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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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.

From how failure drives innovation to the role of government in supporting entrepreneurship, two expert professors at Stanford led a training session for executives from Chinese state-owned enterprises (SOE) as part of the 2011 Cisco China 21st Century Enterprise Leader Program (ELP) hosted by Stanford Program on Regions of Innovation and Entrepreneurship (SPRIE) on March 22, 2011.

Professor William F. Miller, Co-Director of SPRIE, kicked off the session with a stimulating presentation on Silicon Valley's habitat for innovation. He pointed out that turning technology into business was the essence of Silicon Valley, and a favorable business, social and political environment in the region had facilitated the process. Despite the emergence of other venture capital locations, Silicon Valley scooped up almost 40% of venture deals and dollars across the U.S. in the last quarter of 2010, according to the MoneyTree Report.

The "restless pioneer spirit" of Stanford had always played a crucial role in the effective interaction between research institutes and industry, Miller argued.

Following Miller's discussion of features of Silicon Valley's entrepreneurial habitat, William Barnett, Thomas M. Siebel Professor of Business Leadership, Strategy, and Organizations at the Stanford Graduate School of Business, shared his thoughts on how to discover successful business models.

"Having great technologies is not enough," said Barnett. "Entrepreneurs are like scientists. Successful business models are learned from failures." Barnett encouraged the leaders present to create a working environment within which failure would be tolerated. He further urged them to accelerate the learning process by asking what might go wrong.

The purpose of the SPRIE session, which is part of a 12-day US-based program organized by Cisco Systems and China's State-owned Assets Supervision and Administration Commission (SASAC), is to help the SOE executives understand how to foster innovation and to drive operational excellence. The delegation is composed of SASAC officials, Peking University professors and leaders from 17 SOEs in China, including Southern Power Grid, Three Gorges Corporation, China Telecom, China Unicom, China Mobile, China FAW Group, Harbin Electric Corp., Anshan Iron and Steel Group, Baosteel Group, China Ocean Shipping Company, China Eastern Airlines, China Oil and Foodstuffs Corporation, State Development and Investment Corporation, China Merchants, China Railway Group and China Railway Construction.

In September, Crystal Chang and Jeremy M. Menchik will join the Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC) as its Shorenstein Fellows for the 2011–2012 academic year. 

Crystal Chang, a PhD candidate with the Department of Political Science at the University of California, Berkeley, is currently completing her dissertation on China's growing independent automotive industry. Her research examines Chinese automakers alongside historical case studies from Japan and Korea. During her time at Shorenstein APARC, she will expand her dissertation to include a comparative study of India's contemporary automotive industry, which, like China's, has experienced domestic and international success. She will also continue research that she is currently conducting about China's private energy sector, with a focus on the solar power industry. Chang holds an MPIA degree in international management from the University of California, San Diego, and a BA in international relations from Stanford University.

Jeremy Menchik, a PhD candidate with the Department of Political Science at the University of Wisconsin-Madison (UW-Madison), is finishing his dissertation, which poses the question: what is the basis for religious tolerance in Indonesia, and why does it sometimes break down? He addresses this question through a study of Indonesian civil society and of three of the country's largest and oldest Islamic organizations: Nahdlatul Ulama, Muhammadiyah, and Persatuan Islam. Menchik has conducted extensive field research in Indonesia during the course of his graduate studies. At Shorenstein APARC, he will prepare his dissertation for publication and develop related projects on Islamic law, political tolerance, and political symbolism in Indonesian elections. Menchik holds an MA in political science from UW-Madison and a BA, also in political science, from the University of Michigan.

Established in 2002 through the generosity of Walter H. Shorenstein, the Shorenstein Fellowship in Contemporary Asia is an exciting opportunity for junior scholars to spend a year at Shorenstein APARC, engaging with other scholars and experiencing the world-class resources—ranging from libraries to events—that Stanford University has to offer. Shorenstein APARC looks forward to welcoming Chang and Menchik to the center in the coming academic year.

After completing the postdoc program, I landed a dream academic job, where I can continue to research health policy with a focus on the Asia-Pacific region. Despite its relatively short period, my postdoc experience also helped expand the scope of my research and the breadth of professional network.

-Dr. Young Kyung Do 
Former Asia Health Policy Postdoctoral Fellow (2008–09)

The Asia Health Policy Program (AHPP) at the Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC) is pleased to announce that Ang Sun has been awarded the 2011–12 Asia Health Policy Postdoctoral Fellowship. Sun is currently completing her PhD in development economics at Brown University. She earned bachelor degrees in computer science and economics from Peking University in 2002. Sun's research focuses on resource allocation within households, especially in developing Asia. In her dissertation, she provides empirical evidence that the 2001 divorce law in China empowered women and decreased sex-selective abortion. She has also studied multi-generational living arrangements and household decisions about fertility and labor-force participation.

We also are delighted to announce that Yuki Takagi, currently completing her PhD in government at Harvard University, will be the 2012-13 Asia Health Policy Postdoctoral Fellow. Takagi is completing her dissertation on the political economy of insurance provision and intergenerational family transfers, such as nursing and childcare, focusing on East Asia. She has earned bachelor of economics and master of law degrees from the University of Tokyo. Takagi will join Shorenstein APARC after completing a postdoctoral fellowship in the Department of Politics at Princeton University in 2011–12.

The research of these two postdoctoral fellows will complement the Shorenstein APARC research initiative on demographic change in East Asia.

The Asia Health Policy Postdoctoral Fellowship is designed to strengthen research in the field of Asian comparative health policy and demographic change, drawing from junior scholars in a variety of disciplines, including: demography, sociology, political science, economics, law, anthropology, public policy, health services research, and related fields. Fellows participate in AHPP events and collaborative research while completing their own projects on health policy or the social and economic implications of population aging in Asia.

Previous postdoctoral fellows in the program have accepted faculty positions in Asia and the United States. Dr. Young Kyung Do (2008–09), who earned his PhD from the University of North Carolina at Chapel Hill, is now an assistant professor at the Duke-National University of Singapore Graduate Medical School. Dr. Brian Chen (2009–10), who earned his PhD in 2009 from the University of California, Berkeley, has accepted a faculty position at the Arnold School of Public Health at the University of South Carolina. The current postdoctoral fellow, Dr. Qiulin Chen, earned his PhD from Peking University. He studies the political economy of China's health reforms as well as how China compares to other countries in terms of public and private intergenerational transfers (the China component of the National Transfer Accounts project).

Thoughts from the postdoctoral fellows

Dr. Do notes that "given that the primary goal of most postdoc programs is to help fresh PhD graduates prepare a successful academic career, my postdoc experience at Stanford['s Shorenstein] APARC has proved to be effective in my professional career thus far. After completing the postdoc program, I landed a dream academic job, where I can continue to research health policy with a focus on the Asia-Pacific region. Despite its relatively short period, my postdoc experience also helped expand the scope of my research and the breadth of professional network."

Dr. Chen adds that "the postdoctoral position opened many more doors than I had coming directly out of my Ph.D. program... The support I received was phenomenal... The wider Stanford community affords the postdoctoral fellow the opportunity to meet and interact with leading scholars of virtually any field in the arts and sciences."

The new postdoctoral fellows anticipate similarly stimulating experiences at Stanford:  Takagi says she is "delighted and excited" to accept the fellowship, and Sun emphasizes that she appreciates "the opportunity to spend one year at such a prestigious place as the Shorenstein Asia-Pacific Research Center at Stanford, which will be a very nice start of my research career."