SEMI-MONTHLY NATIONAL AND INTERNATIONAL TOP NEWS COVERAGE FOR APRIL 16-30, 2015

U.S. MEDIA

Is an MBA Worth It in Today’s Business Environment?

Bloomberg TV - Apr 30, 2015 - Sunil Kumar, dean at Chicago Booth, talks with Betty Liu about the value of an MBA as a new Bloomberg global poll finds 48 percent of Wall Street bankers feel that they are underpaid. He speaks on In The Loop. (Source: Bloomberg)

The Economics of Suspense

New York Times - Apr 29, 2015 - To be thrilling, you must occasionally be boring. This is one of several lessons that came out of our recent study of drama-based entertainment using the tools of information economics. Alexander Frankel is an assistant professor of economics and Emir Kamenica a professor of economics, both at the Chicago Booth.

'House of Debt' co-author on the next debt crisis

CNBC - Apr 21, 2015 - Amir Sufi, professor of finance at Chicago Booth, coauthored House of Debt, and provides insight to American debt.

Fraud Fed the Mortgage Crisis

New York Times - Apr 17, 2015 - A new paper by Atif Mian, a Princeton University economics professor, and Amir Sufi, a finance professor at Chicago Booth, directly rebuts a paper released in January arguing that lending expanded in low-income neighborhoods because higher-income individuals moved in to buy, not because there was disproportionate lending to the poor.

Could Machines Put Central Bankers Out of a Job?

Wall Street Journal - Apr 27, 2015 - The fast-changing technological infrastructure of financial transactions, including nonbank finance, digital currencies, peer-to-peer lending, and crowd funding present a challenge to the monetary policies of the Federal Reserve and other top central banks, says Randall Kroszner, a former Fed board governor. "Digital currencies, mobile-phone banking, crowd funding, peer-to-peer lending could diminish the role that traditional commercial banks play in the standard 'money multiplier' process through which changes in bank reserve affect the money supply and the price level," says Kroszner, a professor at the University of Chicago Booth School of Business.

What Behavioral Economics Teaches Us About The Great Recession

Forbes - Apr 28, 2015 - University of Chicago professor Richard Thaler argues in his own research that individuals put different types of financial windfalls in different “mental accounts,” which in turn influences what they then do with the money (spend or save). (Article also references "Nudge," Richard Thaler's work with Cass Sunstein.)

Tax Cuts For The Rich Don't Create Many Jobs, But What About Tax Hikes?

Forbes - Apr 24, 2015 - According to Owen Zidar, an economist at the University of Chicago Booth School of Business, you'll get the biggest bang for the buck by focusing your tax relief on the poor and middle class.

Tax Cuts Boost Jobs, Just Not When Targeted at Rich

Wall Street Journal - Apr 20, 2015 - "The positive relationship between tax cuts and employment growth is largely driven by tax cuts for lower-income groups and the effect of tax cuts for the top 10 percent on employment growth is small," writes Owen Zidar, a professor at the University of Chicago's Booth School of Business.

Bloomberg Surveillance: Weber, Adams, Mider

Bloomberg Radio - Apr 21, 2015 - Bloomberg Surveillance with Tom Keene and Michael McKee. GUESTS: Michael Weber, Professor, University of Chicago Booth School of Business; Gina Martin Adams, Director Senior Strategist, Wells Fargo Securities LLC; Zachary Mider, Reporter, Bloomberg News on Pulitzer.

Why hasn't the economy fully recovered? Debt, debt, debt

New York Post - Apr 19, 2015 - Why has the recovery been so weak? In their 2014 book, House of Debt: How They (and You) Caused the Great Recession, and How We Can Prevent It from Happening Again, Princeton economics professor Atif Mian and Chicago Booth finance professor Amir Sufi point to household debt as a chief culprit.

Why tax cuts for regular folks help economy most

MarketWatch - Apr 24, 2015 - History shows the best kind of tax cut for the US economy are those that help middle-class and lower-income Americans. That's the verdict of a new research paper by a University of Chicago economist who has studied the issue extensively. Owen Zidar says an examination of tax cuts at the state and federal level since World War II shows that job creation and economic growth are stronger when income taxes are reduced for the bottom 90 percent of earners. (Article also appears on Morningstar.com and Fidelity.com.)

