Governance

FSI's research on the origins, character and consequences of government institutions spans continents and academic disciplines. The institute’s senior fellows and their colleagues across Stanford examine the principles of public administration and implementation. Their work focuses on how maternal health care is delivered in rural China, how public action can create wealth and eliminate poverty, and why U.S. immigration reform keeps stalling. 

FSI’s work includes comparative studies of how institutions help resolve policy and societal issues. Scholars aim to clearly define and make sense of the rule of law, examining how it is invoked and applied around the world. 

FSI researchers also investigate government services – trying to understand and measure how they work, whom they serve and how good they are. They assess energy services aimed at helping the poorest people around the world and explore public opinion on torture policies. The Children in Crisis project addresses how child health interventions interact with political reform. Specific research on governance, organizations and security capitalizes on FSI's longstanding interests and looks at how governance and organizational issues affect a nation’s ability to address security and international cooperation.

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China's protracted regional conflicts of 1967 and 1968 have long been understood as struggles between conservative and radical forces whose opposed interests were so deeply rooted in existing patterns of power and privilege that they defied the imposition of military control. This study of Nanjing, a key provincial capital that experienced prolonged factional conflict, yields a new explanation: the conflicts were prolonged precisely because they could not be characterized as pitting "conservatives" against "radicals," making it difficult for central officials, local military forces, or Mao Zedong to decide how to resolve them. Furthermore, Beijing officials, regional military forces, and local civilian cadres were themselves divided against one another, exacerbating and prolonging local conflicts. In competing for approval from central authorities, local factions adopted opportunistic and rapidly shifting political stances designed to portray their opponents as reactionary conservatives—charges that had no basis in fact.

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Journal of Asian Studies
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Andrew G. Walder
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Since 1994, the Nuclear Posture Review (NPR) has established the official U.S. position on nuclear weapons. An extensive report outlining U.S. nuclear policy and strategy is published in conjunction with the review. Addressing China’s perspective on the most recent NPR report published in April 2010, Thomas Fingar contributed to a special issue of Nonproliferation Review and participated in a related breakfast briefing held on March 17, 2011, in Washington, DC.
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Secretary of State Hillary Clinton greets President Hu Jintao of China following a bilateral meeting during the Nuclear Security Summit at the Walter E. Washington Convention Center in Washington, D.C., April 12, 2010.
Official White House photo by Pete Souza
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Over the past three decades, China's government, economy, and society have been undergoing a transformation, the momentum of which has intensified in recent years. Stanford sociologist Xueguang Zhou has been conducting a detailed ethnographic study in a rural township a few hours' drive from Beijing in order to understand these changes, especially in terms of China's political institutions. He is also beginning research about the behavior of urban government organizations and about the trajectory of personnel mobility in the Chinese bureaucracy.

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Xueguang Zhou, FSI senior fellow and Kwoh-Ting Li Professor in Economic Development
Zhou (PhD '91), a senior fellow with the Freeman Spogli Institute for International Studies and the Kwoh-Ting Li Professor in Economic Development with the Department of Sociology, chose to conduct his ethnographic research project in a rural township because it afforded him a chance to stay in one place over a long period of time and to get closer to the everyday life of local residents. "It is easier to conduct this kind of research in rural areas because people are always there and once they get to know you, you can gain access to and make sense of their experiences, feelings and views, and their coping strategies in response to large-scale social changes," he notes.

Zhou's rural governance study branched out into three interrelated directions. He has been studying agricultural markets, including: how they have been taking shape and evolving over time, how harvests are conducted, and where local elites and farmers interact with large outside companies. China's rural election system, which Zhou suggests has become more institutionalized in the past six to eight years, has been another area of focus. He has examined how the system was first established, and how it has evolved into its current shape. Finally, he has followed patterns of government behavior within the context of the significant changes now underway in China.
"From a research point of view, this is really a critical moment in the Chinese economic transformation.

-Xueguang Zhou

FSI Senior Fellow and Kwoh-Ting Li Professor in Economic Development

Gradually shifting his focus to the study of China's urban political institutions, Zhou has been working with a doctoral candidate from Peking University to study the behavior of urban government bureaus for the past three years, and they are now working on articles highlighting the major findings from this research. In addition, Zhou is in the process of selecting urban sites in which to conduct a more prolonged and detailed study similar to his rural township project. He is also working with a Stanford master's student to analyze twenty years of government personnel data, tracing the movement of specific individuals across offices and bureaus as they have been promoted through the bureaucratic system. "It is all a public record," says Zhou, "but once you piece these trajectories together, they shed light on the inner working of, and dynamics in, the Chinese bureaucracy."

