By Neil Gosingtian

Dr. Yuval Steinitz, the Finance Minister of Israel, and Prof. Robert John Aumann, an Israeli 2005 Nobel Prize winner in Economic Sciences, visited Tsinghua University on May 11. The two met with Professor Deng Wei, the Vice Chairman of the University Council of Tsinghua, before giving lectures at the Main Building. Mr. Amos Nadai, Ambassador of Israel to China, also attended the discussion.

To begin the 73rd session of the Tsinghua Global Vision Lecture Series, Dr. Steinitz delivered a speech entitled “Israel-China Economic Cooperation and Win-Win Strategies”.  He mentioned that while China is the second largest and fastest growing economy in the world, Israel has the highest number of start-up companies per capita.  He also noted that Israel was able to survive the 2008 economic crisis with minimal damage, as their government prepared a two-year growth plan.  He concluded his lecture by saying that the growth plans of Israel would require foreign partnerships and that he hoped that ties between Israel and China would be strengthened.

In a speech entitled “The Role of Incentives in Times of Economic Crisis”, Prof. Aumann traced the source of the crisis to a failure in providing proper incentives.  He recommended that the structure of executive compensation be modified.  He also discouraged bailouts from the government and entanglements between financial institutions.

Both Dr. Steinitz and Prof. Aumann agreed on the need for long-term planning.  The two answered questions from students after their speeches.  Prof. Bai Chong’en served as the moderator for the event.

(Photo by Cui Kai)