-
Are Shareholders Indifferent To Data Breaches? - By Ingo Walter
It seems investors don’t much care about the impact of data breaches on stock prices. This confounds the idea that the first line of defense against cyber-attacks should be market discipline - channeled from investor reactions through asset managers’ portfolio decisions, board governance and manager action - to get much more serious about cyber-safeguards. The evidence suggests the market-discipline defense is a lot weaker than it should be.
—— Opinion
-
Day-Trading Reality Check: Humans are Poor Investors and even Worse Traders - By Vasant Dhar
—— Opinion
-
India Inc's Rising Cost of External Capital - By Marti Subrahmanyam
"India needs external capital to grow. This has been true since the early years of Central planning following independence when India relied on external debt raised mostly by its Central and state governments from foreign governments and multilateral agencies (like the World Bank). Until the liberalisation of the economy in 1991, few Indian companies were able to do so. In the 1990s, these companies finally began to raise external equity and debt capital, mostly through Global Depositary Receipts (GDRs) and Eurobonds. After the first Indian companies were listed on stock exchanges in the United States in 1999, equity funding took the form of American Depositary Receipts and Foreign Portfolio Investment."
—— Opinion
-
If the Fed Puts its Stress Test Results in the Shadows, It Will Backfire - By Kim Schoenholtz
"The Federal Reserve said last week that it plans to limit the disclosure of this year’s large bank stress tests. An announcement of the results is due later today. If it goes ahead with the plans, they are likely to prove self-defeating. Failure to disclose the individual banks’ outcomes of this year’s Covid-19 'sensitivity analysis' tests will weaken the credibility and effectiveness of the Fed’s stress testing regime. To put it bluntly, the main point of a supervisory stress test is disclosure. Anything short of full transparency risks financial instability."
—— Opinion
-
The Main Street Manifesto - By Nouriel Roubini
"The mass protests following the killing of George Floyd by a Minneapolis police officer are about systemic racism and police brutality in the United States, but also so much more. Those who have taken to the streets in more than 100 American cities are channeling a broader critique of President Donald Trump and what he represents. A vast underclass of increasingly indebted, socially immobile Americans – African-Americans, Latinos, and, increasingly, whites – is revolting against a system that has failed it."
—— Opinion
-
Debt Is Not Always Odious: A Theory of Repression and Growth Traps - By Viral Acharya
"Many theories of international borrowing emphasize better risk sharing and the ability to draw on international savings to finance domestic growth as the two main advantages of international borrowing for a country (see for example Kletzer and Wright 2000). The first is achieved for example in case of an economic or natural calamity, when a country can then borrow to smooth consumption. Yet, it has proven difficult to empirically establish a positive correlation between a developing country’s use of foreign financing and good outcomes such as stronger economic growth (see Aizenman et al. 2004, Prasad et al 2006, and Gourinchas and Jeanne 2013). What are possible explanations for the divergence between theory and evidence?"
—— Opinion
-
Stocks In The Post-Covid World: What Now for Investors? - By Vasant Dhar
—— Opinion
-
Why We Need More Black Voices in the C-Suite - By Michael Posner
In an op-ed, Professor Michael Posner writes about the need for more Black voices in the C-suite.
—— Opinion
-
COVID-19 Models Should Account for Transmission in Nursing Homes, New Analysis Concludes - By Srikanth Jagabathula
Models of COVID-19 spread should include the transmission of the virus in nursing homes and other long-term care (LTC) facilities, concludes a new analysis co-authored by Lakshminarayanan Subramanian, a professor in the Courant Institute of Mathematical Sciences, and researchers at Weill Cornell Medicine. Professor Srikanth Jagabathula of NYU Stern School of Business contributed to the paper.
—— Research Highlights
-
When More Information Leads to More Uncertainty - By Geeta Menon
"Will colleges and universities restart in-person classes this fall? Will there be a vaccine for the novel coronavirus soon? Will there be second wave of the virus? Do I wear a mask outside even if I plan to socially distance? How can I figure out which news sources and leaders to trust? Every day we are faced with a torrent of information from news articles, cable networks, social media, the White House, the Center for Disease Control – and yet, there are no clear answers."
—— Opinion
-
Machine Learning Won’t Crack the Stock Market — But Here’s When Investors Should Trust AI - By Vasant Dhar
—— Opinion
-
Who Moderates the Social Media Giants? A Call to End Outsourcing - By Stern Center for Business and Human Rights
A new report from the NYU Stern Center for Business and Human Rights examines how social media companies have outsourced the critical function of content moderation to third-party vendors and offers recommendations for improvement.
—— Research Highlights
-
How Northern Ireland Could Provide a Model for Reforming American Policing - By Michael Posner
In an op-ed, Professor Michael Posner writes about how Northern Ireland could provide a model for reforming American policing.
—— Opinion
-
COVID Makes Tech Policy Like CDA 230 More Important Than Ever - By Arun Sundararajan
"The most important and influential piece of tech legislation ever, Section 230 of the 1996 Communications Decency Act (CDA 230), is under fire. The policy, which immunizes a digital platform from liability associated with the content created by its users, is the regulatory bedrock on which the digital economy has been built. It has enabled the birth and growth of media platforms such as Google, YouTube, Facebook and Twitter, crowd-created information services like Wikipedia, online review sites like Yelp and TripAdvisor, and recent sharing economy stalwarts like Airbnb, Uber and DoorDash."
—— Opinion
-
If The DOD Wants Ligado's Spectrum, It Should Buy It - By Lawrence White
"The U.S. Federal Communications Commission recently approved long overdue modifications to Ligado Networks' spectrum licenses that will allow the company to build out a 5G network. Ligado's 35 MHz of mid-band spectrum represents a significant contribution to U.S. leadership in 5G. The FCC's decision is the culmination of a multiyear proceeding during which Ligado made many concessions to address industry and government concerns about interference with GPS devices in an adjacent spectrum band."
—— Opinion
