Experience Stern | News & Events

Excerpt from The New York Times -- "Yet compared with its turmoil in some other big cities, Uber has negotiated the regulatory wringer of New York with relative ease. 'So far, this has been one of their success stories,' said Arun Sundararajan, a professor at the Stern School of Business at New York University who has studied the company. 'But if this [new legistlation] goes through, it will severely restrict their ability to grow.'"

Excerpt from Voice of America -- "With sanctions being removed slowly, by timetable agreement, Paul Wachtel, economics professor at New York University's Stern School of Business, said, 'In the short run, the effects will be relatively limited. The sanctions don’t even get removed immediately...I wouldn't expect much to happen for the next six months, a year, maybe two years. Beyond that, it will begin to affect the world economy. In a sense, Iran is a large economy, it’s got a large population, a well-educated population and lots of economic resources. If this agreement leads to Iran being integrated into the global economy, you have got a brand-new big player in the world economy.'"

Excerpt from Bloomberg -- "'The significant number of ‘no’ votes from Syriza, including by some of the ministers, puts Mr. Tsipras at a very difficult position,' said Nicholas Economides, a professor at New York University’s Stern School of Business. 'Either he has to continue as a minority government at the mercy of the votes of the pro-Europe opposition parties, or create a new coalition that includes the opposition parties, or call for elections.'"

Excerpt from The Huffington Post -- "'Our economy is designed to provide a social safety net to people who have full-time jobs, but we don’t have the infrastructure to provide a similar safety net for people who do productive work but are not full time,' said Arun Sundararajan, a professor at New York University's Stern School of Business. 'Uber drivers are trying to become full time because that’s where benefits are, but classifying them as full time is retrofitting an old system. There’s a new way people are making a living, and it’s about finding a way to extend protections to more of them.'"

Excerpt from The Wall Street Journal -- "'This is a country where high fructose syrup has a better supply chain than fresh tomatoes, and half of our produce comes from the state of California,' said Hans Taparia, clinical assistant professor at NYU Stern School of Business, where he teaches classes on food entrepreneurship."

Excerpt from Financial News -- "Barclays has made a big step by replacing [Antony] Jenkins in the middle of his efforts to turn things around. It appears that the main reason for the change was that what he was doing was taking too long, and the markets no longer believed his efforts would change anything, not that the basic strategy was wrong. [John] McFarlane must convince the market that he can deliver strategy that will yield better results, or he too will be out. Many other global investment banks are in the same position, sticking to the old strategy while working to improve execution. But the real fault is in the strategy itself, not the execution, however slow that has been."

Excerpt from MBA Today -- "The NYU Stern's Center of Business and Human Rights is led by co-directors, Research Scholar Sarah Labowitz and Professor Michael Posner, former Assistant Secretary of State for Democracy, Human Rights and Labor. The representation of these figures from this field within a business school is rare and exceptional. Yet, this is just the beginning. Though only two years old, the CBHR has already helped grow substantive initiatives internationally, and with it sought to establish ongoing links with NYU Stern. This has been seen in the Center's work throughout the developing region, with works in Bangladesh."

Excerpt from CBS News -- ""The potential for opportunities for trade and growth are significant if Iran really opens up to the world,' said Paul Wachtel of New York University's Stern School of Business. 'It is a country with oil and a well-educated labor force. A large economy like that coming back into an integrated world economic order would be really significant.'

But Wachtel said there's a major 'if' tied to that prospect. 'That integration can only happen if this nuclear deal is part of an Iranian political shift to a broader openness to the world. You need that trust factor that's still not there yet.'"

Excerpt from The Huffington Post -- "On July 21, 2010, President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act (hereafter, DF), the most sweeping financial regulatory reform in the United States since the 1930s. DF explicitly aims to limit systemic risk, allow for the safe resolution of the largest intermediaries, submit risky nonbanks to greater scrutiny, and reform derivatives trading. How to celebrate its fifth birthday? Well, if you are like us, it will be a sober affair, reflecting serious worries about the continued vulnerability of the financial system."

Excerpt from Reuters -- "The agreement, despite its imperfections, shows that Europe will ultimately pull together, even to try to help its weakest link, said the professor of economics and international business at the Stern School of Business, New York University....'It's a constructive deal, positive for the euro zone, and means that for now, those tail risks that would have led to a more fundamental repricing of euro zone assets should not occur,' Roubini told Reuters in an interview in London."

Excerpt from China Daily -- "Writing in their blog moneyandbanking.com, Stephen G. Cecchetti a professor of international economics at Brandeis University in Waltham, Massachusetts, and [Kim] Schoenholtz, noted that China's stock market is now the world's second-largest behind the US in terms of market capitalization of domestic issues...'In a large market like China's you are dependent upon the behavior of private investors. It's hard for government action to lead to stability,' Schoenholtz said. 'The success of China's stock market will depend on the government being able to tolerate volatility.'"

