered house that served as the headquarters for the Shanghai branch of the Communist Party in the 1940s. Here the spartan quarters of Mao's second in command, Zhou Enlai, are carefully preserved, the narrow beds and wooden desks evoking a simpler, revolutionary China.

A short ride away, across the murky waters of the Huangpu River, monuments to the new China are being erected in what was farmland less than two decades ago. The Pudong New Area, with its clusters of highrise office towers and multi-story shopping malls, is emblematic of the rush to wealth and economic power that now drives China.

These were among the images from a visit to China by a delegation of scholars from the Walter H. Shorenstein Asia-Pacific Research Center from April 8-14, 2007. Though time was short, the group managed to visit Shanghai, Hangzhou, and Beijing.

Fulfilling Shorenstein APARC's mission to carry its work "into Asia," the delegation met senior officials from government and business and held wide-ranging exchanges with Chinese scholars and policymakers at leading universities and research institutions. The conversation ranged from China's development strategy to the current state of relations between China and its longtime rival and neighbor, Japan.

The delegation was led by Shorenstein APARC director and professor of sociology Gi-Wook Shin and by professor of political science Jean C. Oi, who has launched the center's new China studies program. The group included Shorenstein distinguished fellow Ambassador Michael H. Armacost, associate director for research Daniel C. Sneider, and senior program and outreach coordinator Neeley Main. In Beijing, Freeman Spogli Institute director Coit Blacker joined the delegation, as did Shorenstein APARC's Scott Rozelle.

The trip started in Shanghai, a dynamic center of finance and industry that has drawn in many Stanford graduates. State-owned enterprises such as Baosteel, one of the world's largest steel producers, are in the midst of becoming players in the global marketplace. From Baosteel's sprawling complex of docks, blast furnaces, and rolling mills along an estuary of the Yangtze River, products are now being dispatched around the world. In a meeting, the leadership of the Baosteel Group expressed an eagerness to tap into the educational and training opportunities offered at Stanford University.

Shanghai is not only the business capital but also a political center, rivaling Beijing. The Shanghai Institute for International Studies is an unofficial foreign relations arm of the Shanghai government. Shanghai Institute scholars are also players in national policy debate on many key issues facing China, such as relations with Taiwan, with Japan, and even with the Korean peninsula.

The scholars presented their views on a wide range of issues, from the preparations for the 17th Congress of the Communist Party this coming fall to emerging structures of regional integration in East Asia. Professor Xu Mingqi, who is also a senior leader of the Shanghai Academy of Social Sciences, explained that China's development strategy is shifting toward a more balanced approach. Whereas local government officials previously were pressed to meet targets for GDP growth, foreign investment, and export volume, now they must also raise employment levels, close the growing income gap, and provide social security.

Hangzhou, considered one of the most beautiful cities in China, is a two-hour drive south of Shanghai. The modern roadway passed a tableau of the suburbanization of this part of China's countryside, with multi-story brick homes mushrooming amidst the fields. The delegation arrived at Zhejiang University, considered among the best of China's provincial higher educational institutions and growing rapidly in size and scope.

The Shorenstein APARC delegation met with faculty members from Zhejiang's social science departments, who briefed the delegation on their research work in areas such as distance education, international relations, Chinese history, even a school of Korean studies. Zhejiang is also the site of a new research institution, the Zhejiang Institute for Innovation (ZII), founded by Stanford engineering graduate Min Zhu, a Silicon Valley entrepreneur who is determined to bring the lessons of Stanford and the valley to his home province and his undergraduate alma mater. ZII aims to foster applied research that can tie the university to the vibrant entrepreneurial culture of Zhejiang province. Shorenstein APARC researchers may soon be carrying out fieldwork in this laboratory of change, based at ZII.

