Stanford University

Globalization

Why Did Japan Stop Growing?

-

The Japanese economy has been stagnating for almost two decades. During this event, Takeo Hoshi will describe the findings of a report that he co-authored with Anil Kashyap of the Booth School of Business at the University of Chicago, the National Bureau of Economic Research (NBER), and the Federal Reserve Bank of Chicago. In the report, Hoshi and Kashyap utilized the neoclassical growth model in order to try to explain the causes of this stagnation and to identify policy choices that might help restore growth. Their focus was intentionally on longer-term issues, rather than the immediate challenges that are associated with the fallout from the global recession.

Looking at financial globalization and the collapse of the fixed exchange rate regime they found that by the end of the 1970s Japan could not rely on an undervalued currency to boost its exports. It had to rearrange its production system and other economic institutions to cope with globalization to reduce its reliance on external demand.

Japan's population structure was shifting and becoming increasingly elderly. Aging meant slower growth of the labor force. Declining fertility combined with aging eventually reduced the domestic saving that supported economic expansion during the rapid economic growth period.

Finally, monetary and fiscal policy performed poorly. The Bank of Japan consistently undershot its inflation objective. The government pursued massive fiscal stimulus during the 1990s and 2000s, so much so that Japan went from having the best debt position amongst advanced economies to the worst.

Hoshi is a Pacific Economic Cooperation Professor in international economic relations at the Graduate School of International Relations and Pacific Studies at the University of California, San Diego. He is also a research associate at the Tokyo Center for Economic Research, and is on the board of directors for Union Bank. His major research area is the study of the financial aspects of the Japanese economy, especially corporate finance and governance.

He is a recipient of the 2011 Reischauer International Education award, the 2006 Enjoji Jiro Memorial Prize, and the 2005 JEA-Nakahara Prize. Among his many publications is Corporate Financing and Governance in Japan: The Road to the Future (MIT Press, 2001), which received the Nikkei Award for the Best Economics Books in 2002.

Philippines Conference Room

Takeo Hoshi

0
Former Henri H. and Tomoye Takahashi Senior Fellow in Japanese Studies at the Freeman Spogli Institute for International Studies
Former Professor, by courtesy, of Finance at the Graduate School of Business
takeo_hoshi_2018.jpg PhD

Takeo Hoshi was Henri and Tomoye Takahashi Senior Fellow at the Freeman Spogli Institute for International Studies (FSI), Professor of Finance (by courtesy) at the Graduate School of Business, and Director of the Japan Program at the Shorenstein Asia-Pacific Research Center (APARC), all at Stanford University. He served in these roles until August 2019.

Before he joined Stanford in 2012, he was Pacific Economic Cooperation Professor in International Economic Relations at the Graduate School of International Relations and Pacific Studies (IR/PS) at University of California, San Diego (UCSD), where he conducted research and taught since 1988.

Hoshi is also Visiting Scholar at Federal Reserve Bank of San Francisco, Research Associate at the National Bureau of Economic Research (NBER) and at the Tokyo Center for Economic Research (TCER), and Senior Fellow at the Asian Bureau of Finance and Economic Research (ABFER). His main research interest includes corporate finance, banking, monetary policy and the Japanese economy.

He received 2015 Japanese Bankers Academic Research Promotion Foundation Award, 2011 Reischauer International Education Award of Japan Society of San Diego and Tijuana, 2006 Enjoji Jiro Memorial Prize of Nihon Keizai Shimbun-sha, and 2005 Japan Economic Association-Nakahara Prize.  His book titled Corporate Financing and Governance in Japan: The Road to the Future (MIT Press, 2001) co-authored with Anil Kashyap (Booth School of Business, University of Chicago) received the Nikkei Award for the Best Economics Books in 2002.  Other publications include “Will the U.S. and Europe Avoid a Lost Decade?  Lessons from Japan’s Post Crisis Experience” (Joint with Anil K Kashyap), IMF Economic Review, 2015, “Japan’s Financial Regulatory Responses to the Global Financial Crisis” (Joint with Kimie Harada, Masami Imai, Satoshi Koibuchi, and Ayako Yasuda), Journal of Financial Economic Policy, 2015, “Defying Gravity: Can Japanese sovereign debt continue to increase without a crisis?” (Joint with Takatoshi Ito) Economic Policy, 2014, “Will the U.S. Bank Recapitalization Succeed? Eight Lessons from Japan” (with Anil Kashyap), Journal of Financial Economics, 2010, and “Zombie Lending and Depressed Restructuring in Japan” (Joint with Ricardo Caballero and Anil Kashyap), American Economic Review, December 2008.