Tax cuts for the rich don't boost the economy. Tax cuts for the poor might.

Christian Science Monitor - Apr 22, 2015 - Those are the results of an interesting new working paper by Owen Zidar for the National Bureau of Economic Research. Zidar, an assistant economics professor at the University of Chicago Booth School of Business, concludes that tax changes aimed at low- and moderate-income households have far more powerful macro economic effects than revisions that target the highest-income 10 percent.

Tax Cuts For The Poor And Middle Class -- Not The Rich -- Create Jobs, Research Shows

International Business Times - Apr 22, 2015 - The study from Owen Zidar, a professor at the University of Chicago Booth School of Business, found that tax cuts aimed at the top 10 percent of earners produce little stimulative effect on the overall economy. On the other hand, those aimed at the bottom 90 percent do.

Dispirited

New Republic - Apr 16, 2015 - John Paul Rollert teaches business ethics at The University of Chicago Booth School of Business. His work has appeared in The Paris Review, The New York Times, and The Atlantic. You can find him on Twitter @jprollert. (John Paul Rollert turned his experiences flying Spirit Airlines into a case study in business ethics, and this op-ed.)

The key ingredient to having groupthink-free meetings is leadership

Quartz - Apr 15, 2015 - Research I conducted with Cass Sunstein showed that leaders play a pivotal role in determining whether meetings lead to solutions or are hijacked by the tendency for "groupthink." We've highlighted several techniques managers can follow to bring out the best in their groups. (Op-ed written by Reid Hastie.)

Tax Cuts for Low- to Moderate-Income Households May Be More Powerful Than Cuts for Rich

Forbes - Apr 21, 2015 - Those are the results of an interesting new working paper by Owen Zidar for the National Bureau of Economic Research. Zidar, an assistant economics professor at the University of Chicago Booth School of Business, concludes that tax changes aimed at low- and moderate-income households have far more powerful macro economic effects than revisions that target the highest-income 10 percent.

Plan for data center under Block 37 wins Kellogg competition

Crain's Chicago Business - Apr 29, 2015 - A proposal to locate a data center in the never-finished Chicago Transit Authority "superstation" below Block 37 has won a competition at Northwestern University — a sign, amid some others, that the idea actually may have legs. The action came earlier this week when the Kellogg Real Estate Venture Competition at Northwestern's Kellogg School of Management gave top marks to a student team from, of all places, rival the University of Chicago Booth School of Business.

Tracking China's anti-corruption crackdown

CNBC - Apr 29, 2015 - Chang-Tai Hsieh, professor of economics at the University of Chicago Booth School of Business, discusses Beijing's clampdown on graft and explains its impact on businesses.

Everyday at Fed Was a Big Day: Randall Kroszner

Bloomberg TV - Apr 29, 2015 - Chicago Booth economics professor Randall Kroszner and RBC Capital Markets Chief US Economist Tom Porcelli discuss Fed policy. They speak on Bloomberg Surveillance. (Source: Bloomberg)

Nightly Business Report — April 29, 2015

Nightly Business Report (CNBC) - Apr 30, 2015 - Randy Kroszner joins us now for more analysis on the Fed and the economy. The former Fed governor now a professor of economics at the University of Chicago Booth School of Business and a frequent guest on NBR. (Kroszner's segment starts at 4:52.)

Ex-Fed governor: Fed 'left every option open'

CNBC Asia - Apr 30, 2015 - Randy Kroszner, former Fed Governor and professor Of Economics at University of Chicago Booth School of Business, explains why the Fed described the weak US first-quarter GDP as "transitory."

When Will the U.S. Return to Better Economic Times?

Bloomberg TV - Apr 29, 2015 - Bloomberg’s Tom Keene examines a chart showing US GDP performance. Chicago Booth School Economics Professor Randall Kroszner and RBC Capital Markets Chief US Economist Tom Porcelli speaks on Bloomberg Surveillance. (Source: Bloomberg)

European Disintegration Threatens Business: Allen

Bloomberg TV - Apr 29, 2015 - On "Morning Must Read," Brendan Greeley recaps the op-ed pieces and analyst notes that provide insight into today's headlines. Chicago Booth economics professor Randall Kroszner also speaks on Bloomberg Surveillance. (Source: Bloomberg)

U.S. Interest Rates: How Low Can They Go?

