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Enrique Peña Nieto was elected Mexico's president promising to curb the drug-related violence that exploded during Felipe Calderon’s past six years in office. His victory means the Institutional Revolutionary Party, or PRI, will return to power after being defeated 12 years ago in the country’s first truly democratic election.

The PRI has a complicated history of corruption. But it also built a reputation for guaranteeing political stability and making the peace among Mexican post-revolutionary warlords during its 71 years as the country’s ruling party.

Associate professor of political science Beatriz Magaloni talks about what to expect from Peña Nieto, what his policies may mean for Mexican-U.S. relations, and how his government would likely allow drug cartels some freedom to operate in exchange for the promise of peace.

Magaloni is the director of the Program on Poverty and Governance at the Center on Democracy, Development, and the Rule of Law at Stanford’s Freeman Spogli Institute for International Studies.

What do we know about Enrique Peña Nieto? Who is he?

His campaign slogan was “Because you know me.” But the paradox is that nobody knows him at all. He’s been the governor of Mexico State for six years, but he doesn’t have a particularly good or impressive record. There hasn’t been a lot of scrutiny of his performance, and people perceive him as a product of the media. He’s married to a soap opera star, and he’s known for his good looks – but also his shallowness. He was asked to list three books that have influenced him, and he had a lot of trouble answering the question.

Peña Nieto is the new face of an old party. What did the PRI accomplish in its 71 years of power?

Mexico had a social revolution in 1910. After the revolution there was continuous violence for almost two decades, and the PRI was created to put an end to the violence by bringing together all the post-revolutionary warlords into one single organization. The idea was they would stop killing each other and as long as they joined this organization, they would be guaranteed a piece of the pie.

The party did tame violence in Mexico, and that’s a big accomplishment. The party also has a history of social reform. They organized massive land redistribution, expanded welfare benefits to workers and oversaw moderate economic growth.

But the PRI was so successful in monopolizing power that they became increasingly corrupt. In the end, the corruption wound up destroying Mexico’s development. By the time of the PRI loss in 2000, we had more than 20 years of economic catastrophe. There was huge inflation, devaluation, unemployment, and a lot of corruption that was exceedingly destructive.

What does corruption in Mexico look like today, and how can it be addressed?

The relationships among cartels, police and politicians are very complicated throughout the country. Mexico has 31 states and one federal district. There are more than 2,400 municipalities, each with its own police force. There are also state and federal police. There are about 15 cartels, and as many as 10 different gangs operating in many of the larger cities. So in each region, you never know who the police are really working for.

The drug trade is so profitable that there are huge incentives for vast sectors of Mexican society to participate. You have to offer people opportunities and chances to make money outside of the drug market. You have to give civil society groups the room they need to grow and influence communities. Tijuana has been successful in turning things around. There was a big push to engage entrepreneurs and make them understand it was up to them to reclaim the city. They helped support the arts and culture. And, most importantly, they gave young people opportunities.

There have been at least 50,000 drug-related killings during Calderon’s term. Why has it been such a bloody six years?

This is a big debate. Some people blame Calderon’s policy of attacking the cartels, which they say forced them to strike back with more force. They say that if he didn’t do that, Mexico wouldn’t be as violent as it is now. Implicit in that critique is that Mexico shouldn’t have done anything about the drug problem. This is the argument that PRI is capitalizing on now – this notion that things were better off when we did nothing.

The other argument from Calderon and his supporters is that criminal organizations were already out of control when he took office. He said cartels were the de facto power holders in vast areas of the territory throughout Mexico, and the government had to do something about it to regain control.

How will the drug war shift?

Peña Nieto says he’s going to control the violence more than fight the cartels. So that’s implying that you have to let the cartels operate. Wars are ended with either a pact or a victory. There can be no victory as long as the drug market is as lucrative as it is. So you need a pact that says as long as the cartels don’t kill or kidnap or do violence, they can operate. But the problem with that is they will continue to be extremely powerful and in control of state institutions. It is very hard to draw the line between that kind of pact and absolute state corruption. I fear it’s hard to reach that pact without acknowledging that Mexico will never have rule of law.

It is clear that we cannot continue with the violence as it is. That’s the biggest thing that needs to be addressed. People are suffering so much. Crimes are not being solved. There is no real sense of justice.