Hoshi received his B.A. in Social Sciences from the University of Tokyo in 1983, and a Ph.D. in Economics from the Massachusetts Institute of Technology in 1988.

Former Director of the Japan Program at the Shorenstein Asia-Pacific Research Center
CV
Takeo Hoshi Pacific Economic Cooperation Professor in International Economic Relations Speaker Graduate School of International Relations and Pacific Studies, University of California, San Diego
Seminars
Shorenstein APARC Winter Quarter Japan Seminar Series

Kenji E. Kushida

0
Former Research Scholar, Japan Program
kenji_kushida_2.jpg MA, PhD
Kenji E. Kushida was a research scholar with the Japan Program at the Walter H. Shorenstein Asia-Pacific Research Center from 2014 through January 2022. Prior to that at APARC, he was a Takahashi Research Associate in Japanese Studies (2011-14) and a Shorenstein Postdoctoral Fellow (2010-11).
 
Kushida’s research and projects are focused on the following streams: 1) how politics and regulations shape the development and diffusion of Information Technology such as AI; 2) institutional underpinnings of the Silicon Valley ecosystem, 2) Japan's transforming political economy, 3) Japan's startup ecosystem, 4) the role of foreign multinational firms in Japan, 4) Japan's Fukushima nuclear disaster. He spearheaded the Silicon Valley - New Japan project that brought together large Japanese firms and the Silicon Valley ecosystem.

He has published several books and numerous articles in each of these streams, including “The Politics of Commoditization in Global ICT Industries,” “Japan’s Startup Ecosystem,” "How Politics and Market Dynamics Trapped Innovations in Japan’s Domestic 'Galapagos' Telecommunications Sector," “Cloud Computing: From Scarcity to Abundance,” and others. His latest business book in Japanese is “The Algorithmic Revolution’s Disruption: a Silicon Valley Vantage on IoT, Fintech, Cloud, and AI” (Asahi Shimbun Shuppan 2016).

Kushida has appeared in media including The New York Times, Washington Post, Nihon Keizai Shimbun, Nikkei Business, Diamond Harvard Business Review, NHK, PBS NewsHour, and NPR. He is also a trustee of the Japan ICU Foundation, alumni of the Trilateral Commission David Rockefeller Fellows, and a member of the Mansfield Foundation Network for the Future. Kushida has written two general audience books in Japanese, entitled Biculturalism and the Japanese: Beyond English Linguistic Capabilities (Chuko Shinsho, 2006) and International Schools, an Introduction (Fusosha, 2008).

Kushida holds a PhD in political science from the University of California, Berkeley. He received his MA in East Asian Studies and BAs in economics and East Asian Studies with Honors, all from Stanford University.

Software Production: Globalization and its Implications

Paragraphs

South Asia's growth pattern, and India's growth in particular, has attracted global attention because of its success in service exports. The South Asian experience suggests that a service revolution—rapid growth and poverty reduction led by services—is now possible.

What is a service revolution? What has contributed to the globalization of services—technology, trade, and transport—the 3Ts? Do services have spatial characteristics that differ from goods? Are services as dynamic as manufacturing? Can services be a driver of sustained growth, job creation, and poverty reduction? Why have some countries succeeded and others failed in taking advantage of the globalization of services? What kind of policies and institutions do developing countries need to benefit from services-led growth? This volume answers these questions, with a fresh perspective on growth in India and other South Asian countries.

