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1. Diplomatic Experience That Never Fades

Author:
A. Yakovna
Publication Date:
02-2016
Content Type:
Commentary and Analysis
Institution:
East-West Center
Abstract:
Success multiplied by intuition is behind many discoveries. This fully applies to British historian Prof. Gabriel Gorodetsky* who has written numerous scholarly works including The Precarious Truce: Anglo-Soviet Relations, 1924-1927, Stafford Cripps’ Mission to Moscow, 1940-1942, etc. Prof. Gorodetsky came across the diaries of Ivan Maisky,** Soviet Ambassador to London while preparing official Soviet-Israeli documents for publication and was immediately interested. Before him few historians had paid attention to this unique historical document. in fact, Stalin never encouraged officials to keep diaries; this explains why they are few and far between in soviet archives.
Topic:
Communism, Diplomacy, and History
Political Geography:
Israel and Soviet Union

2. Ethnic Policy in China: Is Reform Inevitable?

Author:
James Leibold
Publication Date:
09-2013
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Balancing ethnocultural diversity and dignity with national integration and interethnic cohesion has been a constant challenge for Chinese policymakers. With a sizeable ethnic minority population, China has long been engaged in this delicate balancing act. Despite episodic conflict, it could be argued that the Communist Party of China (CPC) has, especially since the 1976 death of Mao Zedong, done a relatively competent job of containing ethnic tensions.
Topic:
Ethnic Conflict, Human Rights, Human Welfare, and Governance
Political Geography:
China and Israel

3. Micronesians on the Move: Eastward and Upward Bound

Author:
Francis X. Hezel
Publication Date:
09-2013
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Is out-migration an admission of a Pacific Island nation's failure to fulfill its economic promise and provide the jobs that its citizens seek in a modernized society? Or is it a legitimate alternative strategy for development, through the export of surplus labor, in lieu of the more conventional methods recommended by donor nations and international financial institutions? In this paper, Francis X. Hezel, SJ, reviews the 30-year history of migration from one Pacific Island nation, the Federated States of Micronesia (FSM), and examines the current status of its migrants with an eye to shedding light on this question.
Topic:
Development, Economics, Migration, and Immigration
Political Geography:
United States, Israel, and Australia/Pacific

4. Collective Self-Defense and US-Japan Security Cooperation

Author:
Ian E. Rinehart
Publication Date:
10-2013
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
If Japan decides to exercise its right of collective self-defense (CSD), it would have complex effects on US-Japan security cooperation. The tangible short-term outcomes would likely be rather modest, and mid-term outcomes are dependent on changes in complementary policies, laws, and attitudes. American observers who expect that a revised interpretation of Japan's Constitution will provide an immediate boost to the alliance are likely to be disappointed. There are institutional and legal limitations on the Japanese Self-Defense Forces (SDF) that will constrain its activities in the near-term, no matter what policy course leaders choose. Japanese public opinion is also highly circumspect about the use of force to resolve international problems and will likely not support missions that do not directly address the security of Japan. However, due to the powerful symbolism of CSD, the long-term effects could be quite significant.
Topic:
Security, Defense Policy, and Treaties and Agreements
Political Geography:
United States, Japan, America, and Israel

5. Industrial Upgrading through Low-Cost and Fast Innovation—Taiwan's Experience

Author:
Dieter Ernst
Publication Date:
09-2013
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
This paper examines the forces that drive Taiwan's new strategy of "Upgrading through Low-Cost and Fast Innovation." The first section highlights characteristics of Taiwan's traditional "Global Factory" innovation model and examines the role of innovation policy in that model. Section 2 reviews fundamental weaknesses that define the requirements of Taiwan's new innovation strategy. Section 3 explores Taiwan's new strategy of "low-cost and fast innovation through domestic and global innovation networks." Finally, section 4 examines the role of government and key policies and initiatives in the IT industry.
Topic:
Government, Industrial Policy, and Science and Technology
Political Geography:
Israel and Taiwan

