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Amr Adly Explains Market-Making Failure in Egypt [VIDEO]

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In a webinar dated June 8, 2020, American University in Cairo Scholar Amr Adly presented findings from his new book Cleft Capitalism: The Social Origins of Failed Market Making in Egypt (Stanford University Press, 2020). Egypt has undergone significant economic liberalization under the auspices of the International Monetary Fund, the World Bank, USAID, and the European Commission. Yet after more than four decades of economic reform, the Egyptian economy still fails to meet popular expectations for inclusive growth, better standards of living, and high-quality employment. While many analysts point to cronyism and corruption, this study finds the root causes of this stagnation in the underlying social and political conditions of economic development. It offers a new explanation for why market-based development can fail to meet expectations: small businesses in Egypt are not growing into medium and larger businesses. The practical outcome of this missing middle syndrome is the continuous erosion of the economic and social privileges once enjoyed by the middle classes and unionized labor, without creating enough winners from market making. This in turn set the stage for alienation, discontent, and, finally, revolt. With this book, Adly uncovers both an institutional explanation for Egypt's failed market making, and sheds light on the key factors of arrested economic development across the Global South.

 

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Ziad Abu-Rish Analyzes the Trajectory of Lebanon's Uprising [VIDEO]

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In a webinar dated, May 27, 2020, Ohio University Historian Ziad Abu-Rish analyzed the trajectory of Lebanon's Uprising and the impact of the Covid-19 crisis on the contemporary political scene. Abu-Rish examined the multiple crises manifesting in Lebanon today and their impact on the fate of the uprising that began in October 2019. While the currency, fiscal, and infrastructural crises were central to the making of Lebanon’s uprising, he argued, the novel strategic innovations that the protesters made were key to shaping its trajectory relative to past protests. More recently, the COVID-19 pandemic has both exacerbated existing dynamics while also providing respite to the government and some of the traditional political parties. To watch the recording of the talk, please click below.

 

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The Social Origins of Egypt's Failed Market Making

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This event is co-sponsored by the Arab Studies Institute

ABSTRACT

This talk is based on the speaker's new book Cleft Capitalism: The Social Origins of Failed Market Making in Egypt (Stanford University Press, 2020). Egypt has undergone significant economic liberalization under the auspices of the International Monetary Fund, the World Bank, USAID, and the European Commission. Yet after more than four decades of economic reform, the Egyptian economy still fails to meet popular expectations for inclusive growth, better standards of living, and high-quality employment. While many analysts point to cronyism and corruption, this study finds the root causes of this stagnation in the underlying social and political conditions of economic development. It offers a new explanation for why market-based development can fail to meet expectations: small businesses in Egypt are not growing into medium and larger businesses. The practical outcome of this missing middle syndrome is the continuous erosion of the economic and social privileges once enjoyed by the middle classes and unionized labor, without creating enough winners from market making. This in turn set the stage for alienation, discontent, and, finally, revolt. With this book, Adly uncovers both an institutional explanation for Egypt's failed market making, and sheds light on the key factors of arrested economic development across the Global South.

SPEAKER BIO

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Amr Adly is an assistant professor in the department of political science at The American University in Cairo. He worked as a non-resident scholar at the Carnegie Middle East Center. He has also worked as a project manager at the Center on Democracy, Development, and the Rule of Law at Stanford University, where he was a postdoctoral fellow. Adly received his Ph.D. from the European University Institute in Florence. He is also author of Cleft Capitalism: The Social Origins of Egypt’s Failed Market Making (Stanford University Press, 2020) and State Reform and Development in the Middle East: The Cases of Turkey and Egypt (Routledge, 2012). He has been published in a number of peer-reviewed journals, including Geo-forum, Business and Politics, Turkish Studies, and Middle Eastern Studies. Adly is also a frequent contributor to print and online news sources.

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Seminars
Arab Reform and Democracy Speaker Series

A New Approach to Economic Development

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Abstract

From the point of view of institutional economics, growth is related to the implementation and enforcement of property rights. The system that emits, and enforces those rights needs to have very low transactions costs leading to the least possible frictions. The lowest the transactions costs the highest the level of security of investment, as well as the benefits of direct and indirect socioeconomic impacts. However, traditional economic development models do not focus on transactions costs and property rights systems, both of which seem to be the suspects for low productivity, slow growth, and informality. Many developing countries suffer from systems of property rights that are unpredictable because they are inundated with overwhelming bureaucracy, difficult to follow, track, and measure. The speaker has developed a methodology to best diagnose the reasons why a country has such high transactions costs and how to reduce them systematically. This diagnostic method is called Reality Check Analysis (RCA) and its outcomes allow for the best design of policy reforms and strategic application. The presentation will focus on the theoretical definition of the problem, the analysis of Reality Check Analysis, its application and important results measured through a socioeconomic 3,000 household survey. This survey presented the direct benefits of applying a simple property rights system to investment, savings, property values, trust, child labor, to mention a few.