Walter H. Shorenstein Asia-Pacific Research Center senior research scholar Rafiq Dossani contributed the chapter "Software Production: Globalization and its Implications."

All Publications button
1
Publication Type
Books
Publication Date
Journal Publisher
Oxford University Press, in The Service Revolution in South Asia
Authors
Rafiq Dossani
Number
9780198065111

China and the Global System

-

Despite growing evidence that China's success in taking advantage of the global system is a function of its willingness to accede to existing norms, pundits, and many academics, continue to predict that China's rise will transform the international system, usually for the worse.  Indeed, one can make a stronger case that China's participation in the US-led global system has transformed China far more than it has changed the institutions and norms that support globalization and facilitate China's rise.

Dr. Thomas Fingar is the Oksenberg/Rohlen Distinguished Fellow. In 2009, he was the Payne Distinguished Lecturer in the Freeman Spogli Institute for International Studies at Stanford University. From May 2005 through December 2008, he served as the first Deputy Director of National Intelligence for Analysis and, concurrently, as Chairman of the National Intelligence Council.

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

Philippines Conference Room

Thomas Fingar

Freeman Spogli Institute for International Studies
Stanford University
Encina Hall, C-327
Stanford, CA 94305-6055

(650) 723-9149 (650) 723-6530
0
Shorenstein APARC Fellow
Affiliated Scholar at the Stanford Center on China's Economy and Institutions
tom_fingar_vert.jpg PhD

Thomas Fingar is a Shorenstein APARC Fellow in the Freeman Spogli Institute for International Studies at Stanford University. He was the inaugural Oksenberg-Rohlen Distinguished Fellow from 2010 through 2015 and the Payne Distinguished Lecturer at Stanford in 2009.

From 2005 through 2008, he served as the first deputy director of national intelligence for analysis and, concurrently, as chairman of the National Intelligence Council. Fingar served previously as assistant secretary of the State Department’s Bureau of Intelligence and Research (2000-01 and 2004-05), principal deputy assistant secretary (2001-03), deputy assistant secretary for analysis (1994-2000), director of the Office of Analysis for East Asia and the Pacific (1989-94), and chief of the China Division (1986-89). Between 1975 and 1986 he held a number of positions at Stanford University, including senior research associate in the Center for International Security and Arms Control.

Fingar is a graduate of Cornell University (A.B. in Government and History, 1968), and Stanford University (M.A., 1969 and Ph.D., 1977 both in political science). His most recent books are From Mandate to Blueprint: Lessons from Intelligence Reform (Stanford University Press, 2021), Reducing Uncertainty: Intelligence Analysis and National Security (Stanford University Press, 2011), The New Great Game: China and South and Central Asia in the Era of Reform, editor (Stanford University Press, 2016), Uneasy Partnerships: China and Japan, the Koreas, and Russia in the Era of Reform (Stanford, 2017), and Fateful Decisions: Choices that will Shape China’s Future, co-edited with Jean Oi (Stanford, 2020). His most recent article is, "The Role of Intelligence in Countering Illicit Nuclear-Related Procurement,” in Matthew Bunn, Martin B. Malin, William C. Potter, and Leonard S Spector, eds., Preventing Black Market Trade in Nuclear Technology (Cambridge, 2018)."

China and the World

Learn more

Selected Multimedia

All people Back to top
CV
Hide publication sections
Off
Date Label
Thomas Fingar Oksenberg/Rohlen Distinguished Fellow Speaker FSI
Seminars
China and the World

Republic of Indonesia Ambassador Djalal addresses the future

News Type
News
Date
Paragraphs

In 1998, in the twilight of the 20th century, the resignation of Indonesia's autocratic president Suharto ushered in a new political era. Corresponding changes occurred in Indonesia's economic, social, and cultural landscape. That transformation challenged and transformed the thinking of many Indonesians. One of them was Dr. Dino Patti Djalal, who recently became his country's ambassador to the United States. "I entered the twenty-first century with a new mindset," said Djalal to an overflow audience at the Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC) on November 18, 2010.

