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China’s economy registered an average annual growth of 9.5% from the start of reforms in 1978 until 2019. Throughout this period, economic performance was a key indicator of China’s success and served as a critical pillar of the Chinese Communist Party’s legitimacy. Over the past five years, however, China’s leadership has taken an ideological turn under Xi Jinping, and economic growth has no longer been a top priority.

To examine the myriad factors behind China’s recent economic slowdown and, more importantly, consider where China might be headed, the Stanford Center on China’s Economy and Institutions and Asia Society Policy Institute’s Center for China Analysis co-organized the fourth in their series of closed-door roundtables. Held in April 2024 and conducted under the Chatham House Rule, the roundtable brought together leading experts on the Chinese economy for a discussion focused on the following questions:

  1. What is the mix of determinants — cyclical, structural, and political — for slower economic growth in China?
  2. How much can China’s recent economic woes be attributed to Beijing’s own policy mistakes, and how much to tensions between China’s hybrid Leninist political regime and the dynamism of a market economy?
  3. What are the potential political, social, and geopolitical consequences of the slowdown?
  4. If the slowdown continues, or even worsens, could the leadership’s priorities shift? If so, what policy measures or structural reforms might reverse the slowdown and preempt some of the broader consequences?
     

In partnership with Asia Society Policy Institute's Center for China Analysis

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Experts Convene Roundtable to Discuss China’s Property Sector Slowdown

The Stanford Center on China’s Economy and Institutions and Asia Society Policy Institute’s Center for China Analysis co-organized a closed-door roundtable on the extent, causes, and implications of China’s current property sector slowdown and produced a summary report of the discussion.
Experts Convene Roundtable to Discuss China’s Property Sector Slowdown
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Experts Convene Roundtable to Discuss China’s Industrial Policy

The Stanford Center on China’s Economy and Institutions and Asia Society Policy Institute’s Center for China Analysis co-organized a closed-door roundtable on the scope, impact, and implications of China’s industrial policy and produced a summary report of the discussion.
Experts Convene Roundtable to Discuss China’s Industrial Policy
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The Stanford Center on China’s Economy and Institutions and Asia Society Policy Institute’s Center for China Analysis co-organized a closed-door roundtable on China's recent economic slowdown and produced summary report of the discussion.

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The event will be webcast live from this page.

This online event, set for July 8,  7:00-8:00 am US PT, highlights new research on a significant shift in popular sentiment in China regarding the causes of economic inequality. The Stanford Center on China’s Economy and Institutions (SCCEI) and the CSIS Trustee Chair in Chinese Business and Economics are releasing a new Big Data China feature explaining growing popular angst in China about the sources of their own economic success or setbacks, and the implications for confidence in China's economy and economic governance for policymakers in China and the rest of the world. Professors Scott Rozelle of Stanford SCCEI and Martin Whyte of Harvard University will discuss their new survey research demonstrating that the Chinese populace increasingly attribute inequality to the economic system rather than individual ability.

Trustee Chair Scott Kennedy will moderate the discussion of this research, followed by a conversation on the implications for the Chinese economy and U.S. policymakers. Panelists will include Ilaria Mazzocco (CSIS Trustee Chair), Elizabeth Perry (Harvard University), Jessica C. Teets (Middlebury College), and Qin Gao (Columbia University). 

FEATURING

Qin Gao
Director, China Center for Social Policy, Columbia University
Scott Kennedy 
Senior Adviser and Trustee Chair in Chinese Business and Economics
Ilaria Mazzocco
Senior Fellow, Trustee Chair in Chinese Business and Economics
Elizabeth Perry
Henry Rosovsky Professor of Government, Harvard University
Scott Rozelle
Co-director, Stanford Center on China's Economy and Institutions
Jessica Teets
Professor of Political Science, Middlebury College
Martin Whyte
John Zwaanstra Professor of International Studies and Sociology, Emeritus, Harvard University 
 