Bloomberg TV - Apr 29, 2015 - Chicago Booth economics professor Randall Kroszner and RBC Capital Markets Chief US Economist Tom Porcelli discuss US interest rates and the economy. They speak on Bloomberg Surveillance. (Source: Bloomberg)

Wages: When Will Your Salary Increase?

Bloomberg TV - Apr 29, 2015 - Chicago Booth economics professor Randall Kroszner and RBC Capital Markets Chief US Economist Tom Porcelli discuss the US labor market and wages. They speak on Bloomberg Surveillance. (Source: Bloomberg)

Boosting workers' skills key to income inequality battle, experts say

Newsday - Apr 24, 2015 - Austan Goolsbee said last night that he supported higher taxes on the wealthy, which he called "epically low." He now teaches at the University of Chicago Booth School of Business. Randall S. Kroszner, also a Booth professor, said income inequality wasn't a new phenomenon.

Why The Fed Won't Raise Rates Soon

Forbes - Apr 24, 2015 - Randy Kroszner and Austan Goolsbee are two prominent economists who are not sold on the idea that there's a lock on a Federal Funds rate hike in September. In fact, they are arguing to the contrary. (Coverage of the discussion at the opening reception for the SABEW Conference.)

How Do You Get People To Work Harder? Keep The Reward A Secret

NPR - Apr 21, 2015 - I spoke with Ayelet Fishbach at the University of Chicago. She turns out to have a different point of view. Along with Lucy Shen and Chris Hsee, Fishbach finds that there are times when actually not knowing would you're going to get is actually a very strong motivator. So let me tell you about one of the experiments she conducted.

This Is Your Brain on Money: How Investors Trip Themselves Up

Wall Street Journal - Apr 17, 2015 - One of the new studies found that both individual investors and mutual-fund managers are more likely to sell stocks that are either among the biggest winners or the biggest losers in their portfolios....The author, Samuel Hartzmark of the University of Chicago, dubs the phenomenon the "rank effect," and says that it shows up even if you look at two different investors who hold the same stock. The one for whom the stock is an extreme winner or loser is more likely to sell, the study found.

The bad news about good tax refunds

CNBC - Apr 17, 2015 - "As long as I can remember, it's been true that a very large majority of taxpayers overpay and get refunds, averaging thousands of dollars," said economist Richard Thaler, an economics professor at the University of Chicago and author of the upcoming "Misbehaving: The Making of Behavioral Economics."

Taking On Robert Reich And The Myth Of The 'Non-Working Rich'

Forbes - Apr 17, 2015 - Surely, he should know the seminal research of Steven Kaplan (Chicago) and Joshua Rau (Stanford) published in the American Economic Review (May 2013) under the title "Family, Education, and Sources of Wealth Among the Richest Americans, 1982—2012."  Reich need not even read the paper itself. Chicago Booth provides a good summary.

How my media diet is killing me

Chicago Tribune - Apr 17, 2015 - The most absorbing TV series — or film franchises, or literary trilogies — are not so different from coffee punch cards, said Ayelet Fishbach, professor of behavioral science and marketing at Chicago Booth. A goal is established, and the more often you visit, the more progress you see made. (Article also appears in the Orlando Sentinel, Hartford Courant and Morning Call.)

College for the Masses

New York Times - Apr 24, 2015 - Perhaps most important, the data show that the students just above the admissions cutoff earned substantially more by their late 20s than students just below it — 22 percent more on average, according to the Florida study, which was done by Seth D. Zimmerman, a Princeton economist who will soon move to the University of Chicago. "If you give these students a shot, they're ready to succeed," said Zimmerman, adding that he was surprised by the strength of the findings.

Opinion: 10 momentum stocks for a late-stage bull market

MarketWatch - Apr 22, 2015 - Compelling as this surfing analogy may be, however, it is misleading, according to Tobias Moskowitz, a principal at hedge fund firm AQR and a finance professor at the University of Chicago....It lost 43.5 percent between October 2007 and March 2009, according to data compiled by University of Chicago professor Eugene Fama and Dartmouth professor Ken French. (Article also appears on Morningstar.com.)