As the son of a renowned Indonesian diplomat, Djalal spent much of his youth and early adulthood abroad. He attended high school in the United States and college in Canada, and went on to earn his doctorate from the London School of Economics and Political Science. Djalal's diverse professional talents and experience encompass writing, politics, and film production. Passionate about inspiring and empowering young Indonesians, Djalal founded Modernisator, a youth leadership movement in Indonesia. Before becoming ambassador to the United States in September 2010, he served on the staff of Indonesian President Susilo Bambang Yudhoyono as a spokesperson and special adviser on foreign affairs.

Djalal's speech at Shorenstein APARC featured his top eight personal beliefs about the 21st century. His remarks were a mixture of optimism and wonder tempered by caution. This new century in Djalal's eyes promises great progress and opportunity, in contrast to the 20th century, which he called "probably the bloodiest century ever in human history." Looking forward, he spoke of an "explosion of creativity," the growth of emerging and developing economies, and major advances in technology. The power to eradicate poverty and to achieve world harmony is within our grasp, he argued, provided countries are willing to be open to new ideas and to embrace progress and change.

The last century, Djalal noted, saw the fall and fragmentation of empires and the birth of many new states. Looking ahead, he did not foresee great changes in the world's geopolitical map. He hoped that world leaders would not promote a further proliferation of new countries, which would increase rivalry and instability. Instead the goal should be unification, as in the case of the Korean Peninsula. He spoke optimistically of the trend whereby existing countries such as Indonesia manage to "proliferise," or acquire new and greater global relevance, and advocated a "geopolitics of cooperation" among larger and smaller countries, as in the Group of 20.

Djalal stressed the need for rapid innovation and ongoing social, economic, and educational change. A nation that wants to succeed in the 21st century must be open and adaptable. Analysts once thought that major changes could only unfold over several generations, but now, Djalal argued, dramatic change can occur in the span of a single generation. In addition to developing open and progressive political thinking, said Djalal, good governance is essential if the world is to enjoy stability and prosperity in this century. Having a democratic government does not automatically ensure good governance, he argued. Political leaders must strive to build strong, accountable institutions that emphasize positive outcomes in key sectors such as health, education, and entrepreneurship.

Addressing the younger generation, Djalal said, "skill is your best currency" in the present century. Individuals, empowered by education and technology, are now free to make their way in the world based on their own talents. He recalled that in an earlier era in Indonesia, as in many other parts of the world, access to information was limited by social status, wealth, and gender. More than any other factor, according to Djalal, technology is the "most important driver of change." It is the small, innovative technologies such as cell phones and online banking that will most change the world, provided we learn "how to adopt it without destroying the human soul."

Globalization is here to stay, Djalal argued, so it is crucial to "embrace it intelligently." Indonesia is a large country. But rather than rely on superior physical size, Indonesia and other large countries must climb the global ranks on less tangible dimensions such as education, including the skill sets needed to develop their economies. While being open to engaging with the rest of the world, he added, countries must also cultivate a strong sense of national identity.

Djalal closed on a high and provocative note, suggesting that the free, innovative, and global nature of the current century provides the means for young people today to become "potentially the best generation of all previous generations." How then should we proceed, as individuals and as countries, to realize that bright future? Djalal left that question hanging in the air for his audience to consider and to answer.

 

Hero Image
DjalalEmmerson
Dr. Dino Patti Djalal, Republic of Indonesia Ambassador to the United States, with Donald K. Emmerson, director of the Southeast Asia Forum, at the Walter H. Shorenstein Asia-Pacific Research Center on November 18, 2010.
Debbie Warren
All News button
1

Joon Nak Choi

Shorenstein APARC
Encina Hall
Stanford University
Stanford, CA 94305-6055

0
joon_nak_choi_7_cropped.jpg

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.

