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Making Money: How Taiwanese Industrialists Embraced the Global Economy is a record of a thirty-year research project that Gary G. Hamilton and Kao Cheng-shu began in 1987.  A distinguished sociologist and university administrator in Taiwan, Kao and his research team (which included Prof. Hamilton during his frequent visits to Taiwan) interviewed over 800 owners and managers of Taiwanese firms in Taiwan, China, and Vietnam.  Some were re-interviewed over ten times during this period.  The length of this project allows them a vantage point to challenge the conventional interpretations of Asian industrialization and to present a new interpretation of the global economy that features an enduring alliance between, on the one hand, American and European retailers and merchandisers and, on the other hand, Asian contract manufacturers, with Taiwanese industrialists becoming the most prominent contract manufacturers in the past forty years.


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Gary Hamilton
Gary G. Hamilton is a Professor Emeritus of International Studies and Sociology at the University of Washington.  He specializes in historical/comparative sociology, economic sociology, with a special emphasis on Asian societies. He is an author of numerous articles and books, including most recently Emergent Economies, Divergent Paths, Economic Organization and International Trade in South Korea and Taiwan (with Robert Feenstra) (Cambridge University Press, 2006), Commerce and Capitalism in Chinese Societies (London: Routledge, 2006), The Market Makers: How Retailers Are Changing the Global Economy (co-editor and contributor, Oxford University Press, 2011; paperback 2012), and Making Money: How Taiwanese Industrialists Embraced the Global Economy (with Kao Cheng-shu, Stanford University Press, 2018).

 

This event is organized by the Taiwan Democracy and Security Project, part of the U.S.-Asia Security Initiative at Shorenstein APARC. Formerly the Taiwan Democracy Project at CDDRL.

Gary G. Hamilton <i>Professor Emeritus of International Studies and Sociology, University of Washington</i>
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In October 2017, twenty-two scholars from eight countries attended a workshop titled “ASEAN @ 50, Southeast Asia @ Risk: What should be done?” The workshop was designed to facilitate a frank and creative discussion of policy recommendations, with the intention of providing the resulting proposals to ASEAN member states and other regional powers. Following two days of discussion and debate, the attendees produced a series of specific policy recommendations (SPRs).

Four sets of Southeast Asia-related topics were covered during the workshop: regional security, regional infrastructure, regional economy, and improving ASEAN. The attending scholars—which included Director of the U.S.-Asia Security Initiative Karl Eikenberry and Director of the Southeast Asia Program Donald Emmerson—submitted 24 SPRs for discussion.

Over two-and-a-half days, the group evaluated each SPR for its effectiveness, significance, specificity, and feasibility. The intention was to produce specific proposals addressing some of the main challenges facing Southeast Asia. So as to encourage openness in the dialogue, the workshop was held under the Chatham House Rule.

The Southeast Asia Program and the U.S.-Asia Security Initiative in the Walter H. Shorenstein Asia-Pacific Research Center prepared this program and final publication in cooperation with multiple partners. Their final recommendations have been included in the 20-page report which is now available online.

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In October 2017, twenty-two scholars from eight countries attended a workshop titled “ASEAN @ 50, Southeast Asia @ Risk: What should be done?” The workshop was designed to facilitate a frank and creative discussion of policy recommendations, with the intention of providing the resulting proposals to ASEAN member states and other regional powers. Following two days of discussion and debate, the attendees produced a series of specific policy recommendations (SPRs).

 

Four sets of Southeast Asia-related topics were covered during the workshop: regional security, regional infrastructure, regional economy, and improving ASEAN. The attending scholars—which included Director of the U.S.-Asia Security Initiative Karl Eikenberry and Director of the Southeast Asia Program Donald Emmerson—submitted 24 SPRs for discussion.

 

Over two-and-a-half days, the group evaluated each SPR for its effectiveness, significance, specificity, and feasibility. The intention was to produce specific proposals addressing some of the main challenges facing Southeast Asia. So as to encourage openness in the dialogue, the workshop was held under the Chatham House Rule.

 

The Southeast Asia Program and the U.S.-Asia Security Initiative in the Walter H. Shorenstein Asia-Pacific Research Center prepared this program and final publication in cooperation with multiple partners. Their final recommendations have been included in the 20-page report which is now available online.

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Donald K. Emmerson
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After twelve years at Stanford’s Center on Democracy, Development, and the Rule of Law, the Taiwan Democracy Project will be returning to its original home at the Walter H. Shorenstein Asia-Pacific Research Center (APARC) this fall. During its tenure at CDDRL, the Taiwan Democracy Project was led by FSI Senior Fellow Larry Diamond, who expanded the research agenda to examine the political, social and regional dynamics confronting democracy in Taiwan. A particular focus for the Program was cross-Strait relations and the increasing threats from regional neighbors. 

The Taiwan Democracy Project hosted an annual conference on Taiwan democracy at Stanford bringing together Taiwanese scholars and experts, as well a very active speaker series that ran through the course of the academic year. Several publications also emerged from the program, most recently, Taiwan's Democracy Challenged: The Chen Shui-bian Years, edited by Yun-han Chu, Larry Diamond and Kharis Templeman, which provides a sweeping account of Taiwan’s democratic performance from 2000-2008.