EVENT PARTNERS
 

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Virtual Livestream 

Qin Gao
Scott Kennedy
Ilaria Mazzocco
Elizabeth Perry

Encina Hall East, E404
Stanford, CA 94305-6055

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Faculty Co-director of the Stanford Center on China's Economy and Institutions
Helen F. Farnsworth Endowed Professorship
Senior Fellow at the Freeman Spogli Institute for International Studies
Senior Fellow at the Stanford Institute for Economic Policy Research
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PhD

Scott Rozelle is the Helen F. Farnsworth Senior Fellow and the co-director of Stanford Center on China's Economy and Institutions in the Freeman Spogli Institute for International Studies and Stanford Institute for Economic Policy Research at Stanford University. He received his BS from the University of California, Berkeley, and his MS and PhD from Cornell University. Previously, Rozelle was a professor at the University of California, Davis and an assistant professor in Stanford’s Food Research Institute and department of economics. He currently is a member of several organizations, including the American Economics Association, the International Association for Agricultural Economists, and the Association for Asian Studies. Rozelle also serves on the editorial boards of Economic Development and Cultural Change, Agricultural Economics, the Australian Journal of Agricultural and Resource Economics, and the China Economic Review.

His research focuses almost exclusively on China and is concerned with: agricultural policy, including the supply, demand, and trade in agricultural projects; the emergence and evolution of markets and other economic institutions in the transition process and their implications for equity and efficiency; and the economics of poverty and inequality, with an emphasis on rural education, health and nutrition.

Rozelle's papers have been published in top academic journals, including Science, Nature, American Economic Review, and the Journal of Economic Literature. He is fluent in Chinese and has established a research program in which he has close working ties with several Chinese collaborators and policymakers. For the past 20 years, Rozelle has been the chair of the International Advisory Board of the Center for Chinese Agricultural Policy; a co-director of the University of California's Agricultural Issues Center; and a member of Stanford's Walter H. Shorenstein Asia-Pacific Research Center and the Center on Food Security and the Environment.

In recognition of his outstanding achievements, Rozelle has received numerous honors and awards, including the Friendship Award in 2008, the highest award given to a non-Chinese by the Premier; and the National Science and Technology Collaboration Award in 2009 for scientific achievement in collaborative research.

Faculty affiliate at the Center on Democracy, Development, and the Rule of Law
Faculty Affiliate at the Walter H. Shorenstein Asia-Pacific Research Center
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Scott Rozelle
Jessica Teets
Martin Whyte
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CDDRL Honors Student, 2024-25
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Major: Economics and Philosophy
Minor: Mathematical and Computational Science
Hometown: Baltimore, Maryland
Thesis Advisor: Colleen Honigsberg

Tentative Thesis Title: Post-NSMIA: An Analysis of SEC Regulatory Enforcement and Priorities after 1996

Future aspirations post-Stanford: I aspire to contribute to making government work better by helping craft and enforce policies that more effectively safeguard public interest. To that end, I’d like to pursue a legal education and ultimately practice within government.

A fun fact about yourself: An avid gardener, I’ve grown more than roughly 100 varieties of fruits and vegetables in my home garden, and I’m always on the lookout for more opportunities to learn gardening chops!

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We investigate the potential welfare cost of relative rank considerations using a series of vignettes and lab-in-the-field experiments with over 2,000 individuals in Abidjan, Cote d'Ivoire. We show that: (1) individuals judged to be of a lower rank are perceived as more likely to be sidelined from beneficial opportunities in many aspects of life; and (2) in response, individuals distort their appearance and consumption choices in order to appear of higher rank. These effects are strong and economically significant. As predicted by a simple signaling model, the distortion is larger for individuals with low (but not too low) socio-economic status.

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Marcel Fafchamps
Laura Hernandez-Nunez
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CEPR Discussion Paper No. 19092
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Lisa Sanchez-Corea Simpson
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On April 1, Stanford University formally launched a new Program on Capitalism and Democracy (CAD), a collaboration between the Corporations and Society Initiative (CASI) at the Stanford Graduate School of Business and the Center on Democracy, Development and the Rule of Law (CDDRL) under the Freeman Spogli Institute for International Studies (FSI).

