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Mar 28, 2016
World Class Faculty & Research
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Central bankers in Japan and the Europe Union are at their wits' end in trying to figure how to generate demand and stave off deflation. Both banks have dropped interest rates into negative territory, encouraging spending by making saving literally costly. Yet the publics of the two economic regions have reacted differently. Each is unhappy for a different reason. Smith School professor Haluk Ünal explains...

Mar 16, 2016
World Class Faculty & Research
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Does the stock market encourage corporate conformity? Yes, according to new research from the Smith School. Managers have an incentive to ape the strategies of other companies in order to increase the informational value of their own stock price, according to a new paper co-authored by finance professor Laurent Frésard. Read more...

Mar 03, 2016
World Class Faculty & Research
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The debate over whether Great Britain should exit the E.U. — to "Brexit" or not to "Brexit"? — is rippling outward from Europe into the world's major financial markets. Proponents of an exit think that Britain can follow the model of Switzerland, negotiating good trade deals with E.U. nations individually. But the Smith School's Albert "Pete" Kyle thinks the the E.U. will be inclined to make things tougher than that for...

Feb 25, 2016
World Class Faculty & Research
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Smith School professor Clifford Rossi had a front-row seat at the 2008 financial crisis, the subject of the film "The Big Short," which has been nominated for Best Picture in the 2016 Oscars. He shares his historical insights on the film. Read more...

Feb 01, 2016
World Class Faculty & Research
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U.S corporations are sitting on some $3 trillion in cash, which some commentators view as an economic mystery. Why aren't they investing that money productively — in factories or in R & D? And would the economy see a positive bump if they did? Michael Faulkender, a professor of finance at the Smith School thinks much of the answer has to do with tax-avoidance strategies....

Jan 21, 2016
World Class Faculty & Research
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Several Republican presidential candidates have endorsed — or said they'd consider — putting America back on the gold standard. Sen. Ted Cruz has been the most outspoken, arguing that pegging the dollar to gold would make monetary decisions less arbitrary than the ones currently made by the Fed. Professional economists, however, overwhelmingly reject the idea that the dollar should be tied to the price of gold....

Jan 21, 2016
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The stock market has already fallen 9 percent in the new year, but worries about a full-blown economic crisis are alarmist, a Smith School expert argues.

Jan 20, 2016
World Class Faculty & Research
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Multinational American companies with significant operations in countries with low corporate taxes take on less debt than companies that face higher taxes, according to a new study from the Smith School. A link between higher corporate taxes and debt levels is predicted by economic theory, but some recent studies have failed to find such a connection. In this new study, however, the authors assume U.S. companies will...

Jan 11, 2016
World Class Faculty & Research
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In Switzerland, some customers are watching their bank accounts shrink each month, even if they don't make any withdrawals. In Denmark, when you repay your loan you don't add interest to the payment, you subtract interest. The banks are literally paying people to borrow money. This is the strange new world of negative interest rates. It's a byproduct, according to Smith School professor Haluk Unal...

Jan 07, 2016
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Global markets have fallen into a crisis that reminds George Soros of 2008, the billionaire investor said today at an economic forum in Sri Lanka. His opinions carry weight, but not everyone agrees with the alarmist tone. "It isn't clear to me that this is another 2008 crisis,” says Kristen Fanarakis at the Center for Financial Policy. Read more......

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