SEMI-MONTHLY NATIONAL AND INTERNATIONAL TOP NEWS COVERAGE FOR JANUARY 6-20, 2015

U.S. MEDIA

How to Make Yourself Go to the Gym

The New York Times - Jan 10, 2015 - "They have a little bit of a conflict of interest," says Richard Thaler, a behavioral economist at the University of Chicago. The fact that lots of people join gyms and rarely go to them isn't great for our national waistline, but it's pretty good for people who own gyms. "If they succeeded in getting people to go to the gym three times a week instead of three times a month, they wouldn't be able to have as many members."

Illinois Introduces Automatic Retirement Savings Program, a First for the Nation

The New York Times - Jan 05, 2015 - "If I had written this law, it would have started at six," said Richard Thaler, a behavioral economist at the University of Chicago who works on "choice architectures" that encourage saving.

Raghuram G. Rajan, India’s Central Banker, in Defense Mode

The New York Times - Jan 15, 2015 - MUMBAI — Few central bankers in emerging markets have been as internationally lionized as Raghuram G. Rajan of India. Mr. Rajan, the governor of the Reserve Bank of India and a professor at the University of Chicago Booth School of Business, has been honored with awards this winter for his role in helping to bring momentum back to the country’s economy. His unexpected interest rate cut on Thursday helped strengthen emerging market stocks around the world.

Is the Skills Gap Real?

The Wall Street Journal - Jan 09, 2015
- The Dice-DFH Vacancy Duration Measure, an index created by University of Chicago economist Steven Davis to track Labor Department data on new hires and job openings, is near 13-year highs. It shows that U.S. employers are taking nearly 25 working days to fill open positions.

China Walks a Tightrope as Its Growth Rate Declines

Wall Street Journal - Jan 20, 2015 - “Even $4 trillion in reserves can be blown through very quickly,” said Randall S. Kroszner, a University of Chicago Booth business school professor and former Federal Reserve governor.

Jobs Report: Impact on Economy, and 2016 Election

Wall Street Journal - Jan 09, 2015 - Wage gains are barely staying ahead of inflation, which will impact the economy as well as anyone eyeing a presidential bid in 2016. University of Chicago Booth School of Business economist and former White House economic adviser Austan Goolsbee joins the News Hub.

Why wages lag

Washington Post - Jan 18, 2015 - Economists are baffled. “This labor market recovery looks different from anything since World War II,” says University of Chicago economist Steven Davis. Depending on the indicator, the job market appears either tight or loose. Low unemployment rates suggest tight, Davis says. (This article also appeared in the Worcester Telegram and Gazette.)

Caesars Palace’s bankruptcy is another hit on private equity

The Washington Post - Jan 15, 2015 - Yet Steve Davis, an economist at the University of Chicago who with several colleagues just published a major study of private equity, said that catastrophes like the Caesars deal aren't necessarily representative.

Gender gap: Women welcome in ‘hard working’ fields, but ‘genius’ fields are male-dominated, study finds

The Washington Post - Jan 15, 2015 - Luigi Zingales, a professor at The University of Chicago Booth School of Business and author of a study on gender stereotypes in science academia, said he wasn't surprised by the results. He wasn't convinced that the study showed this "raw talent" bias as a cause for the gender gap, however.

President Obama, Elizabeth Warren have different message on the middle class

The Washington Post - Jan 07, 2015 - Moreover, Austan Goolsbee, professor of economics at the University of Chicago business school and former chairman of the Council of Economic Advisers during Obama’s first term, warns that the recovery might not last until 2016.

Big strides could come from a small bump in pay

The Washington Post - Jan 02, 2015 - And why did 47 percent of economists tell University of Chicago pollsters that the distortionary effects of a proposed $9-an-hour federal minimum wage are outweighed by its benefits to low-wage workers? (And another 32 percent said they weren't sure.)

‘Happy Talk’ and the Dangers of Groupthink

Time - Jan 14, 2015 - Reid Hastie is an expert on the psychology of decision making, especially by groups. He is currently the Ralph and Dorothy Keller Distinguished Service Professor of Behavioral Science at the University of Chicago Booth School of Business.

In Vanguard’s Shadow, Small Firm Scores Tweaking Indexes

Bloomberg - Jan 14, 2015 - Booth built his firm around the ideas of his University of Chicago mentor Eugene Fama, who won the 2013 Nobel Prize in economics for his work on efficient markets. In 2008, crediting the school for his success, Booth donated $300 million to his alma mater, which renamed its business school the University of Chicago Booth School of Business.

Inflation Doesn't Hurt So Much, Does It?

Bloomberg View - Jan 14, 2015 - In a recent paper, the University of Chicago’s John Cochrane put forth an even more intriguing hypothesis. When bank balance sheets are large, he argues, paying interest on reserves turns standard monetary policy on its head.

Can Wonks Save Finance From Itself?

Bloomberg View - Jan 11, 2015 - Luigi Zingales is a finance professor at the University of Chicago's Booth School of Business and outgoing president of the American Finance Association.