Speaker Bio

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Elena Panaritis until recently served as a senior economic advisor, handling the Euro and Greek Economic Crisis, to two Greek Governments (2009; 2015). In 2015 she also served as the Special Envoy for Negotiating the Greek Sovereign debt and lending program of Greece. Elena worked directly with 3 Greek Prime Ministers and the Minister of Finance, as well as EU and IMF high-level officials, lenders to Greece. In 2015 she was appointed the Alternate Director to the IMF of Italy, Greece, Portugal, Malta, Albania and San Marino, from which position she resigned the same year after strong political pressures. In 2009 she was appointed honorary Member of the Hellenic Parliament until 2012. She is the founder of Panel Group, a triple-bottom-line business that focuses in the informal sector, transforming the wealth base of poor property holders, to proud middle class owners. She has also founded Thought4Action, an Action Tank that works as an educational foundation to create awareness and calls for action, about transforming countries under solvency, economic crisis and informality. Elena Panaritis has taught economic development, housing finance and property markets reform courses at the Wharton Business School, University of Pennsylvania, INSEAD, and the Johns Hopkins University- School of Advanced International Studies (SAIS).

Elena Panaritis Founder and CEO Thought 4 Action - Panel Group
Seminars

ARD 2018 Annual Conference Examines Dynamics of Governance and Political Participation in the MENA Region

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Under the title “Political Contestation and New Social Forces in the Middle East and North Africa,” the Program on Arab Reform and Democracy convened its 2018 annual conference on April 27 and 28 at Stanford University. Bringing together a diverse group of scholars from across several disciplines, the conference examined how dynamics of governance and modes of political participation have evolved in recent years in light of the resurgence of authoritarian trends throughout the region.

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Delivering the opening remarks of the conference, Freeman Spogli Institute (FSI) and Hoover Institution Senior Fellow Larry Diamond reflected on the state of struggle for political change in the Middle East and North Africa (MENA) region. In a panel titled “Youth, Culture, and Expressions of Resistance,” FSI Scholar Ayca Alemdaroglu discussed strategies the Turkish state has pursued to preempt and contain dissent among youth. Adel Iskandar, Assistant Professor of Communications at Simon Fraser University, explained the various ways through which Egyptian youth employ social media to express political dissent. Yasemin Ipek, Assistant Professor of Global Affairs at George Mason University, unpacked the phenomenon of “entrepreneurial activism” among Lebanese youth and discussed its role in cross-sectarian mobilization.

The conference’s second panel, tilted “Situating Gender in the Law and the Economy,” featured Texas Christian University Historian Hanan Hammad, who assessed the achievements of the movement to fight gender-based violence in Egypt. Focusing on Gulf Cooperation Council states, Alessandra Gonzales, a Visiting Postdoctoral Fellow at the Stanford Institute for Economic Policy Research, analyzed the differences in female executive hiring practices across local and foreign firms. Stanford University Political Scientist and FSI Senior Fellow Lisa Blaydes presented findings from her research on women’s attitudes toward Female Genital Mutilation (FGM) in Egypt.

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Speaking on a panel titled “Social Movements and Visions for Change,” Free University of Berlin Scholar Dina El-Sharnouby discussed the 2011 revolutionary movement in Egypt and the visions for social change it espouses in the contemporary moment. Oklahoma City University Political Scientist Mohamed Daadaoui analyzed the Moroccan regime’s strategies of control following the Arab Uprisings and their impact on various opposition actors. Nora Doaiji, a PhD Student in History at Harvard University, shared findings from her research examining the challenges confronting the women’s movement in Saudi Arabia.

The fourth panel of the conference, “The Economy, the State, and New Social Actors,” featured George Washington University Associate Professor of Geography Mona Atia, who presented on territorial restructuring and the politics governing poverty in Morocco. Amr Adly, an Assistant Professor of Political Science at the American University in Cairo, analyzed the relationship between the state and big business in Egypt after the 2013 military coup. Rice University Professor of Economics Mahmoud El-Gamal shared findings from his research on the economic determinants of democratization and de-democratization trends in Egypt during the past decade.