Beijing, however, is still the place that matters most in China, not only in the realm of government but also when it comes to academic scholarship. The delegation met with two of Shorenstein APARC's longtime corporate affiliates in China: PetroChina, the state-owned oil and gas giant, and the People's Bank of China. Shorenstein APARC dined with a lively group of Chinese journalists, organized by former Stanford Knight fellow Hu Shuli, the editor of Caijing Magazine, considered China's leading independent business publication.

The substantive task was to forge new ties with key research institutions. The current state of China's development strategy was again on the agenda when the delegation met with senior officials from the National Development and Reform Commission (NDRC), formerly China's State Planning Commission. Alongside the NDRC, the delegation met as well with the leadership of an offshoot of China's State Council, the China Development Research Foundation, which is doing important work in promoting good governance in areas such as poverty alleviation, nutrition, and budgeting. Those conversations were echoed later in our meetings with scholars from Peking University's School of Government.

Shorenstein APARC's own China program, as Oi explained, is focused on understanding the tensions that arise as China grapples with the consequences of its rapid economic development. Out of the meetings in Beijing, an ongoing dialogue has begun, to be advanced this summer with a visit from a NDRC delegation and in the fall with an international conference at Stanford on China's Growing Pains.

The delegation also engaged in frank and useful exchanges on a variety of international relations issues. We had an extended meeting with scholars and leaders of the China Reform Forum (CRF), a think-tank associated with the Communist Party's Central Party School, the premier institution for training party leaders and officials. The CRF is credited with authoring important concepts such as the foreign policy doctrine of China's "Peaceful Rise." These discussions were followed by a visit and exchange with scholars from Peking University's widely respected School of International Studies.

The scholars shared analysis of the current state of the North Korean nuclear negotiations, as well as evaluating the outcome of Chinese Premier Wen Jibao's visit that week to Japan. Over dinner with CRF Vice Chairman Ding Kuisong, the conversation turned to the American presidential politics and the future direction of U.S. foreign policy.

Professors Blacker, Shin, and Oi also met with senior officials of Peking University, as part of an ongoing dialogue about cooperation between these two premier institutions of higher education.

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CISAC awarded honors certificates in international security studies to 14 undergraduates who completed theses on policy issues ranging from speeding up the detection of a bioterror attack to improving the World Bank's effectiveness at post-conflict resolution.

Among the 2006-2007 participants in CISAC's Interschool Honors Program in International Security Studies were award winners Brian Burton, who received a Firestone Medal for his thesis, "Counterinsurgency Principles and U.S. Military Effectiveness in Iraq," and Sherri Hansen, who received the William J. Perry Award for her thesis, "Explaining the Use of Child Soldiers." The Firestone Medal recognizes the top 10 percent of undergraduate theses at Stanford each year, and the Perry recognizes excellence in policy-relevant research in international security studies.

CISAC honors students "can make the world a more peaceful place in several ways," FSI senior fellow Stephen Stedman told students and guests at the honors ceremony. "They can graduate and find jobs of power and influence [and] they can identify real world problems and solve them."

This year's class, which included several double-majors, represented nine major fields of study: biology, history, human biology, international relations, mathematics, management science and engineering, physics, political science, Russia-Eurasian studies. Some students headed to business or policy positions, while others looked forward to advanced studies in law, medicine, biophysics, security studies, or other fields.

"I hope that this is the beginning, not the end, of your contributions to policy-relevant research," CISAC senior research scholar Paul Stockton, who co-directed the program with Stedman, told the students. He added, "In every potential career you have expressed a desire to pursue, from medicine to the financial sector and beyond, we need your perspectives and research contributions, to deal with emerging threats to global security."

Many students expressed interest in realizing that hope. Burton said his aspiration is to attain "a high-level cabinet or National Security Council position to cap a long career of public service in foreign policy."

Katherine Schlosser, a biology major who is headed to Case Western Reserve University for joint MD-master's in public health program, said she hopes to "keep conducting innovative research and to eventually rejoin the international security studies community in some capacity."