Seven Troubling Trends for 2015

Bloomberg View - Jan 06, 2015 - Many economists and writers have come up with reasons to fear the trend, but I can’t help feeling that University of Chicago finance professor and blogger John Cochrane is right when he says that it's all about political power: "[M]ost inequality warriors get down to the real problem they see: money and politics. They think money is corrupting politics, and they want to take away the money to purify the politics. As Berkeley economist Emmanuel Saez wrote for his 2013 Arrow lecture at Stanford University: 'top income shares matter' because the 'surge in top incomes gives top earners more ability to influence [the] political process.'"

The Deciders

Slate - Jan 13, 2015 - But according to University of Chicago economist Marianne Bertrand, the benefits of the quotas have really only gone to the women who were made board members.

Can Split-Second Micro-Expressions Help Employers Hire Smarter?

New York Magazine - Jan 16, 2015 - Count Nicholas Epley, a professor of behavioral science at the University of Chicago's Booth School of Business, as a firm skeptic. He "just sighed" when he read the article, he said in an email. "It’s possible there’s evidence I don’t know of showing the validity of what’s being suggested here," he said. "If such evidence existed, I’d eat my shorts."

Does Obama deserve credit for the economy?

Politico - Jan 09, 2015 - “He nominated these people to the Fed and then he protected them once they were there and he made sure Bernanke had allies,” said Austan Goolsbee, a University of Chicago professor who served as top Obama economic advisor until 2011. Goolsbee noted that no president can flip a switch and drive a faster economy. But he suggested Obama can legitimately take some credit.

Is Mitch McConnell right about the economy?

Politico - Jan 08, 2015 - Richard Thaler, economist, University of Chicago: "There is nothing sudden about job growth, which has been steadily improving for quite a while, especially in the private sector, and the S&P 500 has gone from about 750 to over 2000 since March 2009. Does Senator McConnell think that the stock market been going up for six years in anticipation of the Republican takeover of Congress two months ago?"

Why are gas prices falling? Think China, not Saudi Arabia.

Chicago Tribune - Jan 20, 2015 - That's how University of Chicago economist Austan Goolsbee described the views of the people of Abilene, Texas, where his parents live.

Beware of venture capitalists who claim to know the next big thing

Quartz - Jan 17, 2015 - Professor Elizabeth Pontikes of the University of Chicago Booth School of Business and I took a careful look at this question.

The Laffer Curve Anniversary Is Just Now

Forbes - Jan 15, 2015 - Last December marked the 40th anniversary of the Laffer curve — sort of — the moment when economist Arthur B. Laffer, a professor at the University of Chicago business school, scrawled a parabola on a napkin.

Chicago Booth Students Win Ross Stock Competition With Bullish Pitch On Cinemark

Forbes - Jan 14, 2015 - Graduate students from 14 universities gathered together for a stock pitch competition. Students from the Booth School of Business won the competition, but what stock did they pitch?

How to defeat groupthink: Five solutions

Fortune - Jan 13, 2015 - Cass R. Sunstein is the Robert Walmsley University Professor at Harvard Law School. Reid Hastie is the Ralph and Dorothy Keller Distinguished Service Professor of Behavior Science at the University of Chicago Booth School of Business. They are co-authors of Wiser: Getting Beyond Groupthink to Make Groups Smarter (Harvard Business Review Press).

Free Speech on Campus

Huffington Post - Jan 06, 2015 - Marianne Bertrand, Chris P. Dialynas Distinguished Service Professor of Economics, Booth School of Business, was part of a faculty committee that prepared a statement articulating the University of Chicago's commitment "to free, robust, and uninhibited debate and deliberation among all members of the University's community."

Economists Are Finally Reconnecting With The Real World

FiveThirtyEight - Jan 06, 2015 - Citing a curious theory from Steven Davis, a University of Chicago economist, Hall said that was the year cheap video entertainment became available.

Fed shelves one exit-tool idea

MarketWatch - Jan 07, 2015 - As explained by John Cochran, an economics professor at the University of Chicago Booth School of Business, the plan meant a company could deposit money at a bank, and the bank could then invest that money in interest-paying reserves at the Fed. (Article also appears on Morningstar's news page.)

Healthcare impacts wages: Goolsbee

CNBC - Jan 13, 2015 - Could wages pick up this year? With University of Chicago Booth School of Business Professor Austan Goolsbee, former Chair for Council of Economic Advisers, discusses the correlation between health care costs and wages.

Improving economy bad for Republican candidates in 2016?

Fox Business - Jan 13, 2015 - University of Chicago Booth School of Business Professor Austan Goolsbee and FBN's Neil Cavuto on the economy's potential impact on the 2016 Presidential race.

Why is Obama hesitant to speak on terror?

Fox Business - Jan 09, 2015 - The University of Chicago Booth School of Business Austan Goolsbee on Obama's leadership and handling of terror threats and the jobs report.

What does the Fed need to see in order to raise rates?

Fox Business - Jan 09, 2015 - University of Chicago Booth School of Business Professor Austan Goolsbee and Clearpool Chief Market Strategist Peter Kenny on what the Fed needs to see for a push to raise rates, investing and the markets.

