Trade
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As Secretary of the Technology, Trade, and Commerce Agency, Lon Hatamiya advises the governor and the legislature on all matters related to international business, serving as the voice of California's private sector in the State Cabinet. Appointed by Governor Gray Davis in 1999 and confirmed unanimously by the State Senate, Secretary Hatamiya is the first Asian-American to hold a cabinet-level position in California history. As the state's primary promoter of economic development, he directs numerous programs stimulating economic activity for international trade and investment, and under his leadership the Agency added the Division of Science, Technology, and Innovation, focusing on R&D and the commercialization of new technologies. Prior to his appointment as secretary, Mr. Hatamiya served as administrator for the Foreign Agricultural Service in the United States Department of Agriculture (USDA). He holds a degree in economics from Harvard University, and JD and MBA degrees from the University of California, Los Angeles.

The Oksenberg Room, Third Floor, Encina Hall, South Wing

Lon Hatamiya Secretary Speaker California Technology,Trade and Commerce Agency
Workshops
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(Excerpt) China is becoming the workplace of the world, so we are increasingly told. Jeffrey Garten, dean of the Yale School of Management, writes, "Will China's importance to global manufacturing soon resemble Saudi Arabia's position in world oil markets?" And the world economy might "soon become dangerously vulnerable to a major supply disruption [in China] caused by war, terrorism, social unrest, or a natural disaster" (Business Week, June 17, 2002).

Its growth in manufacturing is impressive. Manufactured goods exports rose during the 1990s at a 15 percent annual rate to about $220 billion in 2000. On one estimate, China now makes 50 percent of the world's telephones, 17 percent of refrigerators, 41 percent of video monitors, 23 percent of washing machines, 30 percent of air conditioners, and 30 percent of color TVs. Many companies in the United States, Japan, Taiwan and elsewhere are moving operations there. Jobs are shrinking in Mexico's factories as work shifts to China. The building space of foreign contract manufacturers grew from 1.6 million square feet in June 1999 to 5 million square feet two years later.

The causes are China's opening to the world; its abundant supply of cheap, competent labor (with wage rates 5 percent of those in the United States or Japan and one-third of Mexico's--and no trade unions); a high savings/capital formation rate; and an influx of direct investment that brings technology with it. Moreover, there are still around 300 million workers in low-income, primary producing sectors, largely agricultural, that is a reserve pool of labor for industry. ...

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International Economy
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Henry S. Rowen
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Dr. Jin Hyun Kim is the former chairman of Munwha Ilbo, one of Korea's major daily newspapers, and former Minister of Science and Technology in South Korea. A longtime journalist, Dr. Kim currently serves as senior research advisor to the Korea International Trade Association (KITA).

Philippines Conference Room

Dr. Jin Hyun Kim Senior Research Advisor Speaker Korea International Trade Association
Seminars
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12:00 p.m. Katsuyuki Tsukada, Nihon Unisys Company (JR) "Development of the New Business Model of Digital Contents Trade" 12:20 p.m. Tetsu Fukuoka, Sumitomo Corporation of America (HR) "Current Activity of Venture Capitals in Silicon Valley" 12:40 p.m. Takayuki Niikura, Ministry of Economy, Trade and Industry (RH) "Japan and Regional Choices" 1:00 p.m. Kotaro Inuzuka, Toyobo Company, Ltd. (FC) "Application of Smart Structure Technologies at TOYOBO" 1:20 p.m. Takeshi Myoi, Tokyo Electric Power Company (RD) "Strategies and Management of R&D at Tokyo Electric Power Company" 1:40 p.m. Takihiko Ashiya, Kansai Electric Power Company (RH) "Proposal of Strategic Viewpoints in Diversification Based on Analysis of Failures in the U.S. Telecommunication Industry"

Philippines Conference Room, Encina Hall East, Third Floor

A/PARC Visiting Fellows Listed Below:
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In a series of papers (Fung & Lau, 1996, 1998, 2001), we have argued that neither the U.S. nor the Chinese bilateral trade balance data are accurate. In this paper, we utilize the most up-to-date information and provide more accurate estimates. The adjustments include f.a.s.-f.o.b. and f.o.b.-c.i.f. conversion, re-exports via Hong Kong, re-export markups of Hong Kong middlemen and trade in services. With these adjustments, the best estimate of the U.S.-China bilateral trade balance in goods and services in 2002 is US$ 74.3 billion. This is a large figure, but is more than 25% smaller than the official estimate of the U.S. government.