How to Give Effective Praise and Better Motivate Your Team

Lifehacker - Apr 21, 2015 - Plus, mixing praise and criticism prevents your teammate from improving. This is because he'll only focus on the praise. Behavioral science professor Ayelet Fishbach runs an exercise in her University of Chicago class to demonstrate this. She tells half her students to give one-on-one feedback to the other half with the sandwich approach.

Tapping Iran's promising market won't be so easy

CBS News MoneyWatch - Apr 24, 2015 - By global standards, about half of Iranians are also considered as middle class and, therefore, as having some disposable income. "The Iranian urban middle class, particularly the youth, love Western culture and Western goods," Marvin Zonis, professor emeritus at the University of Chicago Booth School of Business, told CBS MoneyWatch.

Roland Fryer Wins John Bates Clark Young Economist Award

Bloomberg - Apr 24, 2015 - Matthew Gentzkow, a University of Chicago professor, received the medal last year for his work explaining the role of economics in the news media.

C-Suite Insights: The True Value of Big Data

Marketing News Weekly (American Marketing Association) - Apr 21, 2015 - Big Data is vital to business intelligence, of course, and marketers know that data analysis is imperative when planning a new marketing campaign or tweaking an existing one. But many marketers, especially at the highest levels of an organization, are taking insights gleaned from Big Data at face value, said Jean Pierre Dubé, Sigmund E. Edelstone Professor of Marketing at the University of Chicago Booth School of Business.

The 30 Top Thinkers Under 30: The Stand-Up Comedy Fan Who Says We Shouldn’t Be So Focused on the Future

Pacific Standard Magazine - Apr 20, 2015 - At 28, Ed O'Brien has been an assistant professor of behavioral science at the University of Chicago Booth School of Business for almost a year. He teaches "Managing in Organizations," a class that draws on psychology and economics research to teach MBA students to manage their work environments.

The National Nightmare

Barron's - Apr 20, 2015 - Greek doctors, accountants, hoteliers, shopkeepers, and lawyers—the leading classes of tax abusers—have left financial tracks that were read by academics for a paper published in 2012 by Chicago Booth. The researchers used data from a large Greek bank (provided anonymously, of course) that had adapted its credit standards to Greek reality. (Article references research from Margarita Tsoutsoura and Adair Morse, a former Booth faculty member.)

Morning Tax: Check out Jeb’s tax record in Florida — Senate Finance to consider reviving health care tax credit — House GOP proposes cutting child tax credit

Politico - Apr 21, 2015 - The paper by Owen Zidar, a professor at the University of Chicago’s business school, shows that tax cuts for the wealthy generate less economic growth than similarly sized tax cuts for middle- and low-income taxpayers.

Chicago-based LuminAID Lets You Send Light To Victims of Nepal Earthquake

Chicago Inno - Apr 28, 2015 - That's why a Chicago Booth and a Columbia University grad student created LuminAID--inflatable, solar-powered, waterproof, floatable bags of light that can shine up to 16 hours on one charge. LuminAID was featured on Shark Tank, and won both the Social New Ventures Challenge hosted by University of Chicago and a 2013 Clean Energy Challenge grant.

10 MBA Programs With the Most Employed Graduates

U.S. News and World Report - Apr 16, 2015 - 2. University of Chicago (Booth), Full-time MBA graduates employed three months after graduating in 2014: 97.2 percent. (Article also appears on Yahoo! Finance.)

The 10 Business Schools Most Endorsed by Students

Bloomberg - Apr 24, 2015 - 6. The University of Chicagos Booth School of Business. Student rating: 4.961. Overall rank: 3. What students say: Students like "the focus on the quantitative aspects of problem solving," as well as the "superstar faculty including Nobel laureates, Fed board members, etc."

VSPs versus MSEs

New York Times - Apr 28, 2015 - [W]hat I mean, more vaguely, is economists who routinely weigh in on policy issues (so that they have some reality sense) but are not essentially hired advocates for one position or another. Luckily, we now have regular surveys of economists who fit that description, by Chicago Booth in the US and the Centre for Macroeconomics in the UK. (Article cites IGM poll, includes chart.)


MEDIA OUTSIDE THE US

Is an MBA Worth It in Today’s Business Environment?

Yahoo! Finance Canada - May 01, 2015 - Sunil Kumar, dean at Chicago Booth, talks with Betty Liu about the value of an MBA as a new Bloomberg global poll finds 48 percent of Wall Street bankers feel that they are underpaid. He speaks on "In The Loop."