Excerpt from Salon -- "NYU economist Thomas Philippon finds that we now pay much more for financial middlemen than we should, despite dramatic technological advances, and that drains about $280 billion annually out of the economy. This is profit from rent seeking activity. Using a market price/earnings factor of 15.5 (a commonly used multiple that converts annual profit into market value of equity), the implied size of this financial rent-seeking business in terms of share value is more than $4 trillion, larger than the 15 largest non-financial firms in the United States and more than 15 percent of aggregate market capitalization of U.S. businesses."

Excerpt from The New York Times -- “‘Competition in a collaborative environment doesn’t work well,’ Professor Blader said. In team-based environments, it may be better to inform each employee of his or her performance individually rather than as part of a group ranking. But if a company’s culture is self focused rather than team focused, publicizing rankings may be effective, he said.”

Excerpt from The Wall Street Journal -- "In China, too, debt is the problem. 'When a bubble pops, it’s leverage that almost always proves so corrosive and destabilizing on the way down,' says Lawrence White, professor at New York University’s Stern School of Business who specializes in financial regulation."

Excerpt from Bloomberg -- "'This makes all the sense in the world,' said Scott Galloway, a professor of marketing at New York University’s Stern School of Business, in a phone interview. 'Tesla is not an automobile company, it’s a luxury company.'"

Excerpt from the Financial Times -- "We live in a world that's very competitive and I think investors are often operating on very short-term horizons, especially in the US. I think that short-termism drives companies to make a lot of bad decisions. And so one of the things we've got to do is begin to take a longer-term view and get the investment community to say we're going to take longer bets on companies that basically build sustainable models that protect human rights, the environment, and also make a profit. This is about doing good and doing well."

Excerpt from The New York Times -- "There have been rumors that the government is readying a much larger fund for direct stock purchases. 'The Chinese government doesn’t care about losing a few billion dollars here or there,' Mr. Whitelaw said. 'They’re trying to protect investors and maintain stability. Who wouldn’t want that?'"

Excerpt from Psychology Today -- "Researchers David Waguespack and Robert Salomon examined whether 'reputationally-privileged' athletes (that is, athletes who had been successful in previous competitions, or those from countries with a track record of athletic excellence) were more likely to succeed at the Olympic Games than lesser-known athletes. What they found is fascinating, and has implications inside and out of the sports world."

Excerpt from Barron's -- "Blame a ‘70s-era accounting rule that says companies must expense 'knowledge investments' (intangible investments like research and development) as they occur. That depresses earnings and results in shares trading at discounts. The effect was first discovered in the ‘90s by NYU’s Baruch Lev, then became the subject of greater study by Gavekal, which oversees combined assets of $1.7 billion-plus."

Excerpt from MBA Schooled -- "Things will vary especially early on, so you’ll need to get used to throttling. Embrace each day, each week for what it’s going to bring. No two days are the same, especially that first semester, so you really need to take each day, each week, each month for what it is."

Excerpt from Kitco -- "I have looked into silver at the London Silver Fixing as I did for gold and the results were fairly similar, but I have also more recently started to look into the CME futures settlement prices for silver and I found several unusual patterns. I find that prices move in opposite directions from the rest of the market returns very often, particularly while silver prices were moving upwards. I also find very drastic increases in volume traded in the space of one minute, very often the largest of the day by far, and very sharp price movements."

Excerpt from Financial News -- "Greece is trying a 'tyranny of the weak' strategy: if you won’t give us better terms, we will die on your doorstep. It is unlikely to work in the long run. Despite its referendum, Greece is broke and will have to restructure. In time, Greece will have to devalue its currency to survive, most likely by leaving the euro. China, on the other hand is pursuing a 'tyranny of the strong' approach: we are powerful enough to be able to make things the way we want them. It has no more likelihood of success, however, than the Greek strategy."

Excerpt from Al Jazeera -- "The 'no' vote will be a complete disaster for Greece. It will seal - in a very negative way - the future and the fortunes of the country for a generation and that will be a total disaster."

Excerpt from CNBC -- “Historically, China's stock market has been significantly more volatile than the U.S. or other developed markets. This level of volatility is to be expected given the high-growth, high-stakes economic environment in China. … All is not yet lost. But the authorities should step back and take a deep breath. Short-term market gyrations can be frightening, but China should be playing a long-term game. There has to be an understanding that giving up some control is the only way to foster the economic future that the country deserves and the world needs.”

Excerpt from Bloomberg -- "In China last week, two things I heard... First, it was the notion that the run-up in Chinese stocks was completely disconnected with general sentiment in the Chinese economy, which has been very stable, decreased in growth, but nothing that people are overtly concerned about in the near term. There's actually an enormous amount of confidence in China about the leadership and about the structural developments happening in the economy, and I saw that across the board. I saw that from elites, I saw that from party officials, I saw that from rank and file. But people in the Chinese market, the typical investors, they're not there for years or even months; they're there for weeks."