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Journal of Asian Economics
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Lin Shu-ya will discuss the Taiwanese government's reserved land policy that is aimed at aiding indigenous people to be self-sufficient and integrate into mainstream society. This policy has been the main government policy for 50 years even though Ms. Lin argues that collective management might be a better option for the indegenous communities, allowing them to collectively manage their traditional territory. Varamon Ramangkura will discuss te impact of recent WTO free-trade versus the environment disputes on industry in Thailand. Ms Ramangkura will show that pressure from the WTO on the Thai government is forcing the closure of local shrimp farms and reducing the sustainability of this industry in Thailand. Shimamura Kazuyuki will analyze the problems of the land use system in Japan. Even after recent reforms in land use, the municipalities enact undemocratic, informal and opaque local ordinances for land use. Mr. Shimamura argues that the reforms must be adopted by the local governments and made fiscally transparent, be based on the needs of the citizens and that there is a necessity to create a legal foundation for broader delegation, particularly regarding the comprehensive planning system at the municipality level.

Okimoto Conference Room, Encina Hall, third floor, east wing

Lin Shu-ya Fellow Stanford Program in International Legal Studies
Varamon Ramangkura Fellow Stanford Program in International Legal Studies
Shimamura Kazuyuki Fellow Stanford Program in International Legal Studies
Seminars
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The success of India's export-oriented software industry is well known. Whether information technology (IT) can contribute to development beyond the obvious income effects generated by software exports depends on how pervasive are IT's impacts on the economy, ranging from improving the efficiency of existing businesses, to enabling new kinds of goods and services. In a developing country such as India, it is of particular interest whether such benefits can reach the poor, and even help in directly reducing the deprivations associated with poverty. Professor Singh's talk and paper will examine two ongoing experiments that aim to provide IT-based services to rural populations in India. Several features distinguish these experiments from others: a combination of public and private efforts, with "nonprofit" organizations acting as catalysts; goals of commercial sustainability, both for the local entrepreneurs and the nonprofits; and an eclectic approach to the services that are sought to be provided. The paper's main contribution is to draw some preliminary lessons from comparing two different approaches in localities that are geographically close and economically similar. While the ultimate goals of the two organizations studied are quite similar, he identifies some important differences in implementation that may have more general implications for the success of such experiments. Nirvikar Singh is currently Director of the Business Management Economics Program at the University of California, Santa Cruz, where he is Professor of Economics. He teaches courses on business strategy, technology and innovation, and electronic commerce, as well as graduate microeconomic theory. He has consulted for the World Bank and for high-tech start-ups in Silicon Valley. Professor Singh's current research topics are electronic commerce, business strategy, technology and innovation, governance and economic reform in India, federalism, international water disputes, and economic growth.

Dan and Nancy Okimoto Conference Room, Encina Hall, third floor, east wing

Nirvikar Singh Professor University of California, Santa Cruz
Seminars
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The recent increase in inward FDI (foreign direct investment) has significantly changed the environment of doing business in Japan. These changes will be examined by a "Stanford couple" who have been based in Tokyo since 1990 and are at the center of many of the most interesting changes taking place in Japanese business society, including telecommunications, software, finance, management consulting, and executive search.

Glen S. Fukushima heads the Japan operations of Cadence Design Systems, the $1.4 billion software company and world leader in EDA (electronic design automation), headquartered in San Jose. Previously, he was President of Arthur D. Little, Japan, the management consulting firm (1998-2000), and Vice President of AT&T Japan Ltd. (1990-1998). In the 1980s, he worked in Washington, D.C. at the Office of the U.S. Trade Representative (USTR) as Director for Japanese Affairs (1985-1988) and Deputy Assistant USTR for Japan and China (1988 1990). He was educated at Stanford, Harvard Graduate School, Harvard Business School, and Harvard Law School.

After graduating from Stanford Business School with an MBA in 1987, Sakie T. Fukushima has worked in strategy management consulting at Bain & Company (1987-1991) and in executive search at Korn/Ferry International, the world's largest executive search firm (1991-), where she has served on the Board of Directors since 1995. She has served as Vice President of the Japan Chapter of the Stanford Business School Alumni Association and as a member of the Board of Directors of the Japan Stanford Association. She received an Ed.M. from the Harvard Graduate School of Education and was educated in Japan at the International Christian University and Seisen College.

Philippines Conference Room, Encina Hall, Third Floor, Central

Sakie T. Fukushima Country Managing Director/Japan, Korn/Ferry International Advisory Council Member, Stanford Business School
Glen S. Fukushima President & CEO, cadence Design Systems, Japan Former President, American Chamber of Commerce in Japan
Seminars
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