Booth in the News; Spring 2013, Vol. 3
Covering April 16 to April 28, 2013
Here are highlights of the latest Booth news coverage. The summary below represents only a portion of recent coverage. Questions about the summary should be directed to Allan Friedman, executive director of communications, by e-mail or by calling 773.702.9232.
This summary contains three sections.
Section 1: News coverage of Booth.
- CHICAGO TRIBUNE. Booth was featured in several articles in a special MBA supplement published April 21. In one article, Deputy Dean Kole was asked what she would say about the school to a prospective student. “Chicago Booth features a highly flexible curriculum, and a culture of inquiry and innovation,” she said. “If you want to excel in environments where you work with others, and take the lead in solving problems – by challenging conventional wisdom, generating new insights and uncovering compelling evidence – then Booth is the place for you.” Other articles in the supplement quoted Clinical Professor Ellen Rudnick and Associate Deans George Andrews and Julie Morton. Read article quoting Deputy Dean Kole » Read article quoting Associate Dean George Andrews » Read article quoting Clinical Professor Ellen Rudnick » Read article quoting Associate Dean Julie Morton »
- BLOOMBERG BUSINESSWEEK. Booth was featured in an article headlined “More MBA Grads Are Switching Careers as Job Market Improves,” published April 18. At Booth, 30 percent of the 2012 graduating class took management consulting jobs, up from 24 percent in 2010, the article said. Career switchers tend to gravitate toward consulting because it can offer exposure to a wide variety of industries and can position them favorably for attractive job opportunities down the road, said Char Bennington, director of career management at Booth. Read article »
- BLOOMBERG BUSINESSWEEK. Booth was featured in an article headlined “The B-School Love Affair With Wall Street Cools,” published April 16. More diverse student career interests have led schools to expand their employer outreach efforts, the article said. In 2001, Booth had only one staffer handling such outreach; it now has 11, some of them based overseas, said Julie Morton, associate dean of career services and corporate relations. Read article »
- FINANCIAL TIMES. Booth was featured in an article about alternative loan options for international MBA students published April 22. Booth was an early participant in the Affiliated Loan Program, or Alps, funded by Deutsche Bank and guaranteed by schools, but has switched to a similar plan with UBS, the article said. “Every one of these programs that I’m aware of is highly guaranteed by the school, even though the funding may come from a credit union or UBS or Deutsche Bank, so it’s pretty low risk to the investors,” said Ron Gemkow, executive director of finance and operations at Booth. Read article »
- NIKKEI (Japan). Dean Kumar discussed the growing interest in entrepreneurship at Booth in an article published April 19. The school supports student entrepreneurs by providing a variety of resources from the Polsky Center for Entrepreneurship and Innovation, the dean said during an interview on his recent trip to Japan. The resources include funding from venture capitalists and other investors. In the U.S., there is a much stronger cultural foundation to encourage entrepreneurship than in Japan, the article noted.
- LA TERCERA (Santiago, Chile). Dean Kumar explained how Booth helps student entrepreneurs in an article published April 20. Read article in Spanish »
Section 2: News coverage of Booth faculty.
- THE WALL STREET JOURNAL. An entire article devoted to new research by Professor Amir Sufi was published April 24, headlined “Why Housing Won’t Save the U.S. Economy.” The crux of Professor Sufi’s argument is that “a key way that housing stimulates growth – the so-called ‘wealth effect’ in which people spend more because they feel richer as the value of their home increases – is likely to be muted because many of the borrowers who spent most liberally during the housing boom aren’t getting mortgages today,” the article said. Read article »
Separate research on housing by Professor Sufi was featured in The Washington Post. Read article »
- BLOOMBERG BUSINESSWEEK. An entire article devoted to research by Associate Professor Eugene Caruso was published April 17, headlined “Why We Don’t Stop Thinking About Tomorrow.” Professor Caruso led a team of researchers who found that events in the future feel closer than those in the past, the article said. In one survey, the researchers found that people perceive a date that is exactly one month or one year in the future as being closer to the present than a date one month or one year in the past. In a second survey, they found that a week before Valentine’s Day, people felt that the holiday was closer to the present than they did a week after. Read article »
- FOX BUSINESS TELEVISION. Professor John Cochrane discussed his proposal for an alternative maximum tax during an interview broadcast April 18. His plan would cap the amount a taxpayer owes when federal, state and local taxes are added up. Professor Cochrane says the total tax burden should not exceed 50 percent of income for the wealthiest people. Such a plan would give incentives for businesses to invest and would sharply lower the redundancies of taxation, he said. Watch video »
- FOX NEWS CHANNEL. Professor Austan Goolsbee was a guest on the Hannity April 23 in a segment titled “Are flight delays just another sequester stunt?” Watch video »
- THE WALL STREET JOURNAL. Associate Professor Emily Oster’s latest “Ask Emily” column was published April 22. One reader asked Professor Oster whether it’s a good idea to offer incentives to his 4-year-old daughter to encourage her to read. “The basic idea that incentives can be used to motivate behavior is a powerful one,” Professor Oster responded. “In the economics literature, and in parenting, there is a bit of a catch, however, when you face situations where you can’t provide incentives for the exact thing you care about. It comes up in studying teacher pay: one possible worry with paying teachers for better student test scores is they will focus only on test performance, and not really on learning.” Read article »