Make disclosures machine readable

Live Mint - Apr 21, 2015 - Top chief executive officers met with Richard Thaler of the University of Chicago in New Delhi for a conversation. For those who don’t know Thaler, he is known as the co-parent of behavioral economics—the wonderful new field that allows for us to be Captain Kirk and Penny, and not Mr Spock or Sheldon Cooper. In other words, it allows for irrationality in decision making as the standard state of human beings, rather than a perfect utility maximizing economic agent.

India's new reformers

Live Mint - Apr 23, 2015 - Before being made chief economic adviser, Raghuram Rajan was the Eric J. Gleacher distinguished service professor of finance at Chicago Booth. He chaired the committee set up by the Planning Commission on financial sector reforms that submitted its report in 2008.

The best career advice I ever got

Education Post - Apr 27, 2015 - When I ran Chicago Booth’s admissions office, we instituted the same policy. Everyone on the team could offer an opinion on a candidate and it would have a bearing on the final admissions decision. The moral of this story is to always treat everyone you meet with respect – you never know who is watching. (It’s also simply the right thing to do). (Op-ed by Bill Kooser on a South China Morning Post site aimed at prospective MBA students.)

Investors — it’s time for you to raise your game

Financial Times - Apr 16, 2015 - Luigi Zingales, Robert C. McCormack Professor of Entrepreneurship and Finance, University of Chicago Booth School of Business, US. (Luigi Zingales co-wrote a letter to the editor.)

The ambiguous economics of Net neutrality

Live Mint - Apr 16, 2015 - One influential argument against Net neutrality was provided by Nobel laureate Gary Becker, Dennis Carlton of the Chicago Booth and Hal S. Sider of Compass Lexicon, in a paper published in the Journal of Competition Law and Economics (mintne.ws/1yy3DC4).

Bigotry imposes high cost on economy

The Herald - Apr 16, 2015 - In "The Allocation of Talent and Economic Growth," economists Chang-Tai Hsieh and Erik Hurst of the University of Chicago Booth Business School and Charles Jones and Peter Klenow of Stanford estimate that one-fifth of total growth in US output per worker between 1960 and 2008 was due to a decline in discrimination.

Why China's New Family-Planning Policy Hasn't Worked

The Diplomat - Apr 20, 2015 - Richard Thaler, economist at the University of Chicago, and Cass Sunstein, professor at Harvard Law School, have pointed out that people think using one of two systems: the automatic system, which usually leads to an uncontrolled, unconscious, and rapid decision-making process, and the reflective system, which means taking time to think through a decision. There are many factors that contribute to Chinese families' reliance on their reflective system in making childbirth decisions.

Sanitation challenges: Govt not well equipped, say experts

Zee News - Apr 22, 2015 - The conference was organised by the University of Chicago Centre in New Delhi in partnership with the University of Chicago Booth School of Business's Social Enterprise Initiative, Samhita Social Ventures and nonprofit Toilet Hackers.

Loyal cheaters, when organizations promote wrongdoing

The Jakarta Post - Apr 18, 2015 - Research supporting this explanation by Donald Palmer, professor of Management at University of California Davis Graduate School of Management and Christopher Yenkey, assistant professor of Organizations and Strategy at Chicago Booth, will soon be published in Social Forces. They looked at another context with some famous wrongdoing: the Tour de France cycling race.

Falling off the supercycle

The Economist - Apr 22, 2015 - In their book House of Debt, economists Atif Mian and Amir Sufi show that those parts of America which were worst hit by the crisis were those where the equity stakes of homeowners were lowest. This was not a zero sum game.

The voice improved employment opportunities

Wirtschaftspsychologie - Apr 17, 2015 - The psychologist Juliana Schroeder earned a doctorate at the Chicago Booth. Together with Nicholas Epley she performed five experiments on the effect of the voice in job interviews. The results of their study "The Sound of Intellect" will soon be published in the journal Psychological Science.

Charities can learn a great deal from behavioural economics

Third Sector - Apr 23, 2015 - Few people can claim that their work has been used routinely to inform or improve fundraising, reproductive health, the governance of African countries or road safety, or to help people to get jobs or quit smoking; but the US economist Richard Thaler can. He has the rare distinction of having revolutionized a major discipline, and in his new book, Misbehaving: the Making of Behavioral Economics, he recounts how he did it.