China's overall transformation has greatly accelerated in the past decade, and even as urban life is changing, life in rural areas around China's coastal megalopolises is perhaps changing even more quickly. Zhou suggests that within the next five to ten years the contribution of China's shrinking rural areas towards the country's GDP will become quite insignificant. "The speed is really just astonishing," he emphasizes. As cities expand, local governments purchase up land from rural residents for commercial development projects like shopping centers and apartment complexes. Real estate is a huge source of income for city governments and so there has been an aggressive push toward urbanization. As a result, says Zhou: "Millions of rural residents lost their land and became urban overnight without any relevant work skills." Although they are compensated to various degrees for their land, the bigger question is how this will affect the new city dwellers and their families in the future as they must develop new skills and adapt to the social and environmental conditions of urban life.

"From a research point of view," states Zhou, "This is really a critical moment in the Chinese economic transformation: the way that they deal with the process of urbanization will have tremendous consequences for the years to come because it is creating so much tension and social conflict." Even away from coastal areas, government-driven urbanization is taking place everywhere in China—even in provinces with vast expanses of remote land like Xinjiang. "This is exactly why you want to study government," maintains Zhou. "Because they play a key role in this process." Understanding China's government institutional structures, its decision-making processes, and the way that resources are mobilized will lead the way to better understanding about the future impact of these decisions that are now so rapidly changing both the rural and urban landscape.

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A grape harvest in rural China
Courtesy Xueguang Zhou
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Over the past decade, the ownership and control of China's corporate sector has finally begun to depart fundamentally from patterns typical in the socialist past. Students of corporate governance have watched these changes with an intense curiosity about their impact on firm performance. Students of comparative economic institutions have examined them for hints of a new variety of Asian capitalism and have sought to anticipate China's international competitiveness and impact. But these changes potentially will create a new corporate elite with greater compensation, personal wealth, and independence from government agencies than ever before. This transformation of China's political economy may eventually alter the Chinese state itself, although the extent and nature of this change are still far from clear. The key questions of interest are the social origins of the new elite, the scale of the economic assets they control, and especially their continuing relationships with party and government agencies. The answers will vary decisively by sector, four of which are described here: a state-owned sector, a privatized sector, a transactional sector, and an entrepreneurial sector. The evolving mix of these sectors will determine the future contours of the Chinese corporate economy.

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Management and Organization Review
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Andrew G. Walder
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Despite all of the rhetoric, it is clear from the numbers that China's ascendency has not been at the expense of the United States.

-Thomas Fingar

China unquestionably occupies a significant place in the world's U.S.-led economic and political system. Will it continue to participate in the system that it has benefited from and contributed to, adapting its policies and practices in order to do so? Or, will it attempt to overturn the current system at some point in an effort to gain global dominance? Thomas Fingar, the Oksenberg/Rohlen Distinguished Fellow at Stanford University's Freeman Spogli Institute for International Studies, will address these core questions in a new research project, arguing that the situation is neither so polarized, nor so simplistic. Former chairman of the National Intelligence Council, Fingar takes an empirical approach to his research, examining whether there have been recurring patterns to China's involvement in the global order; what drives, shapes, and constrains Chinese initiatives; and how others have responded to Chinese actions.

Fingar asserts that there have been patterns to China's participation in international economics and politics over the past 30 years, including a pendular quality to the U.S.-China relationship. According to him, relations between the two countries were largely instrumental during the Cold War era when the United States was at odds with the Soviet Union and China was undergoing a period of self strengthening. U.S.-China relations cooled following the Tiananmen Square incident, the timing of which coincided roughly with the fall of the Soviet Union. Trust between the two countries deteriorated as China displayed its more authoritarian side, and the United States responded with sanctions that did not significantly impede China's economic growth, but did change the relationship in ways that still shape perceptions of one another.