6. A Double-Edged Sword: Information Technology in North Korea

Author:
Scott Thomas Bruce
Publication Date:
10-2012
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
With North Korea's tightly controlled and isolated population, the rise of information technology—specifically cell phones and an intranet—is an unprecedented development. In the last decade, a domestic intranet was launched and a cell phone network was created. Both of these form a closed, domestic system, which the regime hopes will allow for productivity gains from increased coordination and the sharing of state-approved information, while keeping out foreign influences. North Korea is now confronted with the challenge of how to reap the economic benefits of an IT system, while avoiding the social instability that may accompany it. The country has made a fundamental shift from a state that limits access to information technology to ensure the security of the regime, to one that is willing to use it as a tool, at least among a certain privileged class, to support the development of the nation. Although North Korea is stable for now, over the next decade, information technology has the potential to transform the state and it also creates a strong incentive to integrate North Korea into the dynamic economies of Northeast Asia.
Topic:
Security, Human Rights, Communications, and Governance
Political Geography:
Israel, Asia, and North Korea

7. Global Technology Sourcing in China's Integrated Circuit Design Industry: A Conceptual Framework and Preliminary Findings

Author:
Barry Naughton and Dieter Ernst
Publication Date:
08-2012
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
The paper examines the role of global technology sourcing, and its drivers and impacts in China's integrated circuit (IC) design industry. IC design is one of the priority targets of China's innovation policy, as codified especially in the ―Strategic Emerging Industries‖ initiative. At the same time, however, China's IC design industry is deeply integrated into the vertically disintegrated global semiconductor industry, through markets, investment and technology. The paper highlights a fundamental challenge for China's innovation strategy: How can China reconcile its primary objective of strengthening indigenous innovation with the benefits that it could reap from its deep integration into international trade and into global networks of production and innovation?
Topic:
Economics, Industrial Policy, International Trade and Finance, and Science and Technology
Political Geography:
China and Israel

8. Post-Crisis Japanese Nuclear Policy: From Top-Down Directives to Bottom-Up Activism

Author:
David P. Aldrich
Publication Date:
01-2012
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Over the past fifty years, Japan has developed one of the most advanced commercial nuclear power programs in the world. This is largely due to the government's broad repertoire of policy instruments that have helped further its nuclear power goals. These top-down directives have resulted in the construction of 54 plants and at least the appearance of widespread support for nuclear power. By the 1990s, however, this carefully cultivated public support was beginning to break apart. And following the earthquake and tsunami of March 2011 and resulting nuclear crisis in the Fukushima nuclear complex, the political and social landscape for energy in Japan has been dramatically altered. The crisis has raised and reinforced environmental concerns and health fears, as well as skepticism about information from government and corporate sources. A civil society that for decades has appeared weak and nonpartcipatory has awakened and citizens are carrying out bottom-up responses to the accident, effecting change with grassroots science and activism.
Topic:
Energy Policy, Environment, Health, Natural Disasters, and Nuclear Power
Political Geography:
Japan and Israel

9. Breaking with the Past? Civil-Military Relations in the Emerging Democracies of East Asia

Author:
Aurel Croissant, David Kuehn, and Philip Lorenz
Publication Date:
01-2012
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
In recent decades, several East Asian nations have undergone democratic transitions accompanied by changes in the balance of power between civilian elites and military leaders. These developments have not followed a single pattern: In Thailand, failure to institutionalize civilian control has contributed to the breakdown of democracy; civil-military relations and democracy in the Philippines are in prolonged crisis; and civilian control in Indonesia is yet to be institutionalized. At the same time, South Korea and Taiwan have established civilian supremacy and made great advances in consolidating democracy. These differences can be explained by the interplay of structural environment and civilian political entrepreneurship. In Taiwan, Korea, and Indonesia, strategic action, prioritization, and careful timing helped civilians make the best of their structural opportunities to overcome legacies of military involvement in politics. In Thailand, civilians overestimated their ability to control the military and provoked military intervention. In the Philippines, civilian governments forged a symbiotic relationship with military elites that allowed civilians to survive in office but also protected the military's institutional interests. These differences in the development of civil-military relations had serious repercussions on national security, political stability, and democratic consolidation, helping to explain why South Korea, Taiwan, and, to a lesser degree, Indonesia have experienced successful democratic transformation, while Thailand and the Philippines have failed to establish stable democratic systems.
Topic:
Civil Society, Democratization, and Governance
Political Geography:
Israel, Taiwan, South Korea, and Southeast Asia