Meet the introvert who can game any travel rewards system

Crain's Chicago Business - Jan 17, 2015 - Last year, Katlin Smith, 26, a former management consultant, tied for first place in the New Venture Challenge at the University of Chicago Booth School of Business, where she's an MBA student. Her start-up, Chicago-based Simple Mills, makes gluten-free, all-natural baking mixes sold nationwide.

Home-field advantage for Hawks - oddsmakers think there’s something to it

Seattle Times - Jan 17, 2015 - In it, University of Chicago behavioral economist Tobias Moskowitz and Sports Illustrated writer L. Jon Wertheim advise forgetting the “myths” about travel tiring players, or players gaining from a familiarity with their surroundings.

Hutchins Roundup: Corporate Taxes, Monetary Policy Spillovers, and More

Brookings Institution - Jan 08, 2015 - Using data from Medicare beneficiaries who move from one state to another, Amy Finkelstein and Heidi Williams of MIT and Matthew Gentzkow of the University of Chicago find that 40-50 percent of the geographic variation in Medicare utilization can be explained by the characteristics of the patient demand, particularly differences in patient health. The remaining 50-60 percent is attributable to place-specific factors, such as doctor practice patterns.


MEDIA OUTSIDE THE U.S.

Hidden in the long tail

The Economist - Jan 10, 2015 - But a paper by Tom Blake of eBay, Chris Nosko of the University of Chicago and Steve Tadelis of the University of California at Berkeley, paints a more nuanced picture.

Why is everyone so busy?
The Economist - Dec 20, 2014 - Men with a college degree, however, saw their leisure time drop by six hours during the same period, which means they have even less leisure than they did in 1965, say Mark Aguiar of Princeton University and Erik Hurst of the University of Chicago.

Greece Election 2015: the politics and economics in numbers

The Guardian - Jan 20, 2015
- In 2009, self-employed people hid €28bn (£21.7bn) income from tax authorities, according to a study published by Chicago Booth business school that compared bank records to tax receipts.

New Chicago Booth campus won't close Mt Davis trails

South China Morning Post - Jan 20, 2015
- The University of Chicago Booth School of Business, which moved its Asian headquarters from Singapore to Hong Kong last year, will in return foot the renovation bill of roughly US$50 million (HK$387.6 million).

Has Israel's antitrust watchdog blocked Mideast peace?

Haaretz - Jan 06, 2015 - Which brings us back to our opening quote: Those were the parting words uttered by the prime minister in our joint meeting with Luigi Zingales, professor of entrepreneurship and finance at the University of Chicago, on capitalism, competition and the relations between money, government and the media, after Netanyahu declared the professor to be his guru.

Motley Fool: Why you pay too much for financial advice

Sydney Morning Herald - Jan 20, 2015 - University of Chicago economist Richard Thaler once did a study asking participants: Imagine that you are about to purchase a jacket for $125 and a calculator for $15. The calculator salesman informs you that the calculator you wish to buy is on sale for $10 at the other branch of the store, located 20 minutes' drive away. Would you make a trip to the other store?

Corporate relations would be our primary focus: Sunil Kumar

Business Standard - Jan 14, 2015 - The University of Chicago's Booth School of Business which has increased its footprint in India through setting up a physical centre and strengthening their alumni organisation among others is looking to improve its partnerships and relations with corporates in India. In an interview with M Saraswathy, Sunil Kumar, Dean, Chicago Booth School of Business talks about their journey and the way forward.

The wealth that failed to trickle down: The rich do get richer while poor stay poor, report suggests

The Independent - Jan 19, 2015 - Raghuram Rajan, head of India’s central bank and a former University of Chicago professor, argued in his influential book Fault Lines that rising inequality in the US created tremendous pressures on politicians to make cheap credit available to the low paid.

Doors open for ghar wapsi

Hindustan Times - Jan 09, 2015 - While the former University of Chicago professor of finance, Raghuram Rajan, governs the Reserve Bank of India, his fellow academic at New York’s Columbia University, economics professor Arvind Panagariya takes over as vice-chairman of the new Niti Aayog.

Customer data is a valuable asset. Why not treat it that way?

Firstpost - Jan 14, 2015
- Richard Thaler, a professor of economics and behavioral science at the Booth School of Business at the University of Chicago, says: "If a business collects data on consumers electronically, it should provide them with a version of that data that is easy to download and export to another Web site. Think of it this way: you have lent the company your data, and you’d like a copy for your own use." (Article also appears on in.com.)


ALUMNI

Um gestor com uma “esmerada educação suíça”

Económico - Jan 12, 2015 - Gonçalo Reis gestor é licenciado em Economia pela Universidade Católica e tem um MBA na University of Chicago GSB.

Ex-schools CEO Huberman getting deals from CPS-funded charters

Chicago Sun-Times - Jan 11, 2015 - Charters "help provide options for families, and options lead to competition, which is healthy for a school system," Ron Huberman, '00, said in a 2009 interview with the University of Chicago graduate business school’s alumni magazine. Article also appeared on MyFoxChicago.com.