The program was unveiled by Jon Levin, the recently appointed incoming President of Stanford University who currently serves as Dean of the Graduate School of Business, alongside Kathryn Stoner, the Mosbacher Director of CDDRL. In his remarks, Dean Levin highlighted that CAD will "be centered exactly at the intersection of business decision-making, policymaking, and the foundations of democratic institutions." He commended the work of CASI and its founder, Anat Admati, for rigorously pursuing research on "inconvenient issues that we have often chosen to avoid or ignore" related to the role of corporations in society.

Kathryn Stoner further elaborated that "the program on Capitalism and Democracy will explore the complex interactions between democratic institutions, markets, and private sector participants." She indicated the initiative will examine a broad range of topics, noting that "sometimes corporations are causes for good and sometimes corporations may undermine the resilience and quality of democracy."

To mark the launch, CAD convened a discussion involving Professor Larry Diamond, the Mosbacher Senior Fellow in Global Democracy at FSI, Anat Admati, Professor of Finance and Economics at the GSB, and Global Witness Co-Founder Patrick Alley. Together, they focused on how the dynamics of capitalism don’t always align well with the principles of democracy. In their remarks, they addressed critical concerns such as the erosion of global democratic norms, a lack of good governance, rampant corruption, and “predatory capitalism.” They offered their insights into the challenges involved when both economic and political frameworks are of first-order importance but must be addressed in an environment of declining trust in institutions.

Admati opened by rejecting “false dichotomies” that frame the issues as stark choices between “capitalism and socialism” or “free markets and regulation.” She observed that capitalism can be thought of as “a set of markets that have institutions that are private sector based” but emphasized that “the private sector needs the government to protect its rights and to enforce its contracts. When you have markets at scale with people who don't know each other, you need institutions. You need contracts and contract enforcement.”

Larry Diamond, who has done extensive research on democratic trends and conditions around the world, brought up the paradox of the “resource curse,” the phenomenon by which developing nations with valuable natural resources often experience declines in democratic institutions as the proceeds from selling the resources get caught up in webs of corruption rather than being justly distributed for the benefit of the wider population. He claimed that “corruption and kleptocracy are at the core of underdevelopment in the world.”

Patrick Alley’s experiences at Global Witness made him very aware of corrupt politicians taking bribes from multinational oil companies. He recounted how “the politician takes money, and now their allegiance is inevitably shifting away from the electorate to their new money suppliers… so they'll start building a heavy mob around them, put big walls on the palace … and retreat into that. They don't want to lose the next election because this is going very nicely for them.” Alley summed up the cycle of corruption and concluded that “the democratic process is going to be screwed from within -- and you end up with autocracy.”

The discussion turned to exposing the role of enablers play in the persistence of systemic corruption. Enablers of corruption are not those who directly participate in illicit activities but rather are members of a “pinstripe army” (in Alley’s parlance) composed of platoons of bankers, lawyers, and accountants in global financial centers who facilitate illicit flows of money around the world. He observed that “corruption is a global industry.”

Acknowledging that corporations can be instrumental in driving economic prosperity and innovation, Admati reflected on her experience exposing the inadequacy of laws and regulatory tools that should place limits on the “pinstripe army,” She drew a sharp distinction between the private sector as “the engine of growth and the engine of innovation” and “financialized capitalism … the capitalism that is undermining democracy, the type we want to push back against. Once democracy asserts itself properly then we will be able to get the gains of capitalism.”

Diamond closed the conference by endorsing “individual enterprise and initiative—honestly earned, transparently conducted, rule-of-law-minded, with concern for the community. It's predatory capitalism that runs amok and breaks free of transparency and democratic regulation, that threatens fairness, human well-being, and democracy itself.”

CAD will be led by Prof. Anat Admati, with the support of Prof. Larry Diamond, Dr. Didi Kuo, Center Fellow at FSI, and Dr. Francis Fukuyama, Oliver Nomellini Senior Fellow at FSI.