10. Networks, Trust, and Trade: The Microeconomics of China-North Korea Integration

Author:
Stephan Haggard and Marcus Noland
Publication Date:
06-2012
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
A central hope of engagement with North Korea is that increased cross-border exchange will encourage the strengthening of institutions, and eventually, a moderation of the country's foreign policy. An unprecedented survey of Chinese enterprises operating in North Korea reveals that trade is largely dominated by state entities on the North Korean side, although we cannot rule out de facto privatization of exchange. Little trust is evident beyond the relationships among Chinese and North Korean state-owned enterprises. Formal networks and dispute settlement mechanisms are weak and do not appear to have consequences for relational contracting. Rather, firms rely on personal ties for identifying counterparties and resolving disputes. The weakness of formal institutions implies that the growth in exchange does not conform with the expectations of the engagement model and may prove self-limiting. The results also cast doubt that integration between China and North Korea, at least as it is currently proceeding, will foster reform and opening.
Topic:
International Trade and Finance and Bilateral Relations
Political Geography:
China, Israel, and North Korea

11. The Microeconomics of North-South Korean Cross-Border Integration

Author:
Stephan Haggard and Marcus Noland
Publication Date:
06-2012
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
Economic integration between North and South Korea occurs through three modalities: traditional arm's-length trade and investment, processing on commission (POC) trade, and operations within the Kaesong Industrial Complex (KIC). In order, these three modalities are characterized by decreasing exposure of South Korean firms to North Korean policy and infrastructure. Through a survey of 200 South Korean firms operating in North Korea we find that these modalities of exchange matter greatly in terms of implied risk. For example, firms operating in the KIC are able to transact on significantly looser financial terms than those outside it. We find that direct and indirect South Korean public policy interventions influence these different modalities of exchange and thus impact entry, profitability, and sustainability of South Korean business activities in the North. In effect, the South Korean government has substituted relatively strong South Korean institutions for the relatively weak Northern ones in the KIC, thus socializing risk. As a result, the level and type of cross-border integration observed in the survey is very much a product of South Korean public policy.
Topic:
Foreign Policy, International Trade and Finance, Bilateral Relations, and Infrastructure
Political Geography:
Israel and Korea

12. Policy Concerns of Low Fertility for Military Planning in South Korea

Author:
Elizabeth Hervey Stephen
Publication Date:
11-2011
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
The South Korean military currently is the sixth-largest in the world. But years of low birth rates have resulted in declining numbers of young men available for military service, and the country now faces the pressing question of how to ensure national security in the face of inevitable troop reductions. Some options for offsetting this shrinking recruit pool (such as increasing fertility, increasing immigration, and increasing the number of women in the military) might seem obvious, but the complex economic, social, and cultural reality of South Korea make them unlikely to be embraced. The best focus for immediate action is to stabilize or increase service terms and to encourage development and implementation of high-tech security systems. While the recruit pool appears nearly adequate at present, South Korea must act quickly to develop the leaner, more diverse, and more technologically based military necessary for the country to maintain a viable military force.
Topic:
Security
Political Geography:
Israel, Asia, and South Korea

13. The Trans-Pacific Partnership and Asia-Pacific Integration: A Quantitative Assessment

Author:
Peter A. Petri, Michael G. Plummer, and Fan Zhai
Publication Date:
10-2011
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
Two emerging tracks of trade agreements in the Asia-Pacific—one based on the proposed Trans-Pacific Partnership (TPP) agreement and an Asian track—could consolidate the “noodle bowl” of current smaller agreements and provide pathways to a Free Trade Area of the Asia-Pacific (FTAAP). We examine the benefits and strategic incentives generated by these tracks over 2010-2025. The effects on the world economy would be small initially but by 2025 the annual welfare gains would rise to $104 billion on the TPP track, $303 billion on both tracks, and $862 billion with an FTAAP. The tracks will be competitive but their strategic implications are constructive: each would generate incentives for enlargement. Over time, strong economic incentives would emerge for the United States and China to consolidate the tracks into a region-wide agreement. Each track would bring a different template to such consolidation and can be viewed as defining a “disagreement point” in the Asia-Pacific bargaining game. The study is based on an analysis of 48 actual and proposed Asia-Pacific trade agreements and models impacts on variables including sectoral trade, output, employment and job shifts in 24 world regions.
Topic:
Economics and International Trade and Finance
Political Geography:
United States, China, Israel, Asia, Australia/Pacific, and Asia-Pacific