Other edited books of the project compared political trajectories in Taiwan and mainland China, and assessed the policy and institutional challenges confronting the maturing democracies of Taiwan and Korea. A fourth book, assessing the recently concluded presidency of Ma Ying-jeou, is now in preparation. The program also hosted a fellowship program for senior public administrators in the Taiwan government who spent an academic quarter in residence at CDDRL. An undergraduate student fellowship allowed Stanford students to spend a summer in Taiwan to examine different dimensions of its democratic transition. 

"We are very proud of what we were able to accomplish during these last twelve years," said Larry Diamond at the conclusion of CDDRL's hosting of the project. "Taiwan is one of the most vibrant and successful democracies of the Third Wave of global democratization, and what we have learned has significant implications not only for Taiwan's democratic future, but for the possible - and I believe eventual - emergence of democracy on the mainland as well. We are especially grateful to our partners at the Taipei Economic and Cultural Office in San Francisco, which has provided generous support while always respecting the core principle of academic freedom."

In returning to APARC, the Taiwan Democracy Project’s focus will shift to examine the challenges of democracy and security and will be renamed the Taiwan Democracy and Security Project under the leadership of Karl Eikenberry, the Oksenberg-Rohlen Fellow and the director of the U.S.-Asia Security Initiative at APARC. Kharis Templeman, who has been at CDDRL for over four years managing the project, will continue in this capacity as the project's director at APARC. 

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Speculation about the course of cross-Strait relations after the upcoming 19th Chinese Communist Party Congress ranges from greater PRC flexibility to substantially increased pressure on Taiwan. The Mainland’s persistent suspicion about President Tsai Ing-wen’s motives has only deepened with her appointment of avowed independence supporter Lai Ching-te as premier, especially because of the prospect that Lai could eventually become president. As a result, once the internal tugging and hauling leading up to the Party Congress has been settled, some people predict that Beijing will resort to military intimidation or even actual use of force to bring Tsai to heel. What are the PRC’s goals? What are Taipei’s? What role can and should the United States play in seeking not only to avoid conflict but to reestablish a reliable level of stability in cross-Strait relations and to prevent Taiwan from once more becoming a highly divisive issue in U.S.-PRC relations? Alan Romberg will address these issues in his talk on October 30th.

 

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Alan Romberg

Alan Romberg is a Distinguished Fellow and the Director of the East Asia program at Stimson. Before joining Stimson in September 2000, he enjoyed a distinguished career working on Asian issues including 27 years in the State Department, with over 20 years as a U.S. Foreign Service Officer. Romberg was the Principal Deputy Director of the State Department's Policy Planning staff, Principal Deputy Assistant Secretary of State for Public Affairs and Deputy Spokesman of the department. He served in various capacities dealing with East Asia, including director of the Office of Japanese Affairs, member of the Policy Planning staff for East Asia, and staff member at the National Security Council for China. He served overseas in Hong Kong and Taiwan.

Additionally, Romberg spent almost 10 years as the CV Starr Senior Fellow for Asian Studies at the Council on Foreign Relations, and was special assistant to the secretary of the navy.

Romberg holds an M.A. from Harvard University, and a B.A. from the Woodrow Wilson School of Public and International Affairs at Princeton University.

This event is co-sponsored by the Taiwan Democracy Project in the Center on Democracy, Development, and the Rule of Law (CDDRL) and the U.S.-Asia Security Initiative in the Shorenstein Asia-Pacific Research Center (APARC), both part of the Freeman Spogli Institute for International Studies.

Alan Romberg Distinguished Fellow Stimson Center
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Scholars have credited a model of state-led capitalism called the developmental state with producing the first wave of the East Asian economic miracle. Using historical evidence based on original archival research, this talk offers a geopolitical explanation for the origins of the developmental state. In contrast to previous studies that have emphasized colonial legacies or domestic political factors, I argue that the developmental state was the legacy of the rivalry between the United States and Communist China during the Cold War. Responding to the acute tensions in Northeast Asia in the early postwar years, the United States supported emergency economic controls in Japan, South Korea, and Taiwan to enforce political stability. In response to the belief that the Communist threat would persist over the long term, the U.S. strengthened its clients by laying the foundations of a capitalist, export-oriented economy under bureaucratic guidance. The result of these interventions was a distinctive model of state-directed capitalism that scholars would later characterize as a developmental state.

I verify this claim by examining the rivalry between the United States and the Chinese Communists and demonstrating that American threat perceptions caused the U.S. to promote unorthodox economic policies among its clients in Northeast Asia. In particular, I examine U.S. relations with the Chinese Nationalists on Taiwan, where American efforts to create a bulwark against Communism led to the creation of an elite economic bureaucracy for administering U.S. economic aid. In contrast, the United States decided not to create a developmental state in the Philippines because the Philippine state was not threatened by the Chinese Communists. Instead, the Philippines faced a domestic insurgency that was weaker and comparatively short-lived. As a result, the U.S. pursued a limited goal of maintaining economic stability instead of promoting rapid industrialization. These findings shed new light on the legacy of statism in American foreign economic policy and highlight the importance of geopolitics in international development.