 

2015-2016 Koret Fellow
Visiting Scholar

Gi-Wook Shin Interview on Arirang TV's "Heart to Heart"

Speaking on June 17, 2010 in a television interview in South Korea, Dr. Gi-Wook Shin, Director of the Walter H. Shorenstein Asia-Pacific Research Center (APARC) at Stanford University, said, “No one can now ignore or overlook the importance of Asia.” He spoke of the rise of Asian countries in the past 50 years, particularly in the area of economics, and the world’s growing awareness of Asia. Dr. Shin discussed the important role that Shorenstein APARC and its Korean Studies Program (KSP) play in the field of Asian studies, noting that Shorenstein APARC’s unique focus on research, policy, and the social sciences distinguishes it from most academic Asian studies centers in the United States. He explained that not only do scholars from Shorenstein APARC carry out academic research, but they also “produce some policy reports for the American government and…try to promote dialogue between the U.S. and Asian countries.”

In his interview with Heart to Heart (Arirang TV) host Kolleen Park, Dr. Shin discussed the history of the field of Asian studies, noting the growing importance of Korean studies in the past 15 years. Dr. Shin said that in the past 100 years of Korean history are found “the key elements that we talk about in the social sciences.” He then asked, “How can we use the Korean experience to generate a general model or theoretical experience for the rest of the world?”

Dr. Shin’s interview took place during his visit to South Korea for the POSCO Asia Forum where he was a keynote speaker. The theme of the 2010 Forum was the “Globalization of Asian Culture.” “Looking back, Asia had a great contribution to human society and human civilization,” Dr. Shin said. His motivation in addressing the attendees of the Forum, he explained was, “I felt that it was time to take Asia more seriously and think about how Asia can continue to make contributions to human society and civilization.”

Highlights from the POSCO Asia Forum, a summary of Dr. Shin’s new book One Alliance, Two Lenses: U.S.-Korea Relations in a New Era (Stanford University Press 2010), and Dr. Shin’s thoughts on relations between the two Koreas are also covered in the interview.

Gi-Wook Shin

Shorenstein APARC
Encina Hall E301
616 Jane Stanford Way
Stanford, CA 94305-6055
(650) 724-8480 (650) 723-6530
0
Senior Fellow at the Freeman Spogli Institute for International Studies
Professor of Sociology
William J. Perry Professor of Contemporary Korea
Professor, by Courtesy, of East Asian Languages & Cultures
Gi-Wook Shin_0.jpg PhD

Gi-Wook Shin is the William J. Perry Professor of Contemporary Korea in the Department of Sociology, senior fellow at the Freeman Spogli Institute for International Studies, and the founding director of the Korea Program at the Walter H. Shorenstein Asia-Pacific Research Center (APARC) since 2001, all at Stanford University. In May 2024, Shin also launched the Taiwan Program at APARC. He served as director of APARC for two decades (2005-2025). As a historical-comparative and political sociologist, his research has concentrated on social movements, nationalism, development, democracy, migration, and international relations.

In Summer 2023, Shin launched the Stanford Next Asia Policy Lab (SNAPL), which is a new research initiative committed to addressing emergent social, cultural, economic, and political challenges in Asia. Across four research themes– “Talent Flows and Development,” “Nationalism and Racism,” “U.S.-Asia Relations,” and “Democratic Crisis and Reform”–the lab brings scholars and students to produce interdisciplinary, problem-oriented, policy-relevant, and comparative studies and publications. Shin’s latest book, The Four Talent Giants, a comparative study of talent strategies of Japan, Australia, China, and India to be published by Stanford University Press in the summer of 2025, is an outcome of SNAPL.

Shin is also the author/editor of twenty-six books and numerous articles. His books include Korean Democracy in Crisis: The Threat of Illiberalism, Populism, and Polarization (2022); The North Korean Conundrum: Balancing Human Rights and Nuclear Security (2021); Superficial Korea (2017); Divergent Memories: Opinion Leaders and the Asia-Pacific War (2016); Global Talent: Skilled Labor as Social Capital in Korea (2015); Criminality, Collaboration, and Reconciliation: Europe and Asia Confronts the Memory of World War II (2014); New Challenges for Maturing Democracies in Korea and Taiwan (2014); History Textbooks and the Wars in Asia: Divided Memories (2011); South Korean Social Movements: From Democracy to Civil Society (2011); One Alliance, Two Lenses: U.S.-Korea Relations in a New Era (2010); Cross Currents: Regionalism and Nationalism in Northeast Asia (2007);  and Ethnic Nationalism in Korea: Genealogy, Politics, and Legacy (2006). Due to the wide popularity of his publications, many have been translated and distributed to Korean audiences. His articles have appeared in academic and policy journals, including American Journal of Sociology, World Development, Comparative Studies in Society and History, Political Science Quarterly, Journal of Asian Studies, Comparative Education, International Sociology, Nations and Nationalism, Pacific Affairs, Asian Survey, Journal of Democracy, and Foreign Affairs.