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The final panel focused on the international and regional dimensions of the struggle for political change in the Arab world, and featured Hicham Alaoui, a Research Fellow at Harvard University’s Weatherhead Center for International Affairs, Georgetown University Political Scientist Daniel Brumberg, and Nancy Okail, the Executive Director of the Tahrir Institute for Middle East Policy.

The conference included a special session featuring former fellows of the American Middle Eastern Network at Stanford (AMENDS), an organization dedicated to promoting understanding around the Middle East, and supporting young leaders working to ignite concrete social and economic development in the region. AMENDS affiliates from five different MENA countries shared with the Stanford community their experiences in working toward social change in their respective countries.

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ARD 2018 Annual Conference participants.
Front row (from left): Hanan Hammad, Hamza Arsbi, Ayca Alemdaroglu, Mahdi Lafram, Lior Lapid.
Second to front row (from left): Dina El-Sharnouby, Daniel Brumberg, Radidja Nemar, Mona Atia.
Third to front row (from left): Hesham Sallam, Joel Beinin, Nora Doaiji, Hicham Alaoui, Mohamed Daadaoui, Salma Takky, Larry Diamond, Amr Adly, Sultan Al Amer, Heba Al-Hayek.
Back row (from left): Amr Gharbeia, Mahmoud El-Gamal, Amr Hamzawy
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Political Contestation and New Social Forces in the Middle East and North Africa

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Please note: Registration for the conference is open only to Stanford University affiliates. A valid SUNet ID is required to register.

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DAY 1: Friday, April 27

 

8:30-9:00 a.m.    Breakfast

 

9:00-9:15 a.m.    Introductory Remarks

 

9:15-11:00 a.m.  Panel 1: Youth, Culture, and Expressions of Resistance

Ayca Alemdaroglu, Stanford University

“Affective Pedagogies: Governing Youth in the Times of Dissent in Turkey”

Adel Iskandar, Simon Fraser University

“Uprisings Upended: Arab Youth Between Dissociation, Disenchantment, and Desecration”

Yasemin Ipek, Stanford University

“Imagining Social Change after the Syrian Civil War: Entrepreneurial Activism and Cross-Sectarian Political Mobilization in Lebanon”

Chair: Hicham Alaoui, Harvard University

 

11:00-11:15 a.m. Coffee Break

 

11:15-1:00 p.m.  Panel 2: Situating Gender in the Law and the Economy

Hanan Hammad, Texas Christian University 

“Democracy from the Gender Edge”

Alessandra Gonzalez, Stanford University

“Do Source or Host Country Practices Dominate in Female Executive Hiring? Evidence from Firms in the GCC Countries”

Ibtesam Al Atiyat, St. Olaf College

“Repealing Rape Article 308: The Missed Opportunity to Women’s Emancipation in Jordan”

Chair: Joel Beinin, Stanford University

 

1:00-2:00 p.m.    Lunch

 

2:00-3:45 p.m.    Panel 3: Social Movements and Visions for Change

Dina El-Sharnouby, Freie Universität Berlin 

“The 2011 Revolutionary Movement in Egypt and Youth’s Socio-Political Imaginaries of Transformation and Change”

Mohamed Daadaoui, Oklahoma City University 

“It’s Good to Be the King, or Is It? Protest Movements, the “refo-lutionary” promise of PJD Islamists and the King’s Dilemma in Morocco”

Nora Doaiji, Yale University

“After Saudi Women’s Driving: What Happens When A Marginal Movement Is Centered by the State”

Chair: Amr Hamzawy, Stanford University

 

DAY 2: Saturday April 28

 

8:30-9:00 a.m.    Breakfast

 

9:00-10:45 a.m.  Panel 4: The Economy, the State and New Social Actors

Mona Atia, The George Washington University 

“Territorial Restructuring and the Politics of Governing Poverty in Morocco”

Amr Adly, European University Institute

“Egypt's Shattered Oligarchy and Big Business Autonomy”

Mahmoud El-Gamal, Rice University 

“Egyptian Economic and De-Democratization Trends”

Chair: Lisa Blaydes, Stanford University

 

10:45-11:00 a.m. Coffee Break

 

11:00-12:30 p.m. Panel 5: Social Change and International and Regional Dynamics

Hicham Alaoui, Harvard University

"Geopolitical Myths and Realities under Neo-Authoritarianism"

Daniel Brumberg, Georgetown University 

“The Roots and Impact of Democracy Resistance and Autocracy Promotion in the Arab World”

Nancy Okail, The Tahrir Institute for Middle East Policy

"Political Reform, Security, and U.S. Middle East Policy"

Chair: Larry Diamond, Stanford University

 

 

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1) Please sign out of all your google.com accounts

2) Visit accounts.google.com and log in using your Stanford e-mail address (e.g. john.smith@stanford.edu)

3) Click on the RSVP form

The event will be held at Stanford University. The exact location will be shared via e-mail with registered participants a week prior to the conference. Please read registration instructions below.

