summer 2000


Merton Miller: 1923-2000

The Thrill of the Next Big Thing

E-Commerce and the Future of Finance

class notes

A Lifetime of Achievement

A.B., Harvard University, 1944

Ph.D., Johns Hopkins University, 1952

Miller also received honorary degrees from nearly a dozen institutions in the United States and abroad.

Professional Awards and Scholarships
Fellow, Econometric Society, 1975

Fellow, American Academy of Arts and Sciences, 1989

Nobel Memorial Prize in Economic Sciences, 1990

Distinguished Fellow, American Economic Association, 1990

Senior Fellow, American Association of Financial Engineers, 1992

Positions Held
From 1961 onward, Miller taught finance and economics at the GSB. From 1966 to 1981, he served as Edward Eagle Brown Professor of Banking and Finance, and from 1981 to 1987, he was Leon Carroll Marshall Distinguished Service Professor. In 1987, he became the Robert R. McCormick Distinguished Service Professor. Upon his retirement in 1993, he became professor emeritus.

Before joining the GSB faculty, he taught at the Carnegie Institute of Technology (195361) and the London School of Economics (195253). He was also a visiting professor at the University of Louvain in Belgium and a visiting research professor at the University Faculty of Mons, Belgium.

Professional Activities

Miller’s professional affiliations included the following positions:

Member, American Economic Association, American Finance Association, International Association of Financial Engineers

Vice President, American Finance Association, 1975

President, American Finance Association, 1976

Associate Editor, Journal of Financial Economics, 19731983

Coeditor, Journal of Business, 19771989

Member, Advisory Board, Midland Corporate Finance Journal (now the Journal of Applied Corporate Finance), beginning in 1981

Public Director, Chicago Board of Trade, 19831985

Member, Board of Editors, Japan and the World Economy: International Journal of Economic Theory and Policy, beginning in 1987

Member, Board of Editorial Advisers, Journal of Accounting, Auditing, and Finance, beginning in 1988

Member, Advisory Board, Center for Pacific Basin Capital Markets Research at the University of Rhode Island, beginning in 1989

Public Director, Board of Directors of the Chicago Mercantile Exchange, 19902000

Member, New York Stock Exchange Advisory Panel on Market Volatility and Investor Confidence, 1990

Foreign Member, Royal Swedish Academy of Engineering Sciences, IVA, 1992

Member, Board of Overseers, Koc University, Istanbul, Turkey (first private Turkish university), beginning in 1994

Member, Advisory Board, Center for Japanese-U.S. Business and Economic Studies, New York University, 19941998

Executive Director, CME-CBOT Committee on Joint Strategic Initiatives, 19961998

An exhaustive bibliography of Miller’s published work would run for pages, but below is a selected listing of his writings. In addition, he was widely published in journals, including the American Economic Review, Journal of Finance, Journal of Business, Pacific-Basin Finance Journal, and Journal of Applied Corporate Finance.

“The Cost of Capital, Corporation Finance, and the Theory of Investment” (with F. Modigliani), American Economic Review, June 1958.

“Dividend Policy, Growth, and the Valuation of Shares” (with F. Modigliani), Journal of Business, October 1961.

“Taxes and the Cost of Capital: A Correction” (with F. Modigliani), American Economic Review, June 1963. Editor, Essays in Economic Semantics, by Fritz Machlup, Prentice-Hall, 1963.

Editor, Essays in Economic Semantics, by Fritz Machlup, Prentice-Hall, 1963.

Auditing, Management Games and Accounting Education (with R. Trueblood and N. Churchill), Irwin, 1964.

The Theory of Finance (with E. F. Fama), Holt, Rinehart and Winston, 1972.

Macroeconomics: A Neoclassical Introduction (with C. Upton), Irwin, 1974.

“Debt and Taxes,” presidential address delivered at the annual meeting of the American Finance Association, September 17, 1976. Journal of Finance, May 1977.

Coeditor (with R. H. Coase), Essays in Applied Price Theory, by Reuben A. Kessel, University of Chicago Press, 1980.

“Leverage,” Nobel Prize Lecture, Stockholm, Sweden, December 7, 1990. (Reprinted in Journal of Finance 46, 2. June 1991.)

Financial Innovations and Market Volatility, Basil Blackwell, 1991.

Merton Miller on Derivatives, John Wiley & Sons, 1997.

“Financial Markets and Economic Growth,” Journal of Applied Corporate Finance 11, 5. Fall 1998.

Coeditor (with Christopher L. Culp), Corporate Hedging in Theory and Practice: Lessons from Metallgesellschaft, Risk Books, 1999.

Related Stories:

Merton Miller Remembered
Miller’s colleagues, admirers, former students, and friends recall the man and his legacy.

A Tribute to Merton Miller
Eugene Fama, Robert R. McCormick Distinguished Service Professor of Finance, pays tribute to Merton Miller.

Merton Miller: A Giant of Modern Finance
Miller’s colleagues, friends, and former students recall the man and his lifetime of achievements.

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