14. An Evaluation of Overseas Oil Investment Projects Under Uncertainty Using a Real Options Based Simulation Model

Author:
ZhongXiang Zhang, Lei Zhu, and Ying Fan
Publication Date:
11-2011
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
This paper applies real options theory to establish an overseas oil investment evaluation model that is based on Monte Carlo simulation and is solved by the Least Squares Monte-Carlo method. To better reflect the reality of overseas oil investment, the model has incorporated not only the uncertainties of oil price and investment cost but also the uncertainties of exchange rate and investment environment. These unique features have enabled the model to be best equipped to evaluate the value of oil overseas investment projects of three oil field sizes (large, medium, small) and under different resource tax systems (royalty tax and production sharing contracts). In the empirical setting, China was selected as an investor country and Indonesia as an investee country as a case study. The results show that the investment risks and project values of small sized oil fields are more sensitive to changes in the uncertainty factors than the large and medium sized oil fields. Furthermore, among the uncertainty factors considered in the model, the investment risk of overseas oil investment may be underestimated if no consideration is given of the impacts of exchange rate and investment environment. Finally, as there is an important tradeoff between oil resource investee country and overseas oil investor, in medium and small sized oil investment negotiation the oil company should try to increase the cost oil limit in production sharing contract and avoid the term of a windfall profits tax to reduce the investment risk of overseas oil fields.
Topic:
Development, Economics, Energy Policy, International Trade and Finance, and Oil
Political Geography:
China, Indonesia, and Israel

15. Korea's Growth Performance: Past and Future

Author:
Marcus Noland
Publication Date:
11-2011
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
South Korea is arguably the premier development success story of the last half century. For 47 years starting in 1963, the economy averaged 7 percent real growth annually, and experienced only two years of economic contraction: 1980 after the second oil shock and the assassination of President Park Chung-hee, and 1998 at the nadir of the Asian financial crisis. At the start of that period South Korea had a per capita income lower than that of Mozambique or Bolivia; today it is richer than Spain or New Zealand, and was the first Asian and first non-G7 country to host a summit of the G20, the unofficial steering committee of the world economy.
Topic:
Demographics, Development, Economics, Industrial Policy, International Trade and Finance, and Political Economy
Political Geography:
Israel, Asia, South Korea, Spain, Mozambique, New Zealand, and Bolivia

16. Gender in Transition: The Case of North Korea

Author:
Stephan Haggard and Marcus Noland
Publication Date:
11-2011
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
This paper uses a survey of 300 North Korean refugees to examine the experience of women in North Korea's fitful economic transition. Like other socialist states, North Korea has maintained a de jure commitment to women's rights. However, we find that women have been disproportionately shed from state-affiliated employment and thrust into a market environment characterized by weak institutions and corruption. As a result, the state and its affiliated institutions are increasingly populated by males, and the market, particularly in its retail aspects, is dominated by women. Among the most recent cohort of refugees to leave North Korea, more than one-third of male respondents indicate that criminality and corruption is the best way to make money, and 95 percent of female traders report paying bribes to avoid the penal system. In short, the increasingly male-dominated state preys on the increasingly female-dominated market. These results paint a picture of a vulnerable group that has been disadvantaged in North Korea's transition. Energies are directed toward survival, mass civil disobedience is reactive, and as a group, this population appears to lack the tools or social capital to act collectively to improve their status.
Topic:
Corruption, Gender Issues, Markets, and Labor Issues
Political Geography:
Israel and North Korea