As Mexico’s neighbor and the largest consumer of drugs moving out of Mexico, what role does the United States need to play in reducing the violence?

Much of the problem is about the demand for drugs in the U.S. That’s the source. But people aren’t going to stop consuming drugs. So you need to do something about the legal nature of drugs. Making all drug use and trafficking into an illegal activity is what’s fueling a lot of the violence. So if you legalize drugs – that doesn’t mean you sell them as freely as you sell alcohol, but you can sell them under legal regulation – I think violence will be reduced. And if the United States doesn’t become more engaged and rethink its policies, the violence is going to eventually come across its borders.

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The first annual Hana-Stanford Conference on Korea for U.S. Secondary School Teachers conference takes place this summer, from July 23 to 25, at Stanford. It will bring together secondary school educators from across the United States as well as a cadre of educators from Korea for intensive and lively sessions on a wide assortment of Korean studies-related topics ranging from U.S.-Korea relations to history, and religion to popular culture. In addition to scholarly lectures, the teachers will take part in curriculum workshops and receive numerous classroom resources.

Oberndorf Event Center
Graduate School of Business
Stanford University

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This year, the U.S. State Department and Korea's Ministry of Foreign Affairs and Trade (MOFAT) established a new exchange program for their diplomats. Kim Hyejin, an IPS 244 student in 2009, is MOFAT's inaugural representative to the program and has been working alongside State Department colleagues in the Washington, D.C. headquarters. Secretary of State Hillary Clinton recently singled her out for high praise.
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This unit offers a teacher’s guide to "Chinese American Voices: From the Gold Rush to the Present," a collection of primary source documents left by Chinese Americans themselves. By critically analyzing the primary sources in "Chinese American Voices," students gain a window into the rich and diverse textures, characters, and personalities that constitute the Chinese-American experience.
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Karl Eikenberry M.A. ’94 has had a distinguished military and diplomatic career. Prior to his current position as the Payne Distinguished Lecturer at the Freeman Spogli Institute for International Studies (FSI), he spent 35 years in the United States Army. As U.S. ambassador to Afghanistan from May 2009 to June 2011, he led President Obama’s civilian surge, which occurred in conjunction with a 30,000-troop surge.
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The Center on Democracy, Development, and the Rule of Law (CDDRL) congratulates Landry Signé for his recent awards in recognition of his pioneering work to advance democratic causes and community leadership in North America. Signé is a 2011-2013 Banting Postdoctoral Fellow at CDDRL where he researches the conditions that create, maintain and sustain democracies and economic development. His Banting fellowship is supported by the Social Sciences and Humanities Research Council of Canada. Prior to joining CDDRL, Signé was a visiting scholar at the Stanford Center on African Studies.

On May 19, Signé received the Outstanding Visionary Leadership Award during the 2012 African Network Conference in San Jose, California. Signé was recognized by The African Network for his pioneering role in promoting entrepreneurial opportunities, accountable governance, and economic development for Africa in the Silicon Valley and North America. Signé has been helping to redefine Africa as a continent of economic opportunity through an innovative course he teaches at Stanford Continuing Studies bringing Silicon Valley executives and Stanford students together to spur business and investment strategies.

A week earlier, Signé was awarded the Jury’s Favorite Award for Vision and Inspiration by the African Business Network during their Excellence Vision and Inspiration Gala in Montreal, Canada. Signé was bestowed with this award for his work with the Political Commission of Montreal, the United Nations Association of Canada-Montreal, and the United Nations Missions Committee in New York to champion projects to advance political, economic and social development. One of the projects he supported reinforced the importance of art for economic development, and resulted in a $26 million grant allocated to the Montreal Museum of Fine Art by the Government of Quebec and the Government of Canada.

Signé dedicated the award to, “All the people and institutions who - undercover or in the spotlight - contribute through their visionary actions to improve citizen involvement, to create more individual and collective opportunities, and to generate a better and happier life for the current and next generations.”

Signé completed his PhD in political science in 2010 with the Award of Excellence from the University of Montreal, and has been bequeathed the Award for Best International PhD Dissertation of 2011 by the Center for International Studies and Research. Signé is a member of the Stanford University Provost's Advisory Committee on Postdoctoral Affairs and is the co-chair of the Stanford University Postdoctoral Association whose mission is to represent and advocate for the interests of the postdoctoral scholar community, and to enrich their experience at Stanford University.