Shin is not only the recipient of numerous grants and fellowships, but also continues to actively raise funds for Korean/Asian studies at Stanford. He gives frequent lectures and seminars on topics ranging from Korean nationalism and politics to Korea's foreign relations, historical reconciliation in Northeast Asia, and talent strategies. He serves on councils and advisory boards in the United States and South Korea and promotes policy dialogue between the two allies. He regularly writes op-eds and gives interviews to the media in both Korean and English.

Before joining Stanford in 2001, Shin taught at the University of Iowa (1991-94) and the University of California, Los Angeles (1994-2001). After receiving his BA from Yonsei University in Korea, he was awarded his MA and PhD from the University of Washington in 1991.

Stanford Next Asia Policy Lab (SNAPL)

Explore SNAPL

Shin's Reflections on Korea

A monthly column in the Korean magazine Sindonga
Read more

Reengaging North Korea

Learn more

Stanford Asia-Pacific Innovation

Learn more

Selected Multimedia

All people Back to top
Director of the Korea Program and the Taiwan Program, Shorenstein Asia-Pacific Research Center
Hide publication sections
Off
Date Label
Gi-Wook Shin Speaker
Seminars

No one can now ignore or overlook the importance of Asia, says APARC Director Dr. Gi-Wook Shin

News Type
Q&As
Date
Paragraphs

Speaking on June 17, 2010 in a television interview in South Korea, Dr. Gi-Wook Shin, Director of the Walter H. Shorenstein Asia-Pacific Research Center (APARC) at Stanford University, said, "No one can now ignore or overlook the importance of Asia." He spoke of the rise of Asian countries in the past 50 years, particularly in the area of economics, and the world's growing awareness of Asia. Dr. Shin discussed the important role that Shorenstein APARC and its Korean Studies Program (KSP) play in the field of Asian studies, noting that Shorenstein APARC’s unique focus on research, policy, and the social sciences distinguishes it from most academic Asian studies centers in the United States. He explained that not only do scholars from Shorenstein APARC carry out academic research, but they also “produce some policy reports for the American government and…try to promote dialogue between the U.S. and Asian countries.”

In his interview with Heart to Heart (Arirang TV) host Kolleen Park, Dr. Shin discussed the history of the field of Asian studies, noting the growing importance of Korean studies in the past 15 years. Dr. Shin said that in the past 100 years of Korean history are found “the key elements that we talk about in the social sciences.” He then asked, “How can we use the Korean experience to generate a general model or theoretical experience for the rest of the world?”

Dr. Shin’s interview took place during his visit to South Korea for the POSCO Asia Forum where he was a keynote speaker. The theme of the 2010 Forum was the “Globalization of Asian Culture.” “Looking back, Asia had a great contribution to human society and human civilization,” Dr. Shin said. His motivation in addressing the attendees of the Forum, he explained was, “I felt that it was time to take Asia more seriously and think about how Asia can continue to make contributions to human society and civilization.”

Highlights from the POSCO Asia Forum, a summary of Dr. Shin’s new book One Alliance, Two Lenses: U.S.-Korea Relations in a New Era (Stanford University Press 2010), and Dr. Shin’s thoughts on relations between the two Koreas are also covered in the interview. Watch the entire interview online here at the Shorenstein APARC website and learn more about the activities of Shorenstein APARC and KSP.

All News button
1
Subscribe to Globalization