Economic Affairs
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Daniel C. Sneider
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In the wake of the global financial crisis, some have dubbed China and the United States the G2, signifying their centrality in global economics and politics. Even so, the relationship between China and the United States is rife with new tensions. Trade and currency challenges persist, complicated by domestic politics and differing approaches to security issues.

In its annual conference to honor the memory of eminent China scholar Michel Oksenberg, Stanford's Shorenstein Asia-Pacific Research Center gathered distinguished policymakers and analysts to examine colliding—and overlapping—interests in U.S.-China relations.

The conference was kicked off by Jeffrey Bader, special assistant to the president and senior director for East Asian Affairs at the National Security Council, who began by exploring the possibility of productive, stable relations amid values that appear to differ vastly. In support of this idea, Bader pointed to successive American presidents, going back to Richard Nixon, who found points of commonality with China. China poses a different challenge today, he argued, than even a decade ago, as its influence has grown alongside its commercial and economic presence. The Obama administration, Bader explained, has sought China's support on key issues and pursued partnership within the context of a broader Asian policy. He concluded by saying that China's rise is not intrinsically incompatible with American interest, but that does not preclude ongoing competition.

A panel chaired by Jean C. Oi, director of the Stanford China Program, next looked at competition and cooperation in the U.S.-China economic relationship. Despite the dangers of speculative bubbles and weakened export markets, the prospects for sustained economic growth in China remain very good, argued Nicholas Lardy, senior fellow at the Peterson Institute for International Economics. Robert Kapp, former president of the U.S.-China Business Council, explored growing challenges facing American business in China, exemplified by recent clashes over Internet censorship. Despite the U.S.-China clash at the Copenhagen global climate conference, Stanford Law Professor Thomas Heller contended that behind the scenes global consensus on this issue has advanced.

Points of tension in the security relationship were the focus of a panel chaired by Amb. Michael H. Armacost, the Shorenstein Distinguished Fellow. China-Taiwan tensions have improved, but Smith College's Steve Goldstein cautioned that Taiwan's policies could shift again, particularly if the promised economic benefits of improved ties do not materialize. China and the United States must likewise manage challenging allies in North Korea and Japan respectively, said Alan Romberg, director of the East Asia Program at the Henry L. Stimson Center. Finally, the United States and China have both congruent and conflicting interests at stake in dealing with the situations in Iran and Pakistan, Stanford's Thomas Fingar, the Oksenberg/Rohlen Distinguished Fellow at FSI, told the gathering.

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Jean Oi, Director of the Stanford China Program, chairs the session about U.S.-China economic competition and cooperation.
Debbie Warren
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PESD Director Frank Wolak spoke at the 3-day City Leader Program event on Thursday, September 9th which gathered 50 cities' mayors from China.  Frank Wolak presented on the topic of Visionary & Executive Leadership: Investment Management & Decision Making for Future Economic Development with a presentation titled "Managing an Increasing Renewable Generation Share Through Active Demand-Side Participation".

This year's event was hosted in collaboration with Cisco and held on Stanford campus.

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The Stanford China Program, in cooperation with the Center for East Asian Studies, will host a special series of seminars to examine China as a major political and economic actor on the world stage.  Over the course of the autumn and winter terms, leading scholars will examine China actions and policies in the new global political economy.  What is China's role in global governance?  What is the state of China's relations with its Asian neighbors?  Is China being more assertive both diplomatically as well as militarily?  Are economic interests shaping its foreign policies?  What role does China play amidst international conflicts? 

Seiichiro Takagi is a professor at the School of International Politics, Economics and Communication at the Aoyama Gakuin University in Tokyo, Japan and a Senior Visiting Fellow of the Japan Institute of International Affairs. He specializes in Chinese foreign relations and security issues in the Asia-Pacific region. Previously, he was the director of the Second Research Department, which was responsible for area studies, at the National Institute for Defense Studies in Tokyo. He also served on the Graduate School of Policy Science of Saitama University (which became the National Graduate Institute of Policy Studies) for over 20 years, and has been a guest scholar at The Brookings Institution and Beijing University. He serves on the Board of Directors of the Japan Association for International Security, and is a member of several other organizations, including the Japanese Committee, Council for Security Cooperation in Asia-Pacific (CSCAP); the Japan Association for International Relations; and the Japan Political Science Association. His recent publications in English include China Watching: Perspectives from Europe, Japan and the United States, 2007 and in Japanese The U.S.-China Relations: Structure and Dynamics in the Post-Cold War Era, 2007.. He earned a B.A. in international relations from the University of Tokyo, Japan, and an M.A. and Ph.D. from Stanford University, California.

This event is part of the China and the World series.

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Seiichiro Takagi Professor Speaker School of International Politics, Economics, and Business, Aoyama Gakuin University, Tokyo
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In an emerging economy like China's, institutions are not yet institutions. They are often the playthings of politics and bureaucratic rivalries. China's banking system is a case in point.  Since 1949, banks have bounced around China's institutional landscape as the government tried out first one then another banking model.  This mattered little to the outside world until the last decade when reform brought banks to the international capital markets in search of massive amounts of new capital.  This did not, however, stop institutional in-fighting.  It spread so that today the domestic struggle over bank roles, responsibilities and ownership has expanded to involve international markets, investors, regulators and the reputations of market professionals at a growing cost to the Chinese government and to the banks themselves.