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Examining the Dynamics of Corporate Power: CDDRL Launches New Program on Capitalism and Democracy

Led by Professor Anat Admati, the program explores how capitalism interacts with democratic institutions and how a better balance between them might be achieved.
Examining the Dynamics of Corporate Power: CDDRL Launches New Program on Capitalism and Democracy
Anat Admati
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How Banking Undermines Democracy

In a recent CDDRL research seminar, Anat Admati shared findings from her research on how banking practices can undermine democracy, which are highlighted in the new and expanded edition of her book, "The Bankers’ New Clothes: What is Wrong with Banking and What to Do About It" (Princeton University Press, 2024).
How Banking Undermines Democracy
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The Corporations and Society Initiative (CASI) at the Stanford Graduate School of Business and the Center on Democracy, Development and the Rule of Law at FSI collaborate to address democratic recession.

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CDDRL Research Affiliate, 2024
Visiting Scholar, Center for Russian, East European and Eurasian Studies, 2022-24
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Paula Ganga is an assistant professor of political economy at Duke Kunshan University as well as a visiting fellow with the Center for Russian, East European and Eurasian Studies at Stanford University. She completed her Ph.D. in Government at Georgetown University, and was a postdoctoral fellow at the Harriman Institute at Columbia University, a postdoctoral fellow with the Skalny Center for Polish and Central Eastern European Studies and a George F. Kennan short-term scholar at the Woodrow Wilson Center for International Scholars. Her research focuses on the political determinants of switches between privatization and nationalization in Eastern Europe and beyond. This research bears directly on how we view the link between democracy and market capitalism, the economic consequences of populism, rising illiberalism in recent political transitions, and state capitalism. She is currently working on a book manuscript on populism and economic nationalism in Eastern Europe.

Encina Hall, C139-c
616 Jane Stanford Way
Stanford, CA 94305-6055

650.497.9354
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Marissa is the Senior Administrative & Finance Associate at the Center on Democracy, Development and the Rule of Law. Marissa joined Stanford in 2017 and has worked in the School of Medicine Facilities, The Hasso Plattner Institute of Design, and the Office of Research Administration. Prior to her time at Stanford, she spent nine years teaching English as a Second Language in South Korea. Marissa holds a Bachelor of Arts in Film Theory from the University of Oklahoma. She loves reading, music, and cuddling her Old English Sheepdog.

Senior Administrative & Finance Associate, CDDRL
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Taiwan skyline at dawn with logo of the Taiwan Program and text about the conference "Innovate Taiwan: Shaping the Future of a Postindustrial Society"

*Please note, registration for this event has closed.*

A conference to inaugurate the Taiwan Program at Shorenstein APARC

As Taiwan seeks to stimulate vitality and progress in an era defined by shifting global dynamics, it grapples with a myriad of challenges akin to those that other postindustrial societies face. How can Taiwan innovate its economic competitiveness and refashion collaboration networks amid rapid technological transformations and diminishing globalization? What strategies can it employ to adapt to vast demographic changes? How can it cultivate cultural diversity?

Join us in person to discuss these questions and more at a full-day conference celebrating the launch of the new Taiwan Program at the Walter H. Shorenstein Asia-Pacific Research Center.

Hear from esteemed academic and industry leaders as they delve into topics including demography and migration, societal trends, health policy and biotechnology, economic growth and innovation, and the dynamics of domestic and international Taiwanese industries. 

Watch this space for updates on the agenda and confirmed speakers.

9:00 - 9:15 a.m.
Opening Session

Opening remarks

Gi-Wook Shin
Director of Shorenstein APARC, Stanford University

Congratulatory remarks

Richard Saller
President of Stanford University


9:15-10:45 a.m.
Panel 1: Migration, Culture, and Societal Trends        
    
Panelists 

Pei-Chia Lan
Distinguished Professor of Sociology, National Taiwan University

Ruo-Fan Liu
Ph.D. Candidate at University of Wisconsin-Madison
Incoming Postdoctoral Fellow at Shorenstein APARC, Stanford University

Jing Tsu
Jonathan D. Spence Chair Professor of Comparative Literature & East Asian Languages and Literatures, Yale University

Moderator
Kiyoteru Tsutsui
Deputy Director of Shorenstein APARC and Director of the Japan Program, Stanford University