The 2007 honors recipients, their majors, thesis titles, advisers, and destinations, if known, are as follows:

Brian Burton, political science
"Counterinsurgency Principles and U.S. Military Effectiveness in Iraq"
Firestone Medal Winner

Adviser: David Holloway
Destination: Georgetown University, to pursue a master's degree in security studies

Martine Cicconi, political science
"Weighing the Costs of Aggression and Restraint: Explaining Variations in India's Response to Terrorism"
Adviser: Scott Sagan
Destination: Stanford University Law School

Will Frankenstein, mathematics
"Chinese Energy Security and International Security: A Case Study Analysis"
Adviser: Michael May
Destination: The Institute for Defense Analyses in Alexandria, Va., for a summer internship

Kunal Gullapalli, management science & engineering
"Understanding Water Rationality: A Game-Theoretic Analysis of Cooperation and Conflict Over Scarce Water"
Adviser: Peter Kitanidis
Destination: Investment Banking Division at Morgan Stanley in Los Angeles

Sherri Hansen, political science
"Explaining the Use of Child Soldiers"
William J. Perry Award Winner

Adviser: Jeremy Weinstein
Destination: Oxford University in England, to pursue master's degree in development studies

Andy Leifer, physics and political science
"International Scientific Engagement for Mitigating Emerging Nuclear Security Threats"
Adviser: Michael May
Destination: Harvard University, to pursue a PhD in biophysics

James Madsen, political science
"Filling the Gap: The Rise of Military Contractors in the Modern Military"
Adviser: Coit Blacker
Destination: World travel; then San Francisco to open a bar

Nico Martinez, political science
"Protracted Civil War and Failed Peace Negotiations in Colombia"
Adviser: Stephen Stedman
Destination: Washington, DC, to serve as a staff member for Senator Harry Reid

Seepan V. Parseghian, political science and Russian/Eurasian studies
"The Survival of Unrecognized States in the Hobbesian Jungle"
Advisor: James Fearon

Dave Ryan, international relations
"Security Guarantees in Non-Proliferation Negotiations"
Adviser: Scott Sagan
Destination: Stanford University, to serve as executive director of FACE AIDS

Katherine Schlosser, biology
"Gene Expression Profiling: A New Warning System for Bioterrorism"
Adviser: Dean Wilkening
Destination: Case Western Reserve University in Cleveland, to pursue a joint medical degree and master's in public health

Nigar Shaikh, human biology and political science
"No Longer Just the 'Spoils of War': Rape as an Instrument of Military Policy"
Adviser: Mariano-Florentino Cuellar

Christine Su, history and political science
"British Counterterrorism Legislation Since 2000: Parlimentary and Government Evaluations of Enhanced Security"
Adviser: Allen Weiner
Destination: Stanford University, to finish her undergraduate degree; Su completed the honors program as a junior.

Lauren Young, international relations
"Peacebuilding without Politics: The World Bank and Post Conflict Reconstruction"
Adviser: Stephen Stedman
Destination: Stanford University, to finish her undergraduate degree; Young completed the honors program as a junior.

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For the past five years, the Bank of Japan (BOJ) has employed an unconventional monetary easing policy, called quantitative monetary easing. Under a zero interest rate regime, the BOJ shifted its tool for monetary easing from interest rates to quantity of money, thus providing the money market with much more money than it needs. It is difficult to find evidence that this monetary easing has contributed to the current economic recovery. What we can show is that this quantitative easing diluted the functions of interest rates in the money market, with the following consequences: quantitative easing hid the risks of the huge amount of fiscal debt and supported troubled commercial banks. Hence it helped to prevent both fiscal and financial crisis.

How did such a policy come about? It is misleading to suppose that the BOJ, which gained legislative independence in 1998, decides its policy on its own, or, conversely, to assume the government controls the BOJ completely. The conflict between the BOJ and the government should be carefully examined. In that sense, these two consequences have different stories. Preventing fiscal crisis had been an implicit agenda from the beginning of the conflict between the BOJ and the government. The BOJ tried to reject this implicit agenda at first, but finally accepted it to compensate for its own political failure in raising interest rates. The process shows that this implicit agenda has gradually become explicit. By contrast, supporting troubled banks was an unexpected consequence, which in the end helped the BOJ to defend its policy.

