A new publication that investigates the presence and potential of smart power in the Indo-Pacific Asia region was launched at today’s In the Zone event at The University of Western Australia. Smart power is the combination of “hard” economic and military powers and the “soft” power driven by culture and norms.

The author of Smart Power – A New Narrative of Prosperity, Persuasion and Projection in the Zone, Elena Douglas, said the report provided a snapshot of the various dimensions of power for every country in the region, where information was available. Ms Douglas, the International Affairs Adviser for In the Zone, told session moderator, The Australian’s columnist Bernard Salt, it was important that Australia revisited its understanding of power and influence as the Asian economic renaissance was changing focus. “This report reframes our attention, putting Australia and all the countries of the zone into context, then it takes Joseph Nye’s ideas of smart values … and runs the smart power ruler over the countries,” she said. (Professor Joseph Nye is an American political scientist and former Dean of the John F. Kennedy School of Government at Harvard University).

“Several nations now seek to rebalance their economies to increase the role of services while some countries, with renewed economic clout, are investing heavily in their militaries.” Ms Douglas said that soft power was fluid and unpredictable, increasing a nation’s influence although being challenging to measure.

Key findings of the report include:

• !The rapid urbanisation occurring in China has driven an economic shift from manufacturing and construction towards a strong services sector. Shifting activity in this eight-trillion-dollar sector will transform the region.
• China remains a powerhouse for foreign investment, eclipsing high-performing neighbours Australia, Singapore and Russia by nearly $200 billion.
• Singapore is ranked Number One on both the World Bank’s Ease of Doing Business Index (which appraises the experience of the enterprise owner and the ease with which he or she can conduct business) and the Fraser Institute’s Economic Freedom of the World Index (which examines the degree to which a country’s policies and institutions support economic freedom and personal choice). For more information about UWA: www.uwa.edu.au
• According to UNESCO’s gross enrolment ratio (the proportion of tertiary educated adults within five years of graduation age), Korea is the region’s highest at 98 per cent, with Australia the next highest at 83 per cent.
• China, Singapore and Japan have the best quality of secondary and tertiary education, according to PISA scores (Programme for International Student Assessment).
• Singapore, South Korea, Australia and Japan are the most innovative countries in the region, according to the Global Innovation Index.
• Malaysia has the largest number of security and economic alliances, cooperation agreements and multilateral partnerships, with 24 alliances.
• Japan has the largest global footprint in terms of worldwide diplomatic missions and contributions, at $10.8 billion.
• Cultural priorities differ vastly, with China dominating Olympic sporting medals, and India producing more than double the number of movies as China.
• Average military expenditure in the zone was 1.8 per cent of GDP. China has the largest active military with almost three million people employed in the services, and the most significant expenditure at $166.11 billion.

The report is the first in a series of initiatives that will include other significant comparisons, including with the United States and comparable states and provinces, and a smart power index.