A frequent commentator on issues of African governance and economic development, Signé has appeared in The New York Times, Reuters, and Afrik-News.

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The Honorable Emmanuel Dubourg, Member of Parliament and Parliamentary Secretary to the Quebec Minister of Finance (left) and Landry Signé, winner of the Jury's Favorite Award for Vision and Inspiration (right).
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On Tuesday, December 11, 2012, the Program on Energy and Sustainable Development will host an all-day conference on "The New U.S. Role in Global Fossil Fuel Markets"

As recently as 2007, the United States seemed headed towards ever greater fossil fuel import dependence, as domestic oil and natural gas production dwindled and consumption continued to grow.   Five years later, the landscape looks dramatically different. An explosion in natural gas production from shales has overturned paradigms and sparked bold talk of LNG exports. While less remarked-upon, unconventional oil production has followed suit, helping to boost liquids output 20% from 50-year lows and vaulting North Dakota ahead of Alaska to become the nation’s second-largest oil producer. A new order is emerging in the coal market as well, with efforts underway to ship cheap, low-sulfur coal from the western U.S. to China.

The new role for the U.S. as a hotbed of production and technology development for unconventional resources, a reduced import market, and a possible key exporter of natural gas and coal raises a host of political, economic, and environmental questions. The goal of this conference is to contribute to insightful and data-driven dialogue on these pressing (and often politically-charged) issues by bringing together academics, policymakers, industry experts, and other stakeholder groups.

Register Now

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PESD director Frank Wolak spoke on role of congestion revenue rights (CRRs) and financial transmission rights (FTRs) in improving energy market efficiency at the Energy Risk magazine’s 16th annual 2-day conference.   His talk focused on the question of whether CRRs and FTRs issued by the market operator in Locational Marginal Pricing (LMP) markets improved or degraded wholesale electricity market performance.  

Wolak argued that CRRs and FTRs issued by market participants were more likely to improve market performance than those issued by the market operator.    Frank also participated in a panel on the future of liquefied natural gas (LNG) in the US and around the world given tremendous increase in shale gas production in the United States and likely increase in other parts of the world.

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As recently as 2007, the United States seemed headed towards ever greater fossil fuel import dependence, as domestic oil and natural gas production dwindled and consumption continued to grow. Five years later, the landscape looks dramatically different. An explosion in natural gas production from shales has overturned paradigms and sparked bold talk of LNG exports. While less remarked-upon, unconventional oil production has followed suit, helping to boost liquids output 20% from 50-year lows and vaulting North Dakota ahead of Alaska to become the nation’s second-largest oil producer. A new order is emerging in the coal market as well, with efforts underway to ship cheap, low-sulfur coal from the western U.S. to China.

The new role for the U.S. as a hotbed of production and technology development for unconventional resources, a reduced import market, and a possible key exporter of natural gas and coal raises a host of political, economic, and environmental questions. The goal of this conference is to contribute to insightful and data-driven dialogue on these pressing (and often politically-charged) issues by bringing together academics, policymakers, industry experts, and other stakeholder groups.

Session topics will include: (1) the environmental and economic impacts of proposed exports of Powder River Basin coal to China; (2) which will happen first: major LNG exports from the U.S. or shale gas development at scale outside of the U.S. (and especially in China); (3) the changing role of the U.S. in the global oil market, and its geopolitical and economic implications; (4) the cases for and against pipelines connecting Canada’s oil sands with U.S. refineries; and (5) the trajectory of future natural gas demand from the U.S. transportation and power sectors.  

Each session will feature a presentation by an academic or industry expert summarizing the state of knowledge on the topic and pointing out major unresolved issues. Discussants from the policymaking and stakeholder communities will then provide their perspectives on the presentation. This will be followed by an opportunity for audience comment and discussion.

 

Bechtel Conference Center

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As the U.S. presidential election race heats up, taking a tough stance on China's trade and economic policies has become part of the campaign rhetoric. Daniel C. Sneider speaks with Bloomberg and Medill News Service about Mitt Romney's focus on China.
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Shanghai's Lujiazui finance and trade zone, August 2010. | Flickr / Suvcon; http://bit.ly/NEGqlI
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