The situation has become complex amid the current economic recovery. The need to restore the function of interest rates has been rising. The need to support troubled banks has decreased, but supporting the fiscal debt still remains critical issue, since it has grown to a dangerous amount. Monetary policymakers therefore face a contradiction. Strategies for separating monetary policy from the management of government bonds, while avoiding fiscal crisis, are needed.

About the Author: Tetsufumi Arita has been a reporter for the Japanese newspaper, Asahi Shimbun, since 1990. He has extensive experience in reporting business and political news. Arita was a visiting fellow at the Walter H. Shorenstein Asia-Pacific Research Center between 2004 and 2005.

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The BP Foundation has awarded a five-year, $7.5 million grant to Stanford University's Program on Energy and Sustainable Development to support research on modern energy markets. The foundation is funded by BP, one of the world's largest energy companies.

The gift follows the BP Foundation's initial grant of $1.8 million over three years, which was pledged in 2004 in support of the program.

"BP's support has allowed our program to study the world's most pressing energy problems, such as global warming, energy poverty and the prospects for the world oil market," said program director and Stanford law Professor David G. Victor. "In addition to BP Foundation support, we learn from BP's experience as an energy company because they operate in all the markets where we do research--such as in China and India."

"BP Foundation believes the work undertaken at Stanford deals directly with global issues that are key to meeting the world's growing energy needs," said Steve Elbert, chairman of the BP Foundation. "The drive to research and implement strategies to further understand today's energy markets is important work, and we are proud to partner again with Stanford."

The Program on Energy and Sustainable Development, part of the Freeman Spogli Institute for International Studies, concentrates on the legal, political and institutional dimensions of how societies derive value from energy. The BP Foundation grant is part of a rapid expansion of Stanford's research and teaching on energy issues, much of which focuses on the technical aspects of energy systems.

All of the program's research is public and published openly, including on its website (http://pesd.stanford.edu/). The gift from the BP Foundation, as well as all similar gifts to support the program's research, includes special provisions that assure the research program's independence in setting its research agenda.

The agreement with Stanford is one in a series of BP partnerships with universities in the United Kingdom, the United States and China, representing a total commitment of more than $600 million. The program at Stanford complements work on similar topics at Princeton University, Tsinghua University and Imperial College, among others.

Founded in 2001, the Program on Energy and Sustainable Development focuses on the "political economy" of modern energy services--the interaction of political, institutional and economic forces that often dominate energy markets. It collaborates with the Stanford Law School and other university departments and schools, including economics, engineering and earth sciences. About half of the program's resources are devoted to research partnerships in key developing countries, including Brazil, China, India, Mexico and South Africa. Program researchers have examined the emergence of a global business in natural gas, reforms of electric power markets and the supply of modern energy services to low-income rural households in developing countries.

The program's other major sponsor is the Electric Power Research Institute in Palo Alto, Calif., a research consortium that includes most of the world's largest electric companies.

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The Forum on Contemporary Europe is pleased to announce the inauguration of its research and public dissemination program on Sweden, Scandinavia, and the Baltic Region. With generous support from the Barbro Osher Pro Suecia Foundation, the Forum's Program on Sweden, Scandinavia, and the Baltic Region is able to act on long term plans to launch research and public programs on Sweden and the pressing issues of the Scandinavian and Baltic region. Special emphasis will be placed on developments in Sweden and the region's trans-Atlantic relations, and on the evolution of domestic and international policy, culture, science, trade, and law in emerging global relations.