- FOREIGN AFFAIRS. Professor Steven Kaplan published an op-ed titled “The Real Story Behind Executive Pay; The Myth of Crony Capitalism,” in the May/June issue of this magazine. “Americans are understandably worried about economic inequality,” he wrote, “but CEOs’ salaries have not been the driver of that inequality. Rather, they have been buoyed by the same forces that have increased pay for others. Policymakers who want to narrow the gap between the rich and the poor by regulating corporations are likely to be disappointed and could even do unintended damage by undermining the ability of top public companies – important engines of the American economy – to attract and retain the best people.” Read article »
- CHICAGO MAGAZINE. Professor Austan Goolsbee was featured in a Q&A interview headlined “Austan Goolsbee: Back in Hyde Park, But Still Fighting for the White House,” published April 15. He was chairman of President Obama’s Council of Economic Advisers in 2010 and 2011. “Early in 2007, (President Obama) told me he was thinking of running for president and asked if I’d help,” Professor Goolsbee said. “My wife said, ‘You told me from the first time you met him, this guy was special. If he runs and loses you’ll be kicking yourself.’” Professor Goolsbee served as a campaign volunteer with the title senior economic advisor. “I told them not to pay me. ‘I have a job, put the money in Iowa.’” Read article »
- THE WALL STREET JOURNAL. Professor Steven Kaplan was named a member of the founding advisory board of the Private Equity Research Consortium, according to a news release posted on the newspaper’s website April 22. The consortium will focus on the interaction of scholars and industry professionals to improve data on and understanding of private equity, the news release said. Read article »
The Financial Times also published an article about the advisory board. Read article »
- MARKETPLACE RADIO. Professor Steven Kaplan was featured in a story titled “Why Apple – cash-rich and debt-free – is going to borrow money,” broadcast April 24. It’s less expensive to borrow, he said. “Some of this cash is sitting offshore, and because of the complicated tax law that we have, when they bring some of the money back into the United States, they pay an additional tax.” Listen to broadcast »
- BLOOMBERG NEWS. Professor Jean-Pierre Dube was quoted in an article about proposed legislation that would allow states to collect sales tax from out-of-state sellers for purchases over the Internet. For example, a purchase made by a consumer in Texas from a retailer in Massachusetts would be taxed at the Texas sales tax rate, with the tax to be collected by the Massachusetts retailer and sent to Texas. It is not clear that higher taxes will hurt sales for online retailers, the article said. “People are much more sensitive to the item price than they are to the taxes or the shipping rate,” Professor Dube said. “One reason people like to go online is because it’s more convenient,” he said, not because of the absence of taxes. The article, behind a pay-wall, was published April 21.
- THE HINDU BUSINESS LINE (India). Professor Raghuram Rajan’s remarks at the convocation of the Indian Institute of Management in Bangalore made news April 1. “By all means, set yourself ambitious goals,” he told the graduates. “But remember that, as both ancient Indian philosophers and modern-day behavior psychologists say, the achievement of narrow personal goals – greater wealth, rapid promotion, or increasing renown – rarely brings you anything other than brief pleasure. I don’t claim to know the secret of happiness, but this seems obvious – if you like the journey, if you get pleasure from the work you do, it matters far less when, or indeed whether, you reach your destination.” Professor Rajan is chief economic advisor to India’s Finance Ministry. Read article »
Section 3: Booth students and alumni in the news.
- BLOOMBERG BUSINESSWEEK. John Watson, MBA’80, was #2 on the magazine’s list of the highest-paid CEOs with MBAs, published April 23. As CEO of Chevron, Watson earned $32.2 million last year, according to Businessweek. His Booth degree was listed in the article. Read article »
- CHICAGO TRIBUNE. Root3 Technologies, co-founded by Archie Gupta, MBA’11, was featured in an article headlined “Energy fund to help Root3 stay put,” published April 18. Energy Foundry, whose CEO is Adjunct Assistant Professor Jason Blumberg, is infusing Root3 with $150,000, the article said. Other Midwest and Silicon Valley investors are chipping in an additional $600,000. Allison Hannon, a current Evening MBA student, is chief marketing officer of Root3, described as “a promising startup” by the Tribune. Read article »
- FORBES. The latest column written by Stella Fayman, MBA’14, was published April 25, headlined “The #1 Waste of Time for Entrepreneurs.” When startups fail, it is often because instead of focusing on creating substantial value for customers, the entrepreneurs focus on future problems contingent on their success, she wrote. Fayman is a serial entrepreneur who was a founding member of FeeFighters and founder of Entrepreneurs Unplugged. Read article »
- CRAIN’S CHICAGO BUSINESS. Joseph Sheils, MBA’05, was profiled in the Spotlight section April 22. He is senior vice president of retail banking at MB Financial Bank, Chicago. Sheils plans to focus on small business lending while making delivery of other loans more efficient, the article said. “How do we take this to the next level?” he said. “The economy’s coming back. The capital is there.” Read article »
- CHARISMA NEWS.COM. Wanderlust Productions, with Evening MBA student Braden Heckman as CEO, is raising funds for its newest theatrical film, Holy Ghost, according to an article published April 19. The company’s Kickstarter campaign has raised $126,000 to date. Read article »
- THE GOLF WIRE.COM. Gary Cohen, MBA’88, was named CEO of EZLinks Golf, according to an article published April 18. The company is the world’s largest golf reservations network and operator of the highest-volume tee time call center in the golfing industry. Previously Cohen was senior vice president of marketing and customer experience at Redbox. Read article »