ALUMNI

Efficient or Inefficient Markets? Why I Embrace Both

Wall Street Journal - Apr 16, 2015 - In the 1980s, I put aside a PhD thesis on the unfinished works of the poet William Wordsworth, and began an MBA program at the University of Chicago. The next two years were like drinking from a fire hose as I imbibed nonstop discussions of capital market theory and statistical proofs of the "efficient market hypothesis." (Op-ed by alumna Eleanor Blayney.)

8 Lessons from Poker That Will Make You a Better Entrepreneur

Inc. - Apr 30, 2015 - Back in the early 2000s, a Berkeley student named David Daneshgar started playing poker professionally. After retiring from the professional circuit and underground games in Hollywood, he went to the University of Chicago Booth School of Business to get his MBA.

Technori announces expansion as Matt Maloney gives Chicago a shout-out

Chicago Tribune - Apr 29, 2015 - GrubHub CEO Matt Maloney, whose company launched out of the University of Chicago's Booth School of business in 2004, told an audience at Chicago's Chase Auditorium that he still gets asked why he hasn't moved to California. "And the answer that I think everyone in this room knows is that it's because Chicago's better," he said.

Advertising's rising star is hiring (but you probably don't qualify)

Crain's Chicago Business - Apr 23, 2015 - Founded in 2004, Rise began as Jon Morris' entry in the New Venture Challenge start-up contest at what is now the University of Chicago Booth School of Business. He used the $10,000 prize money from his second-place finish to launch the company, which he envisioned would use real-time analytics to drive more visits to customers' sites and better gauge the effectiveness of social media, display ads, and search-marketing campaigns.

Managing Clients' Newfound Wealth

Wall Street Journal - Apr 29, 2015 - Lorraine Fox, director, Aspiriant, San Francisco. Education: M.B.A. University of Chicago. After receiving her MBA in 1983, Fox landed a marketing role at then-start-up Sun Microsystems in Santa Clara, California, where she worked through its initial public offering.

EidoSearch Brings Pattern Analysis Precision to Earnings Season

Institutional Investor - Apr 24, 2015 - EidoSearch, a Toronto-based startup, is hoping to change that. The firm's founders, David Kedmey and Xiao-Ping (Steven) Zhang, met as MBA students at the University of Chicago in the late 2000s.

Chinese Equity Markets: Bubble or Beast?

Forbes - Apr 28, 2015 - Duncan Rolph, I cover all things investment. Insight with a twist. I am frequent speaker at financial industry conferences, received my bachelor's degree from Northwestern University and my MBA from the University of Chicago Booth School of Business. (Op-ed from Chicago Booth alumnus.)

Sewol offers sad glimpse into national psyche

The Korea Times - Apr 30, 2015 - Sunnie Giles an alumnus of Chicago Booth and president of Transformational Communication and Leadership, a leadership training and executive coaching company in Utah. US readers can reach the writer at sunniegiles.com. (Op-ed by alumna Sunnie Giles.)

MBA To CEO: Fortune 500 Chiefs Climbed To Top With B-School Degree

Business Because - Apr 29, 2015 - The Fortune 500, which ranks companies by total revenue, boasts chief executives who studied at business schools like Harvard, Chicago Booth, and Wharton, based on data from 2014. John S. Watson earned his MBA at Chicago Booth in 1980. He joined Chevron in 1996 and rose to the chief executive's role in 2010.

Most influential people in the world of business

Rediff.com - Apr 17, 2015 - Satya Nadella, who hails from Hyderabad, has a master's degree in computer science from the University of Wisconsin - Milwaukee, and an MBA from the University of Chicago Booth School of Business.

Barack Obama to honor Satya Nadella with 'Champion of Change' award

Economic Times - Apr 16, 2015 - Originally from Hyderabad, he earned a bachelor's degree in electrical engineering from Mangalore University, a master's degree in computer science from the University of Wisconsin - Milwaukee, and a master's degree in business administration from the University of Chicago.

Family buys three Creamery ice cream shops

Crain's Chicago Business - Apr 16, 2015 - Richard Figueroa has an MBA from the University of Chicago Booth School of Business, a master's in public policy from the university's Harris School of Public Policy, and an undergraduate degree from Yale University.