Conferences
Arab Reform and Democracy Speaker Series

Saudi Arabia: Can Economic Reform Succeed without Political Change?

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ABSTRACT

The formation of Saudi Arabia’s anti-corruption commission and the arrest of dozens of princes and former ranking officials have brought to focus the prospects for political and economic reform in the Kingdom. Many observers have characterized these recent steps as an attempt by Crown Prince Mohammed Bin Salman to sideline opponents of his bold, far-reaching reforms. Yet a closer analysis suggests that these measures are part of an effort to consolidate and centralize power in ways that will only move the Kingdom farther away from greater political inclusion and participation. They also threaten the future of stability inside the Kingdom and the region at large. More generally, these recent developments raise critical questions regarding the feasibility of advancing the Crown Prince’s proposed economic reforms in the absence of meaningful political reform that could allow for monitoring and holding accountable the proclaimed leaders of economic reforms.

 

SPEAKER BIO

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Jamal Khashoggi is a Saudi journalist, columnist, and author. Born in Medina, Saudi Arabia, in 1958, where he completed high school, Jamal graduated from Indiana State University in 1982. Khashoggi began his career as a correspondent for the English language Saudi Gazette. Between 1987-90, he was a foreign correspondent for the pan-Arab Arabic daily Alsharq Alawsat and the Jeddah-based, English language daily Arab News. He became widely recognized for his coverage of the Afghan War and the first Gulf War (1990-91). From 1990 to 1999, Jamal was foreign correspondent for the other prominent pan-Arab Arabic daily, Al-Hayat. There he reported on Afghanistan, Algeria, Lebanon, Sudan, and various conflicts in the Middle East. As a result of his extensive experience, he became known as an expert in political Islam and related movements. In 1999, Jamal was appointed Deputy Editor-in-Chief of Arab News, the leading English newspaper of Saudi Arabia. In 2003, he became Editor-in-Chief of Al-Watan, the country’s pioneering reformist newspaper. In less than two month he lost his job because of his editorial policies. He was then appointed as the media advisor to Prince Turki Al-Faisal, then-Saudi Ambassador in London and later Washington. In 2007, he returned to Al-Watan as Editor-in-Chief. In 2010, again due to his editorial style, pushing boundaries of discussion and debate within Saudi society, he was fired. In June 2010, Prince Alwaleed Bin Talal appointed Jamal to lead a new 24-hour Arabic news channel, Al-Arab. He launched the station in Manama, Bahrain, in 2015. On the air less than 11 hours, the government ordered Al-Arab to cease broadcasting. Jamal is now an independent writer based in Washington, DC.

 

Reuben Hills Conference Room
2nd Floor East Wing E207
Encina Hall
616 Serra Street
Stanford, California 94305

Jamal Khashoggi Independent Writer
Seminars
Arab Reform and Democracy Speaker Series

Saumitra Jha

Graduate School of Business 655 Knight Way Stanford, CA 94305
(650) 721 1298
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Associate Professor of Political Economy, GSB
Associate Professor, by courtesy, of Economics and of Political Science
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Along with being a Senior Fellow at the Freeman Spogli Institute for International Studies, Saumitra Jha is an associate professor of political economy at the Stanford Graduate School of Business, and convenes the Stanford Conflict and Polarization Lab. 

Jha’s research has been published in leading journals in economics and political science, including Econometrica, the Quarterly Journal of Economics, the American Political Science Review and the Journal of Development Economics, and he serves on a number of editorial boards. His research on ethnic tolerance has been recognized with the Michael Wallerstein Award for best published article in Political Economy from the American Political Science Association in 2014 and his co-authored research on heroes with the Oliver Williamson Award for best paper by the Society for Institutional and Organizational Economics in 2020. Jha was honored to receive the Teacher of the Year Award, voted by the students of the Stanford MSx Program in 2020.

Saum holds a BA from Williams College, master’s degrees in economics and mathematics from the University of Cambridge, and a PhD in economics from Stanford University. Prior to rejoining Stanford as a faculty member, he was an Academy Scholar at Harvard University. He has been a fellow of the Niehaus Center for Globalization and Governance and the Center for the Study of Democratic Politics at Princeton University, and at the Center for Advanced Study in the Behavioral Sciences at Stanford. Jha has consulted on economic and political risk issues for the United Nations/WTO, the World Bank, government agencies, and for private firms.