17. Rent(s) Asunder: Sectoral Rent Extraction Possibilities and Bribery by Multinational Corporations

Author:
Nathan Jensen, Edmund Malesky, and Dimitar Gueorgiev
Publication Date:
11-2011
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
We argue that openness to foreign investment can have differential effects on corruption, even within the same country and under the exact same domestic institutions over time. Our theoretical approach departs from standard political economy by attributing corruption motives to firms as well as officials. Rather than interpreting bribes solely as a coercive “tax” imposed on business activities, we allow for the possibility that firms may be complicit in using bribes to enter protected sectors. Thus, we expect variation in bribe propensity across sectors according to expected profitability which we proxy with investment restrictions. Specifically, we argue that foreign investment will not be associated with corruption in sectors with fewer restrictions and more competition, but will increase dramatically as firms seek to enter restricted and uncompetitive sectors that offer higher rents. We test this effect using a list experiment, a technique drawn from applied psychology, embedded in a nationally representative survey of 10,000 foreign and domestic businesses in Vietnam. Our findings show that the impact of domestic reforms and economic openness on corruption is conditional on polices that restrict competition by limiting entry into the sector.
Topic:
Development, Industrial Policy, International Trade and Finance, Political Economy, and Foreign Direct Investment
Political Geography:
Israel and Vietnam

18. Glum and Glummer in Japan

Author:
Jeffrey Hornung
Publication Date:
02-2011
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
When the Democratic Party of Japan (DPJ) kicked the Liberal Democratic Party (LDP) out of power in 2009, there was some sense of hope amongst the Japanese that things would change. If nothing else, the Japanese hoped that the DPJ would bring new ideas to tackle some of the country's ongoing problems. Reality soon proved otherwise. Not only has the DPJ quietly abandoned many of its campaign pledges, it has proved just as incapable at resolving ongoing problems. Seventeen months into a DPJ-led Japan, Prime Minister Naoto Kan faces a number of domestic problems that threaten his government's survival. The unfortunate result is another expected turn of the revolving door that is the Japanese premiership.
Topic:
Democratization, Politics, and Governance
Political Geography:
Japan, Israel, Asia, and Tokyo

19. The New ASEAN Intergovernmental Commission on Human Rights: Toothless Tiger or Tentative First Step?

Author:
Michelle Staggs Kelsall
Publication Date:
09-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
In late 2008 the Association of Southeast Asian Nations (ASEAN) committed to creating a human rights body, which emerged as the Intergovernmental Commission on Human Rights (ICHR), the terms of reference (TOR) for which have since been adopted. Although the TOR for the commission currently outlines a primarily advisory rather than an enforcement role, the very existence of the ICHR has the potential to act as a trigger to further discussion on human rights issues in member states and open avenues for further action. To take maximum advantage of this opportunity to further the human rights agenda in ASEAN member states, it is essential that critical early decisions are made carefully so as to leave the most latitude for future action. While some observers are concerned that the ICHR lacks teeth, the fact that all ten ASEAN governments have agreed to implement a human rights commission is remarkable and is an essential first step toward ASEAN's stated goal of respecting and protecting human rights.
Topic:
Human Rights, Human Welfare, International Organization, and Regional Cooperation
Political Geography:
Israel, Asia, and Southeast Asia

20. How the Asia Pacific Can Drive the Global Recovery

Author:
Peter A. Petri
Publication Date:
11-2009
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
The transition to a new, sustained global growth path is still precarious and will require concerted policy actions by many countries. Leadership by the G-20 will be essential for coordinating the global effort. But due to the central importance of the Asia Pacific in the world economy, regional institutions such as ASEAN+3, ASEAN+6, and APEC could also play large roles in the next phase of the recovery.
Topic:
Economics and Financial Crisis
Political Geography:
Israel and Asia

