Nominating Committee number for the Nobel Prize in Economics Professor Kose John visited our Dep.
Date: 2019-06-27

On the morning of June 21, at the invitation of the Faculty of Economic and Finance Association of Southern University of Science and Technology(SUSTech), Professor Kose John, who is the Charles William Gerstenberg Professor of Banking and Finance at the Stern School of Business, New York University, and Nominating Committee number for the Nobel Prize in Economics, visited the Department of Finance and made an academic report on ‘Institutions and Innovation’.

 Nominating Committee number for the Nobel Prize in Economics Professor Kose John visited our Dep.

    In this research, they analyze two models to study the effects of institutions on innovation activity in private firms. They analyze the role of legal structure, taxation, and organization form for social welfare when corporations impose externalities on non-financial claimants.

 

    In one model they take the legal system as exogenous. In the second model, the intensity of regulation is optimally determined along with the other institutions. The legal structure, taxation and the organization form alter the sharing rule between the corporate owners and the non-financial claimants. The sharing rule, in turn, affects the externalities imposed by corporations on the society at large.

 Nominating Committee number for the Nobel Prize in Economics Professor Kose John visited our Dep.

    They examine the effect of legal structure in the design of the socially desirable tax rate when firm optimally choose their organizational form and their innovation level. They show that low corporate tax rates prevail in environments with strong legal protection, whereas countries with poor legal structure, on an average, have higer corporate tax rates and how organization design can promote higher levels of innovation.


Biography: Kose John is the Charles William Gerstenberg Professor of Banking and Finance at the Stern School of Business, New York University. He is also the director of NSE-NYU Stem Initiative on the study of Indian Capital Markets and the coordinator of Indian Initiative of the center for Global Economy and Business (CGEB). He holds a Ph.D. from University of Florida. He has also taught at the University of Chicago, Columbia University, and Institut D' Etudes Politiques de Paris (Sciences PO). He has won several awards including the Batterymarch Fellowship in 1983 and the Jensen Prize for the Best Paper published in 2000 in the Journal of Financial Economics. He is on the Nominating Committee for the Nobel Prize in Economics for 2016-2019. He is the author of two books (on futures markets and dividend policy) and the editor of 26 books and special issues of finance journals, on topics such as financial stability, financial distress, and valuation of distressed securities, corporate governance, and investments innovations in finance. He has published over 103 research articles in the major finance and economics journals. His recent research focuses on banking, financial crisis, corporate governance, top-management compensation, and financial distress, valuation of distressed claims, and comparative bankruptcy and governance systems. He has completed 57 Working Papers in addition to his published work. He serves as the President of the Financial Management Association International. He also serves as the Program Chair of the Association of Financial Economists. He has been a mentor and advisor to a large number (90) of doctoral students who are finance professors and finance practitioners all over the world.