Carl Walter brings to JPMorgan over 20 years of professional experience in a number of senior banking positions across Asia and primarily in China.  Currently Mr. Walter is Managing Director, JPMorgan China.

Prior to joining JPMorgan, Mr. Walter was a Managing Director and a member of the Management Committee at China International Capital Corporation ("CICC"), a joint venture of Morgan Stanley and China Construction Bank. He played a key role in the execution of CICC's international and domestic equity and fixed income transactions. 

While at Credit Suisse First Boston Mr. Walter was responsible for organizing the firm's China investment banking team and established its Beijing Representative Office in 1993 serving as Chief Representative. During this time, he was involved in a number of significant equity and debt offerings. 

A fluent Mandarin speaker, Mr. Walter received an MA in economics at Beijing University in 1979-80 supported by a grant from National Academy of Science. He received his PhD in Political Science from Stanford University in 1981 and earned his BA from Princeton University. He is also the author of "Privatizing China: Inside China's Stock Markets" which has been published in a Chinese edition "Minyinghua zai Zhongguo".

This event is part of the China and the World series.

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Carl Walter Managing Director Speaker JPMorgan China
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Wolak spoke at the 3-day City Leader Program event on Thursday, September 9th which gathered 50 cities' mayors from China.  Frank Wolak presented on the topic of Visionary & Executive Leadership: Investment Management & Decision Making for Future Economic Development with a presentation titled "Managing an Increasing Renewable Generation Share Through Active Demand-Side Participation".

This year's event was hosted in collaboration with Cisco and held on Stanford campus.

The Jerry Yang and Akiko Yamazaki Environment and Energy Building

Stanford University 
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579 Jane Stanford Way Stanford, CA 94305-6072 

Website: https://fawolak.org/

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Senior Fellow at the Freeman Spogli Institute for International Studies
Holbrook Working Professor of Commodity Price Studies in Economics
Senior Fellow, by courtesy, at the Stanford Institute for Economic Policy Research
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Frank A. Wolak is a Professor in the Department of Economics at Stanford University. His fields of specialization are Industrial Organization and Econometric Theory. His recent work studies methods for introducing competition into infrastructure industries -- telecommunications, electricity, water delivery and postal delivery services -- and on assessing the impacts of these competition policies on consumer and producer welfare. He is the Chairman of the Market Surveillance Committee of the California Independent System Operator for electricity supply industry in California. He is a visiting scholar at University of California Energy Institute and a Research Associate of the National Bureau of Economic Research (NBER).

Professor Wolak received his Ph.D. and M.S. from Harvard University and his B.A. from Rice University.

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Awudu Abdulai, chair of food economics at the University of Kiel, Germany, is FSE's Cargill visiting scholar from October 2010 - March 2011. While at Stanford he will be pursuing three research themes. The first looks at how farmers risk preferences influence their decisions to adopt water conservation technologies and how that impacts farm productivity. The second examines how social capital, property rights and tenure duration affect farmers' investment decisions on sustainable management practices. The third involves an analysis of the welfare impacts of cultivating export crops in Sub-Saharan Africa.

Prior to joining the faculty at the University of Kiel, Professor Abdulai taught at the Swiss Federal Institute of Technology, Zurich (ETH) and also held visiting positions at the Departments of Economics at Yale University and Iowa State University, as well as the International Food Policy Research Institute, Washington, DC. Abdulai is originally from Ghana and his fields of interests span development economics, consumer economics and industrial organization.

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For the last decade, China has been at the forefront of pushing for regional economic integration, e.g. ASEAN-China FTA, Hong Kong-China CEPA, and China-Taiwan ECFA. Could this process culminate into a movement toward a European Union-style economic bloc? What are the implications of this development for US economic welfare? US unions have long viewed the cheap goods from China as harmful to US workers; and some US economists have recently blamed the cheap credit from China for the 2008 implosion of the US financial system. The present escalation of Chinese and US rhetoric on the exchange rate is worryingly akin to the mutual pawing on the ground before the great leap forward at each other. What is the sensible solution? There is no sign that the impasse over the Doha Round of trade negotiations would be resolved in the medium-term.  It is very surprising that China has adopted a near hands-off approach on this issue because it has been the biggest beneficiary of the open multilateral trading system. Has China's failure to help strengthen the WTO framework emboldened protectionism, much to its own detriment and the world's? In this seminar, Professor Woo will examine China's strategy of external economic engagement, including the recently signed ECFA between Beijing and Taipei. Woo argues that part (and only part) of the reason why China does not already have a coherent strategy could be that its present governance institutions create disincentives to move quickly to embrace such a strategy.  