21. Why Science Alone Won't Solve the Climate Crisis: Managing Climate Risks in the Pacific

Author:
Melissa L. Finucane
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
The Pacific Islands are extraordinarily vulnerable to the effects of climate change. And although policymakers are turning to science to answer questions of how communities should deal with climate challenges, scientific knowledge is only one element of an effective risk-management process. The people of the Pacific Islands hold diverse beliefs about climate change and these beliefs inform their decisions. In addition, a dynamic social context influences the extent to which people are able to respond meaningfully to climate impacts. To solve the climate crisis, policymakers need to set a risk-management agenda that integrates sound science with an understanding of how that science is interpreted and translated into action in society. They will need to work not only with scientists, but also with cultural leaders, theologians, philosophers, and community groups. Lessons learned in the Pacific region, along with broader knowledge about factors affecting human decisionmaking, illustrate how policymakers can bridge the gap between climate science and society to facilitate adaptation.
Topic:
Climate Change and Energy Policy
Political Geography:
Israel, Asia, and Australia/Pacific

22. Population Policy, Economic Reform, and Fertility Decline in Guangdong Province, China

Author:
Jiajian Chen, Robert D. Retherford, Minja Kim Choe, Li Xiru, and Cui Hongyan
Publication Date:
05-2009
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
This paper examines Guangdong's fertility decline between 1975 and 2005 and analyzes how it has been influenced by both fertility policy and economic development. Guangdong's economic development has been very rapid and has attracted huge numbers of migrants from other provinces. The effect of this migration on Guangdong's fertility is an important part of the story. Measures of fertility and nuptiality employed in the analysis include the total fertility rate, parity progression ratios, mean age at first marriage, mean age at first birth, and mean closed birth interval between first and second birth. These measures are calculated from birth histories reconstructed from data from China's 1990 and 2000 censuses and 2005 mini-census. An overlapping-trend analysis provides indications of the accuracy of the estimates.
Topic:
Demographics, Development, Economics, and Migration
Political Geography:
China and Israel

23. Multitrack Integration in East Asian Trade: Noodle Bowl or Matrix?

Author:
Peter A. Petri
Publication Date:
10-2008
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
East Asian trade agreements are often described as a complicated "noodle bowl," which shows links in the region as a snarled, overlapping and intertwined mass. But this is a misleading representation--Asia's regional agreements may in fact be creating an order of a different sort, building the foundations for a stronger regional trading system. Asian trade arrangements can be more constructively seen in terms of a trade agreements matrix, in which multiple negotiations produce an orderly progression of agreements to liberalize all potential bilateral relationships and move the region toward a coherent system of freer trade. The various approaches to deeper economic integration--regional arrangements, trans-Pacific agreements, and global engagement--are complementary paths that should eventually lead to an open global trading system. East Asia is of growing importance in the global marketplace, and adopting an aggressive multitrack strategy--as the region appears to be doing--may be the fastest route toward a new global framework.
Topic:
International Trade and Finance and Treaties and Agreements
Political Geography:
Israel and Asia

24. Renewing the Pacific Partnership

Author:
Charles Morrison and Peter Petri
Publication Date:
09-2007
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
The rise of China, India, and other Asian nations is creating a new “core” of the world economy centered on the Pacific. It is essential for the United States to remain vigorously engaged in this region, yet the climate of our relations with Asian partners is cooling. The United States and Asia have yet to find a way to cooperate effectively on any significant global issue. This dilemma, we argue, requires urgent attention on both sides of the Pacific, and specifically a U.S. strategy that features innovative civil diplomacy alongside official initiatives.
Topic:
International Cooperation
Political Geography:
United States, Israel, Asia, and Australia/Pacific

25. Entrepreneurship and Political Guanxi Networks in China's Private Sector

Author:
Christopher A. McNally, Hong Guo, and Guangwei Hu
Publication Date:
08-2007
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
Since the mid-1990s the Chinese government has rapidly liberalized the environment facing domestic private firms. As a consequence, many private firms have clarified their ownership relations and acquired stronger organizational boundaries. However, despite this formalization of private sector institutions, informal guanxi networks remain a key component in firm success. Most significant among these guanxi networks are political networks that connect private entrepreneurs with actors in China's political sphere.
Topic:
Economics, International Trade and Finance, and Markets
Political Geography:
China and Israel

26. 'Justice on the Cheap' Revisited: The Failure of the Serious Crimes Trials in East Timor