10:45-11:00 a.m.
Coffee and Tea Break


11:00 a.m.-12:30 p.m.
Panel 2: Health Policy and Biotechnology

Panelists 

Ted Chang
CTO of Quanta Computer

Bobby Sheng
Group CEO and Chairman of Bora Pharmaceuticals

C. Jason Wang
Director of the Center for Policy, Outcomes and Prevention
LCY Tan Lan Lee Professor of Pediatrics and Health Policy, Stanford University

Moderator
Karen Eggleston
Director of the Asia Health Policy Program, Shorenstein APARC, Stanford University


12:30-2:00 p.m. 
Lunch Break


2:00-3:00 p.m.  
Panel 3: Taiwan at Stanford and Beyond

Panelists 

Tiffany Chang
Undergraduate Student in Management Science and Engineering
Research Assistant at Shorenstein APARC , Stanford University

Carissa Cheng
Undergraduate Student in International Relations, Stanford University

Yi-Ting Chung
Ph.D. Student in History, Stanford University

Moderator
Marco Widodo
Undergraduate Student in Political Science, Stanford University


3:00-3:30 p.m. 
Coffee and Tea Break


3:30-5:00 p.m.    
Panel 4:  Economic Growth and Innovation

Panelists

Steve Chen
Co-Founder of YouTube and Taiwan Gold Card Holder #1

Jason Hsu
Edward Mason Fellow at Harvard Kennedy School
Former Legislator of the Legislative Yuan Taiwan

CY Huang
Founder and President of FCC Partners

Rose Tsou
Former Head of Verizon Media International and E-Commerce
Former Regional Head of Yahoo APAC
Former General Manager of MTV Taiwan

Moderator
Larry Diamond
Mosbacher Senior Fellow in Global Democracy at the Freeman Spogli Institute for International Studies
William L. Clayton Senior Fellow at the Hoover Institution, Stanford University


5:00 - 5:30 p.m.    
Social Networking Session
 

Bechtel Conference Center
Encina Hall, First floor, Central, S150
616 Jane Stanford Way, Stanford, CA 94305

Conferences
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Stanford Libraries and the Stanford Center on China’s Economy and Institutions are pleased to present the 2024 Dr. Sam-Chung Hsieh Memorial Lecture featuring Bo Li who will be speaking on The Macroeconomics of Climate Change: Key Issues, Policy Responses, and International Cooperation. Senior Research Scholar Chenggang Xu will be moderating the event.

To attend in person, please register here.
To attend online, please register here.



Bo Li will be speaking on the macroeconomic impacts of climate change. He will discuss fiscal and financial policy priorities to meet Paris Agreement goals; key policy recommendations ranging from carbon taxation to scaling up climate finance; and challenges and opportunities for international cooperation on climate action.
 


About the Speaker 
 

Bo Li headhsot

Mr. Bo Li assumed the role of Deputy Managing Director at the IMF on August 23, 2021. He is responsible for the IMF’s work on about 90 countries as well as on a wide range of policy issues.

Before joining the IMF, Mr. Li worked for many years at the People’s Bank of China, most recently as Deputy Governor. He earlier headed the Monetary Policy, Monetary Policy II, and Legal and Regulation Departments, where he played an important role in the reform of state-owned banks, the drafting of China’s anti-money-laundering law, the internationalization of the renminbi, and the establishment of China’s macroprudential policy framework.

Outside of the PBoC, Mr. Li served as Vice Mayor of Chongqing—China’s largest municipality, with a population of over 30 million—where he oversaw the city’s financial-sector development, international trade, and foreign direct investment. Mr. Li was also Vice Chairman of the All-China Federation of Returned Overseas Chinese. He started his career at the New York law firm of Davis Polk & Wardwell, where he was a practicing attorney for five years.

Mr. Li holds a Ph.D. from Stanford University and an M.A. from Boston University, both in economics, as well as a J.D., magna cum laude, from Harvard Law School. He received his undergraduate education from Renmin University of China in Beijing.



The family of Dr. Sam-Chung Hsieh donated his personal archive to the Stanford Libraries' Special Collections and endowed the Dr. Sam-Chung Hsieh Memorial Lecture series to honor his legacy and to inspire future generations. Dr. Sam-Chung Hsieh (1919-2004) was former Governor of the Central Bank in Taiwan. During his tenure, he was responsible for the world's largest foreign exchange reserves, and was widely recognized for achieving stability and economic growth. In his long and distinguished career as economist and development specialist, he held key positions in multilateral institutions including the Asian Development Bank, where as founding Director, he was instrumental in advancing the green revolution and in the transformation of rural Asia. Read more about Dr. Hsieh.