 

Senior Fellow at the Freeman Spogli Institute for International Studies
Dan C. Chung Faculty Scholar at the Freeman Spogli Institute for International Studies
Senior Fellow at the Stanford Institute for Economic Policy Research
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Labor Activism under Egypt’s New Authoritarianism

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ABSTRACT

Despite security surveillance, forced dismissals of labor activists, and referrals of labor activists and protesters to military trials, labor activism remains at the forefront of societal resistance to authoritarian policies and practices in today’s Egypt. Unionized workers in public and private industrial facilities, as well as civil servants inside the state bureaucracy, continue to demonstrate and organize strikes to articulate their economic and social demands and to defend workers’ rights to freedoms of expression and association. Protests by labor activists have even impacted key sectors, such as public transportation and healthcare. While the Ministry of Manpower and Immigration has settled some formal complaints and requests filed by workers and civil servants, most cases have been referred to labor courts. The ministry has also resorted to providing temporary financial assistance and other short-term benefits to appease some workers and civil servants and to address the upsurge in labor protests. This talk will examine the various administrative, security, legislative, and judicial tools that the regime of Abdel-Fattah Al-Sisi has employed to undermine labor activism. Joel Beinin will serve as a discussant.

 

SPEAKER BIO

Amr Hamzawy is a Senior Research Scholar at CDDRL. He studied political science and developmental studies in Cairo, The Hague, and Berlin. He was previously an associate professor of political science at Cairo University and a professor of public policy at the American University in Cairo. Between 2016 and 2017, he served as a senior fellow in the Middle East program and the Democracy and Rule of Law program at the Carnegie Endowment for International Peace, Washington, DC. 

His research and teaching interests as well as his academic publications focus on democratization processes in Egypt, tensions between freedom and repression in the Egyptian public space, political movements and civil society in Egypt, contemporary debates in Arab political thought, and human rights and governance in the Arab world. He is currently writing a new book on contemporary Egyptian politics, titled Egypt’s New Authoritarianism.

Hamzawy is a former member of the Egyptian parliament, and was elected to office in the country’s first legislative elections following the January 25, 2011 revolution. He is also a former member of the Egyptian National Council for Human Rights. Hamzawy contributes a weekly op-ed to the Egyptian independent newspaper al-Shorouk and a weekly op-ed to the London based newspaper al-Quds al-Arabi.

 

DISCUSSANT BIO

Joel Beinin is the Donald J. McLachlan Professor of History and Professor of Middle East History at Stanford University.  He received his Ph.D. from the University of Michigan in 1982 before coming to Stanford in 1983.  From 2006 to 2008 he served as Director of Middle East Studies and Professor of History at the American University in Cairo.  In 2002 he served as president of the Middle East Studies Association of North America.

Beinin’s research and writing focus on the social and cultural history and political economy of modern Egypt, Palestine, and Israel and on US policy in the Middle East.  He has written or edited eleven books, most recently Workers and Thieves: Labor Movements and Popular Uprisings in Tunisia and Egypt (Stanford University Press, 2015); Social Movements, Mobilization, and Contestation in the Middle East and North Africa, 2nd edition (Stanford University Press, 2013) co-edited with Frédéric Vairel; and The Struggle for Worker Rights in Egypt (Solidarity Center, 2010).

 Reuben Hills Conference Room
 2nd Floor East Wing E207
 Encina Hall
 616 Serra Street
 Stanford, California 94305

Amr Hamzawy

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Amr Hamzawy is the director of the Carnegie Middle East Program. He studied political science and developmental studies in Cairo, The Hague, and Berlin. He was previously an associate professor of political science at Cairo University and a professor of public policy at the American University in Cairo.

His research and teaching interests as well as his academic publications focus on democratization processes in Egypt, tensions between freedom and repression in the Egyptian public space, political movements and civil society in Egypt, contemporary debates in Arab political thought, and human rights and governance in the Arab world. His new book On The Habits of Neoauthoritarianism – Politics in Egypt Between 2013 and 2019 appeared in Arabic in September 2019.

Hamzawy is a former member of the People’s Assembly after being elected in the first Parliamentary elections in Egypt after the January 25, 2011 revolution. He is also a former member of the Egyptian National Council for Human Rights. Hamzawy contributes a weekly op-ed to the Arab daily al-Quds al-Arabi.

 

Former Senior Research Scholar, CDDRL
Senior Research Scholar, CDDRL
Seminars
Arab Reform and Democracy Speaker Series

U.S.-China Rivalry and the Origins of Taiwan's Developmental State

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Abstract 

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.

 

Bio

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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