Economics are now the primary focal point of discussions about U.S.-China relations, with a negative light frequently cast on China. "Despite all of the rhetoric, it is clear from the numbers that China's ascendency has not been at the expense of the United States," states Fingar. Trade with China, in fact, creates jobs in the United States, but trade-related jobs are dispersed and therefore not clearly visible. "They are not concentrated in a place where a factory closed, often for reasons that that have nothing to do with China," says Fingar, "but the pain and the political impact is local. I would predict that when our economy turns around, the pendulum will swing further back in a less-worried, less-critical direction."

While China has a legal system and has adopted many international standards, Fingar asserts that "it is still not a society governed by law," and that it in fact does not always measure up to global or even to its own standards. He cites China's record of undesirable practices and issues, such as currency manipulation, government corruption, and intellectual property violation, which complicate and confuse understanding of its involvement in the global system.

Fingar does not believe that the U.S.-China relationship will ever return to the "honeymoon" era of the Cold War, but he says, "The swings of the pendulum and the perturbations in the relationship are less intense and of shorter duration; that is the pattern." Quoting Anne-Marie Slaughter, director of policy planning at the U.S. Department of State, Fingar suggests that the best vision for the global order is "a world in which there are more partnerships and fewer alliances." He cautions against disregarding important, long-time alliances, such as the U.S.-Korea relationship. He notes, however, the crucial fact that alliances assume that there is an adversary, which can marginalize and threaten regional neighbors, such as China, or put allies in the uncomfortable position of having to choose between siding with a neighbor or a distant ally. "We must find a way so that no one has to choose," says Fingar.

On January 6, Fingar outlined the primary points of his new research project at a public lecture co-sponsored by the Stanford China Program and the Center for East Asian Studies, part of the China in the World series. He will also lead Stanford students through an examination of related key issues and questions in "China on the World Stage" (IPS 246), a course that he is teaching during the current winter quarter.

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President Hu Jintao of China waits in a hallway before the start of a bilateral meeting with President Barack Obama, during the Nuclear Security Summit at the Washington Convention Center in Washington, D.C., April 12, 2010.
Official White House photo by Lawrence Jackson
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Numerous countries have transitioned away from state socialism since the fall of Communism in the Soviet Union and its satellite states two decades ago. At the core of this phenomenon, suggests Andrew G. Walder, is “a radical change in the definition, enforcement, and allocation of various rights over property.” In the chapter “Transitions from State Socialism: A Property Rights Perspective” (The Sociology of Economic Life, 2011), Walder examines property rights changes within the context of the transition from state socialism in Hungary, China, and Vietnam.

Published by Westview Press in January 2011, The Sociology of Economic Life was edited by sociology professors Mark Granovetter of Stanford University and Richard Swedberg of Cornell University.

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Westview Press
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Andrew G. Walder
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9780813344553
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China is transforming itself, and the world is adapting in response. Profound forces have reshaped the country's socioeconomic and political landscapes, but they have also brought challenges—growing pains—that China must face if it is to continue its upward trajectory.

Despite its successes, China is experiencing sharp growing pains. Rising levels of protest have accompanied the country's wrenching structural transformation. Corruption has prompted some observers to claim that the Chinese government is nothing short of a "predatory state." Legal reform continues to languish. Given that such challenges remain, can it be said that China's structural changes have succeeded? Or is the country trapped in transition?

"Growing Pains deserves the attention of every scholar interested in contemporary China." -Scott Kennedy, Indiana University

Growing Pains contains new analytical and empirical research from preeminent scholars working on contemporary China. These scholars identify which of the many problems thought to threaten China's reforms are not as serious as some interpreters claim, as well as those that have already been solved. Further, they point to other high-profile challenges, some of which truly are serious and loom on the horizon. With thoughtful, nuanced analysis, the contributors tackle thorny issues in China's ongoing reforms—employment, land policy, village elections, family planning, health care, social inequality, and environmental degradation—and use rich survey data and on-the-ground observation to assess the severity of the problems and the likelihood of near-term solutions.

Moving beyond the hype and hysteria that often characterize conversations about contemporary China, Growing Pains seeks to present not an optimistic or pessimistic perspective but rather an objective, empirically based view of the country's transition.

Examination copies: Desk, examination, or review copies can be requested through Stanford University Press.

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Tensions and Opportunity in China's Transformation

Authors
Jean C. Oi
Scott Rozelle
Xueguang Zhou
Book Publisher
Shorenstein APARC
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