The Forum on Contemporary Europe is pleased to announce the inauguration of its research and public dissemination program on Sweden, Scandinavia, and the Baltic Region. With generous support from the Barbro Osher Pro Suecia Foundation, the Forum is able to act on long term plans to launch research and public programs on Sweden and the pressing issues of the Scandinavian and Baltic region. Special emphasis will be placed on developments in Sweden and the region's trans-Atlantic relations, and on the evolution of domestic and international policy, culture, science, trade, and law in emerging global relations.

The Forum's Program on Sweden, Scandinavia, and the Baltic Region is comprised of several components, which together are designed to make the Forum, and the Freeman-Spogli Institute for International Studies, a crucial nexus for new thinking and influential public programming on Sweden and the region. The program's components include:

Keynote lecture series

The Forum invites leading public figures from Sweden, and from Scandinavian and Baltic region policy centers and governments to deliver major addresses to the Stanford faculty and surrounding community.

Research and public seminar series

The Forum invites senior affiliated research faculty to design and conduct seminars, open to the public, on new research on Sweden and the region, across the full range of fields supported by all seven of Stanford's schools.

FCE Anna Lindh Fellowship

The Forum on Contemporary Europe is pleased to announce the inauguration of the Anna Lindh Fellowship for the study of Sweden, Scandinavia, the Baltic region and trans-Atlantic relations. The fellowships are part of the Forum's new Sweden, Scandinavia, and Baltic region program promoting research and public dissemination lectures, seminars, and conferences on contemporary Sweden and trans-Atlantic relations, as well as scholarly exchange between Stanford and Swedish peer institutions. The Anna Lindh Fellowship is designed to bring fellows from Sweden to Stanford University for periods of research, library and archive consultation, and collaboration with Stanford faculty and community.

The Forum on Contemporary Europe is now accepting applications for the Anna Lindh Fellowship for the 2007-2008 academic year. These fellowships are intended to support scholars from Sweden conducting research in any field of social, natural, or technical sciences, as well as law, business, and the humanities. This span of fields is supported by the wide range of research conducted in all of Stanford's seven schools. The fellowship is intended to support either short research visits (two to four weeks) or for a longer period of research work at Stanford (up to an academic year) to work with faculty and libraries and archives. Research projects could, in addition, address issues and thus involve travel to other U.S. institutions of higher learning and affiliated scholarly libraries and archives in the United States.

Stanford-Sweden-Regional peer university exchange

The Forum is planning to develop scholarly exchange programs, in addition to the Anna Lindh Fellowship, with leading peer universities and research centers in Sweden and the Scandinavian and Baltic regions. The aim of the affiliation with peer institutions is to build a community of senior and emerging scholars and policy figures, centered at the Forum on Contemporary Europe, and contributing to the advancement of knowledge on and policies concerning Sweden and the region's development and integration in trans-Atlantic and global relations.

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This wired world needs good journalism - to report the news accurately and independently, to serve as a counterbalance to power, and to be a window and a mirror on society.

But the journalism institutions we might have relied on - newspapers, broadcast news programs and magazines - are bedeviled by the erosion and fragmentation of their audiences, by the economic appetites of their stockholders and by the skepticism of their most significant advertisers. That's the landscape in 2007, and the future is anything but clear.

About the speakers

Lauren Rich Fine, Chartered Financial Analyst, was until last month a managing director at Merrill Lynch in the Equity Research Department. She joined the department in 1988 and focusing on the publishing, information, advertising and online industries. She was a ranked member of the Institutional Investor All-American Research Team since 1994.

Vindu Goel (moderator) is an editorial writer and blogger for the San Jose Mercury News. He joined the paper in 1999 as an assistant business editor after eight years at the (Cleveland) Plain Dealer, and from 2003 to 2005, he was business editor at the paper. Prior to joining the editorial board in October 2006, he studied the impact of the Internet on newspapers as a Knight-Wallace Fellow at the University of Michigan.

Lem Lloyd is vice president of the Newspaper Consortium at Yahoo!. He was formerly vice president, sales and business development at Oodle; corporate director of classifieds & vice president of classified and national sales for online at Knight Ridder and KR Digital; and senior director of business development at Knight Ridder Digital.