Author:
David Cohen
Publication Date:
05-2006
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
From 2000 to 2005 a UN-sponsored tribunal in East Timor sought to achieve accountability for violence associated with the 1999 vote for independence from Indonesia. Despite criticism of the tribunal's performance the UN has maintained that it was a success. In fact the East Timor tribunal represents a virtual textbook case of how not to create, manage, and administer a hybrid justice process. It was handicapped from the beginning by a debilitating lack of resources, an unclear mandate, inadequate recruitment, ineffective management by a peacekeeping mission that had other priorities, and above all a lack of political will both at UN headquarters and at the mission level. Trial practices and jurisprudence were too often deeply flawed, in important respects did not meet international standards, and, in a significant number of cases, undermined the rights of the accused to a fair trial. Because the UN risks repeating some of the same mistakes in Cambodia it is particularly important now to assess the failings of the East Timor trials.
Topic:
Conflict Resolution, Crime, and Treaties and Agreements
Political Geography:
Israel and United Nations

27. What Motivates Regional Financial Cooperation in East Asia Today?

Author:
Jennifer Amyx
Publication Date:
02-2005
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Regional financial cooperation in East Asia is proceeding with unprecedented intensity. Latest developments include two Asian Bond Funds, created by the regional central bankers group, and an Asian Bond Markets Initiative launched by the finance ministers of the Association of South East Asian Nations member states plus China, Japan, and South Korea (or ASEAN+3). Some observers continue to attribute such cooperation to sharpened antagonism between East Asia and the West since the Asian financial crisis of 1997–98. But this view overlooks a key internal driver: ChinaÂ's shift to a more proactive stance toward regional cooperation. Far from demonstrating an antagonism toward market-based financial systems, ASEAN+3 members are embracing more liberal rules for economic interaction in their creation of regional bond funds and markets. Financial cooperation in East Asia is today motivated by factors that differ considerably from those observed in the immediate aftermath of the Asian financial crisis—and the implications extend beyond East Asia.
Topic:
International Relations, International Trade and Finance, and Regional Cooperation
Political Geography:
Israel

28. Banking Crises in East Asia: The Price Tag of Liberalization?

Author:
Ilan Noy
Publication Date:
11-2005
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
The banking crises that swept through East Asia in 1997– 1998 set off dramatic recessions in the affected countries and imposed heavy costs on the domestic taxpayers. Fear of further crises prompted searches causes and early warning signs. It soon became apparent that liberalization the domestic financial sectors of the countries in crises contributed to genesis of these crises, but policymakers, regulators, and economists disagree about the reason for this. Initial scrutiny fell on unregulated international capital flows, but a comprehensive study suggests that liberalization can to financial instability either because of insufficient regulation of the financial sector or because of erosion of previously granted monopolies of existing banks. These possibilities suggest varying policy implications for the current state domestic financial systems in East Asia, including the challenges inherent opening up ChinaÂ's banking system to foreign competition as mandated in China–World Trade Organization accession agreement.
Topic:
Economics and International Trade and Finance
Political Geography:
Israel and Asia

29. Changing Korean Perceptions of the Post-Cold War Era and the U.S.-ROK Alliance

Author:
Choong Nam Kim
Publication Date:
04-2003
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
For half a century the United States and South Korea have been united in an alliance that has simultaneously contained North Korea and projected American power into Northeast Asia. Now that alliance is being questioned by many South Koreans, whose country has developed from a poor, authoritarian state into the world's 11th largest economy and a vital democracy. Along the way South Koreans' views of themselves and of other nations have changed. Improved relations with China and Russia, and a policy of engagement with North Korea, have reduced the country's dependence on the United States and South Koreans' tolerance for what they view as American arrogance and unilateralism. Indeed, Koreans today view their Cold War allies (the United States and Japan) more negatively than their Cold War enemies (North Korea and China), a situation that would have been unimaginable a decade ago. The poorly coordinated North Korea policy of Seoul and Washington appears to be a direct cause of anti-Americanism, which will grow unless the two countries develop a more equal, mutually acceptable relationship.
Topic:
Cold War
Political Geography:
Russia, United States, China, Israel, South Korea, and North Korea