 

Wing Thye Woo is Professor of Economics at U.C. Davis, Yangtze River Scholar at the Central University of Finance and Economics in Beijing, Director of the East Asia Program within The Earth Institute at Columbia University, and Nonresident Senior Fellow at the Brookings Institution. He received an M.A. in Economics from Yale University, and an M.A. and a Ph.D. in Economics from Harvard University. He has advised the U.S. Treasury Department, the IMF, World Bank, and the United Nations. Professor Woo has published extensively, and his current research focuses on the economic issues of East Asia, international financial architecture, comparative economic growth, state enterprise restructuring, fiscal management, and exchange rate economics.

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Wing Thye Woo Professor of Economics Speaker University of California at Davis
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Shorenstein APARC
Encina Hall
Stanford University
Stanford, CA 94305-6055

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Joon Nak Choi is the 2015-2016 Koret Fellow in the Korea Program at Stanford University's Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC). A sociologist by training, Choi is an assistant professor at Hong Kong University of Science and Technology. His research and teaching areas include economic development, social networks, organizational theory, and global and transnational sociology, within the Korean context.

Choi, a Stanford graduate, has worked jointly with professor Gi-Wook Shin to analyze the transnational bridges linking Asia and the United States. The research project explores how economic development links to foreign skilled workers and diaspora communities.

Most recently, Choi coauthored Global Talent: Skilled Labor as Social Capital in Korea with Shin, who is also the director of the Korea Program. From 2010-11, Choi developed the manuscript while he was a William Perry postdoctoral fellow at Shorenstein APARC.

During his fellowship, Choi will study the challenges of diversity in South Korea and teach a class for Stanford students. Choi’s research will buttress efforts to understand the shifting social and economic patterns in Korea, a now democratic nation seeking to join the ranks of the world’s most advanced countries.
 
Supported by the Koret Foundation, the Koret Fellowship brings leading professionals to Stanford to conduct research on contemporary Korean affairs with the broad aim of strengthening ties between the United States and Korea. The fellowship has expanded its focus to include social, cultural and educational issues in Korea, and aims to identify young promising scholars working on these areas.

 

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FSI's 2010 Fall Orientation welcomed faculty, staff, researchers, and friends of the institute to the new academic year and highlighted the institute's diverse research collaborations, educational programs, and policy engagement.  Presentations on display and in live video offered highlights of the current work of FSI centers and programs on many of the most challenging issues of the day. In his welcoming remarks, FSI Director Coit Blacker emphasized the interdisciplinary, cross-campus nature of FSI's work and thanked the FSI community for their many contributions to new knowledge and new approaches to many of the most pressing issues on today's global agenda.

This year's Orientation attracted the largest turnout to date. On continual display was a slide show capturing research of FSI centers and programs in the field and multi-disciplinary work here at the institute, along with highlights of FSI conferences, lectures, and policy endeavors compiled by FSI's Nora Sweeny.

Among the highlights were the following displays:

  • A presentation by the Center for International Security and Cooperation on the center's research, writing, policy influence, and Track II Diplomacy
  • A display of the many books published by the Walter Shorenstein Asia-Pacific Research Center showing the range of economic, political, and regional issues addressed by APARC scholars, and a photo slideshow of recent events and publications demonstrating the breadth of faculty work bridging the U.S. and Asia
  • A presentation by The Europe Center, newly launched and housed jointly in FSI and the Division of International and Comparative Area Studies, featuring major research areas, visiting scholars, publications, and notable events
  • A presentation by Stanford Health Policy capturing its multidisciplinary work in medicine, law, business, economics, engineering, and psychology
  •  A presentation by the Ford Dorsey Program in International Policy Studies, a two-year interdisciplinary Master's program, which captured the IPS practicum, scholarly concentrations, internships, and careers
  • A presentation by the Program on Energy and Sustainable Development featuring its work on environmental and policy research employing state of the art methodology to examine such issues as renewable energy, natural gas markets, national oil companies, low-income energy services, and climate change policy
  • A presentation by the Program on Food Security and the Environment which addresses hunger, poverty, and environmental degradation. FSE showcased its current research on topics such as solar electrification, food and nutrition security, climate change and conflicts, and evolving U.S. energy policy, as well as its upcoming series on Food Policy, Food Security, and the Environment
  • A presentation by the Stanford Program on International and Cross-Cultural Education, which develops multi-disciplinary curriculum materials on international themes reflecting FSI scholarship. Recent educational projects include a three-part series examining U.S.-South Korean relations, Uncovering North Korea, and Inter-Korean Relations; and a collaboration with TeachAIDS, which works to address and overcome the social and cultural challenges related to HIV/AIDS prevention education through materials offered via the internet and CDs in several languages, http://teachaids.org
  • A presentation featuring the Stanford Global Gateway, a comprehensive directory of Stanford in the world
  • A presentation previewing the vision and mission of the Stanford Center at Peking University, opening Fall 2011

Other highlights included the presentations prepared by Stanford students who worked in the field this past summer. One group worked in China, developing a survey on nutrition and anemia and their effect on learning, with FSI's Scott Rozelle, Director of the Rural Education Action Program. A second group helped Dr. Paul Wise, professor of pediatrics and Stanford Health Policy core faculty member, evaluate prenatal care in the rural highlands of Guatemala.

 

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