by Senior Communications Writer Matthew O’Rourke, Yale School of Management
For most of the week, 76 students from business schools around the world have gathered at Evans Hall to explore behavioral finance and marketing strategies. On March 5, they left the classroom for a first-hand look at the U.S. business capital, traveling to New York City for discussions with executives from three leading corporations.
Read the full post on Yale SOM’s Community Blog.
By David Bach, Senior Associate Dean at Yale School of Management
After five exciting days in Africa, I arrived in Turkey to meet prospective students and to reconnect with local alumni. The Istanbul “meet & greet” with prospective students for our MBA program had barely begun when I was starkly reminded how interconnected our world is. As one candidate explained that he currently works in project finance on a $5 billion refinery in Western Turkey, the candidate sitting next to him asked me bluntly if I thought such a project could move ahead even if the tapering of quantitative easing by the US Federal Reserve drove up Turkish interest rates. I remembered reading a few weeks earlier comments by Indian central bank head Raghuram Rajan who echoed the sentiment across many emerging markets that Fed policy imposed considerable externalities on the rest of the world. Just as ultra loose monetary policy in the US in the wake of the financial crisis had made lots of cheap capital available to fuel emerging market growth, tapering now sparks the fear money will equally quickly flow out again. Indeed, Turkey’s current account deficit rose to 7.1 percent of GDP in 2013, the currency keeps sliding, and the central bank has been forced to nearly double interest rates and moving them into double digit territory.Read the full post on Yale SOM’s Community Blog.