 

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James Lee

James Lee is a Ph.D. Candidate in the Department of Politics at Princeton University. He specializes in International Relations with a focus on U.S. foreign policy in East Asia and relations across the Taiwan Strait. James also serves as the Senior Editor for Taiwan Security Research, an academic website that aggregates news and commentary on the economic and political dimensions of Taiwan's security.

 

This event is co-sponsored by the Taiwan Democracy Project in the Center on Democracy, Development, and the Rule of Law (CDDRL) and the U.S.-Asia Security Initiative in the Shorenstein Asia-Pacific Research Center (APARC), both part of the Freeman Spogli Institute for International Studies.

James Lee Ph.D. Candidate Princeton University
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The most dangerous impact of North Korea’s long-range missile test this past week may not have been the one in the Sea of Japan, felt in Washington, Seoul and Tokyo. It was in Moscow where Chinese leader Xi Jinping and Russian President Vladimir Putin locked arms in a united front on how to respond to the growing North Korea crisis. The target of this front was not, however, North Korea. It was the United States, who the Sino-Russian axis accused of pursuing a military “buildup” in the region.

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Tokyo Business Today
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South Korean President Moon Jae-in and U.S. President Donald Trump recently held a summit in Washington, their first face-to-face meeting in a time of heightened tensions on the Korean Peninsula. Experts from the Shorenstein Asia-Pacific Research Center offered insights in a series of publications and press interviews.

In advance of the summit, William J. Perry Fellow Kathleen Stephens spoke on Bloomberg television about the challenges facing the United States and South Korea, and how those challenges would be prioritized during the bilateral meeting.

Moon would be bringing the message that the U.S.-South Korea alliance is a “strong one and that he remains committed to it,” and that, “only by working transparently and closely together” could the two countries address areas of concern, Stephens said.

“Only when Washington and Seoul are able to talk very frankly to each other and come up with a coordinated plan do we have any chance of making some progress on North Korea,” she added.

Stephens joined the program from Seoul, where a group of Shorenstein APARC faculty and fellows participated in a public seminar and the Korea-U.S. West Coast Strategic Forum, a biannual conference that seeks to foster dialogue about issues affecting the Korean Peninsula and the U.S.-South Korea alliance.

The seminar, held in conjunction with The Sejong Institute, received press coverage; such articles can be read on the Voice of America website (in Korean) and Sisa Journal website (in Korean).

In an analysis piece for Tokyo Business Today, Associate Director for Research Daniel Sneider assessed the outcomes of the summit between Moon and Trump, suggesting that their meeting was satisfactory – without signs of major discord.

“For the most part, this display of calculated pragmatism worked well. There was no visible daylight between the two leaders over how to handle the North and THAAD totally disappeared from the summit talk, at least in public and in the joint statement issued by the two governments.”

The summit, however, may prove to be a “temporary gain,” Sneider added. “Beneath the smiles, there was plenty of evidence of the gaps, and even the tensions, that exist between a progressive government in Seoul, one that echoes the views of its ideological predecessors of a decade ago, and a nationalist, conservative regime in Washington.”

Read the piece in English and Japanese.

Days after the summit, North Korea test-launched an intercontinental ballistic missile (ICBM), which the United States and South Korea followed by hosting joint military exercises.

Stephens spoke on WBUR radio about the ICBM test launch and the initial reactions of the Trump administration.

“If [President Trump’s] agenda is to take stronger defensive measures against North Korea, I think he will find strong partners in Japan and South Korea,” she said, noting that other measures, such as diplomacy and economic sanctions, have also been used to affect pressure on the regime.

Responding to a question about China’s relationship with North Korea, Stephens said Beijing has not exhausted all possible tools in its efforts to persuade Pyongyang to slow or abandon its nuclear and missile activities. This is because China fears a collapse of the regime and “takes a long view” in its calculus, she said.

This news item has been updated.

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U.S. President Donald Trump and South Korean President Moon Jae-in come out from the Oval Office to deliver joint statements in the Rose Garden at the White House on June 30, 2017, in Washington, DC. | Getty Images - Alex Wong
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Rising powers often seek to reshape the world order, triggering confrontations with those who seek to defend the status quo. In recent years, as international institutions have grown in prevalence and influence, they have increasingly become central arenas for international contestation. Phillip Y. Lipscy examines how international institutions evolve as countries seek to renegotiate the international order. He offers a new theory of institutional change and explains why some institutions change flexibly while others successfully resist or fall to the wayside. The book uses a wealth of empirical evidence - quantitative and qualitative - to evaluate the theory from international organizations such as the International Monetary Fund, World Bank, European Union, League of Nations, United Nations, the International Telecommunications Satellite Organization, and Internet Corporation for Assigned Names and Numbers. The book will be of particular interest to scholars interested in the historical and contemporary diplomacy of the United States, Japan, and China.

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Cambridge University Press
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Phillip Lipscy
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