David Talbot founded Salon.com in 1995, and was its editor-in-chief and chief executive officer for 10 years before becoming chairman in 2005. Previously, he was the arts and features editor of the San Francisco Examiner and was senior editor of Mother Jones Magazine in the early 1980s. He is the author of Brothers: The Hidden History of the Kennedy Years, published this month.

About the Knight Fellowships program

The Knight Fellowships program brings outstanding mid-career journalists, 12 from the U.S. and six to eight from other countries, to study at Stanford for an academic year. It initiated an annual lecture and symposium series in 1988. James Bettinger is director of the Knight Fellowships, and Dawn Garcia is deputy director.

For more information about this event, please visit the Knight Fellowship website.

Kresge Auditorium

David Talbot Founder, Salon.com Speaker
Lauren Rich Fine Wall Street Analyst Speaker
Lem Lloyd Newspaper Consortium Executive, Yahoo! Speaker
Vindu Goel Editorial Writer and Blogger, San Jose Mercury News Moderator
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One of the world's greatest ethical challenges is the inequities in global health. Life expectancy in the United States is about 80 years and rising, while in many parts of the developing world, particularly in Africa as a result of HIV/AIDS, it is 40 years and falling. On the "bright side," the globalization of life sciences is key force to improve health in the developing world. For example, the rise of the Indian biotechnology industry has improved availability of vaccines and programs like the Grand Challenges in Global Health Initiative funded by the Bill and Melinda Gates Foundation provide hope for upstream discovery science against global health problems. However, on the "dark side," the globalization of life sciences poses risks to global biosecurity including bioterrorism by non-state actors.

This lecture will explore how to optimize the benefits of the "bright side," and mitigate the risks of the "dark side," of the globalization of life sciences. Dr. Singer will argue that the biological case is different from the nuclear case and demands a different approach, and explore the potential role of the United Nations in enhancing global biosecurity.

Peter A. Singer is senior scientist at the McLaughlin Rotman Centre, University Health Network; professor of medicine, University of Toronto; co-director of the Canadian Program in Genomics and Global Health; and a distinguished investigator of the Canadian Institutes of Health Research. He studied internal medicine at the University of Toronto, medical ethics at the University of Chicago, public health at Yale University, and management at Harvard Business School. Between 1995 and 2006, Singer was Sun Life Financial Chair in Bioethics, director of the University of Toronto Joint Centre for Bioethics, and director of the World Health Organization Collaborating Centre for Bioethics at the University of Toronto.

History Corner, Building 200, Room 002

Peter A. Singer Senior Scientist, McLaughlin Rotman Centre, University Health Network, and Professor of Medicine Speaker University of Toronto
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In April, a delegation from the Shorenstein Asia-Pacific Research Center (Shorenstein APARC) traveled to China. The visit was part of Shorenstein APARC's broader effort to introduce the work of the center to Asia by connecting with scholars, policymakers, business leaders, and journalists across the region.

The delegation, which included center director Gi-Wook Shin, Michael H. Armacost, Jean C. Oi, Daniel C. Sneider, and Neeley Main, visited three cities, Shanghai, Hangzhou, and Beijing. The group participated in roundtable discussions on foreign policy issues facing U.S. and China with the Shanghai Institute for International Studies and with scholars at Zhejiang University in Hangzhou; visited a steel plant; and met with executives and leaders from Baosteel Group Corporation, PetroChina, Cybernaut, and the People's Bank of China; journalists from Chinese media outlets; and development and research foundations of the Chinese government.

FSI Director Coit D. Blacker joined the group for several meetings in Beijing, including a roundtable discussion of pressing international policy issues with the Central Party School's foreign affairs research group, the China Reform Forum; meetings with both the School for International Studies and the School of Government at Peking University; and meetings with Stanford alumni.

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