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Bo Li, Deputy Managing Director at the IMF
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Lisa Sanchez-Corea Simpson
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In today's global landscape, corporations play a pivotal role and, in many ways, have a greater impact on our lives than governments. Their influence on the economy, democracy, and the rule of law is profound, shaping rules, enforcement mechanisms, international agreements, and the provision of essential services. The Center on Democracy, Development and the Rule of Law (CDDRL) at Stanford’s Freeman Spogli Institute for International Studies (FSI) is pleased to announce the launch of the Program on Capitalism and Democracy (CAD), which will explore the complex interactions among democratic institutions, markets, and private-sector participants. 

Led by Professor Anat Admati, affiliated faculty at CDDRL and the George G.C. Parker Professor of Finance and Economics at the Stanford Graduate School of Business (GSB), and undertaken in collaboration with the Corporations and Society Initiative at the GSB, CAD will explore the potential opportunities, tensions, and challenges to democratic governance that capitalism presents. Whereas markets and private-sector institutions need effective governments and laws to enable their success at scale, the forces of capitalism can undermine democratic institutions, distort rules and enforcement, and exacerbate injustice. Through research, policy development, and educational activities, CAD will seek approaches that promote truth, accountability, and the proper balance of power so that society can realize the full benefits of both capitalism and democracy. 

“We do not have to choose, as some suggest, between ‘free market capitalism’ and ‘big government,’” said Anat Admati. “Rather, we must create a system in which markets and corporations can thrive without distorting the economy and democracy and in which democratic governments write and enforce proper rules for all. I am excited to launch the Program on Capitalism and Democracy and eager to promote interdisciplinary collaborations and make a positive difference.”

We do not have to choose between ‘free market capitalism’ and ‘big government.' Rather, we must create a system in which markets and corporations can thrive without distorting the economy and democracy and in which democratic governments write and enforce proper rules for all.
Anat Admati
Faculty Director, Program on Capitalism and Democracy

“This program represents a unique opportunity to address the challenges facing democracies today, advocating for a balance that ensures corporations contribute positively to society without compromising democratic values and public interests,” said Kathryn Stoner, Mosbacher Director of CDDRL. “I am thrilled to have CDDRL partner with Anat on the CAD program, and know that our academic community will benefit greatly from meaningful dialogue that advances our understanding of the complex relationship between capitalism and democracy.”

On Monday, April 1, 2024, CAD will host its inaugural event, titled Is Democratic Capitalism in Crisis?, with Admati in conversation with Global Witness co-founder Patrick Alley, moderated by FSI's Mosbacher Senior Fellow in Global Democracy, Larry Diamond. The panel will address critical questions, such as, "Do capitalists and their enablers undermine the principles of democracy by exacerbating inequalities and interfering with the justice system?" and "How can we restore fairness and trust, increase transparency, and empower truth?" You can learn more about the event and register to attend virtually or in-person here.

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Anat Admati
News

How Banking Undermines Democracy

In a recent CDDRL research seminar, Anat Admati shared findings from her research on how banking practices can undermine democracy, which are highlighted in the new and expanded edition of her book, "The Bankers’ New Clothes: What is Wrong with Banking and What to Do About It" (Princeton University Press, 2024).
How Banking Undermines Democracy
View of the huge crowd from the Lincoln Memorial to the Washington Monument, during the March on Washington
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New Research Program Explores Intersection of Identity, Democracy, and Justice

Led by Professor Hakeem Jefferson, the program housed at the Center on Democracy, Development and the Rule of Law will advance innovative research on the multifaceted dimensions of identity and their role in democratic development, struggles for recognition, social justice, and inclusion.
New Research Program Explores Intersection of Identity, Democracy, and Justice
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Led by Professor Anat Admati, the program explores how capitalism interacts with democratic institutions and how a better balance between them might be achieved.

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