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Northwestern University - Department of Economics Graduate Connection Vol. 16 No. 3 March 2011

News ...... 1 News five and above are not eligible for TGS Events ...... 3 summer funding.) Teaching...... 4 TGS has set us a budget constraint of 48 Formal Announcements ...... 8 Mortensen Conference summer fellowships. We have a total of 67 Funding Opportunities ...... 10 students in years 2 through 4. The first Notes ...... 10 A conference honoring Professor Dale priority is those students guaranteed Mortensen will be held at the Allen Center summer funding in their offer letters on Friday April 15 and the morning of (typically those given a University Saturday April 16. The program can be Fellowship in their first year). Of course seen at a link from the front page of the some students obtain paid RAships and Department’s web site. So that we can others work away from Evanston. plan for the numbers attending, free Consequently, in the past few years we registration is required by Monday April 4. have (just) managed to fund all eligible A handout detailing how you can register is students seeking summer funding. in your mailbox. We cannot guarantee that we will not In addition to the speakers, other leading have to ration this summer. Students, researchers will be attendance, as will especially those admitted without a many alums of our PhD program. University Fellowship, can obtain certainty of funding by seeking out paid RAships Nemmers Prize from Economics or Kellogg faculty. Irrespective of your initial funding, you The winner of the 2010 Erwin Plein have to have met the Department’s usual Graduate Connection Nemmers Prize in Economics, Elhanan progress goals to obtain funding. That is to Department of Economics/NU Helpman of will be on say that you need to have made sufficient campus from April 20 to May 16 (in room progress to have been eligible to be a TA 307). The biennial honor is bestowed on in the current academic year. an outstanding who has yet to The application form for summer win the Nobel Prize. Professor Helpman’s funding should be submitted between May work deals with international trade, 1 and May 15. You will receive an e-mail Published 3 times a year in , and the political on May 1 with more details and a link to September, December and March economy of trade policy. the form. by: His Nemmers Prize lecture is on April 28 at 3:30pm at the Allen Center. See the New Faculty Department of Economics “Events” section for more details. Northwestern University Professor Helpman will also be here in the 2001 Sheridan Road Seema Jayachrandran will join the Spring Quarter of 2012. During that visit Department as an Associate Professor in Evanston, IL 60208-2600 we will be holding the Nemmers Prize www.econ.northwestern.edu September. She works in development conference. economics, and joins us from Stanford University. Ian Savage, editor Summer Funding The hiring process for Assistant 847-491-8241 Professors is still continuing, so there may [email protected] The Graduate School (TGS) provides us be additional good news to come. with a quota of summer funding slots for second through fourth year students. (Funding for the summer at the end of the first year is detailed in a student’s admission offer letter. Students in years March 2011 Graduate Connection O 2

Visitors institution are hiring less than last year. enrollments. This means that we are Demand in Europe continues to be robust. normally able to fund all eligible students Pierre Dubois, Stephan Lauerman All but one of our students has already as TAs within the Department and the and Sebastian Buhai remain with us, the received at least one offer. But the market MMSS Program. latter moving back to room 3235 for the seems to moving a bit slower than usual The Department wants to make it very Spring Quarter. this year and therefore many of our clear that it is inappropriate for graduate Visiting for the entire Spring Quarter students have yet to make their decisions. students to conduct private arrangements to will be macroeconomist Thijs van Rens However, some students have already TA for faculty in other departments. If you from Universitat Pompeu Fabra in Spain. decided: are approached in this way, direct the He will be in room 3225. Andrea Ajello - Federal Reserve Bank faculty member to contact our Associate Other macroeconomists will also be Board of Governors, Washington DC Chair. visiting for shorter periods. These visitors, Matthias Kehrig - University of Texas, and with Professor van Rens, will be Austin Computer Lab giving lectures to a special graduate Shiran Rachmilevitch - University of student class. See Economics 498-1 in the Haifa, This summer, as part of our routine “Teaching” section for details. The Michael Roach - Middle Tennessee State replacement of computers in the computer visitors are: Michele Tertilt from Stanford University lab, we will be retiring the four oldest University for the weeks of April 18 and Kota Saito - California Institute of machines. As in the past we will schedule 25, Juan Rubio-Ramirez of Duke Technology the installation of new machines during the University and Jesus Fernandez- Twan Hwee Sng - National University of quiet period of late July and early August. Villaverde of the University of Singapore (post-doc at Princeton Full details including the possible auction Pennsylvania who will both be here for the University 2011-12) of the existing four-year-old machines to weeks of May 9 and May 16, and Martin Cristina Tealdi - IMT Institute for interested graduate students will be Schneider of Stanford University who will Advanced Studies, Lucca, Italy circulated closer to the time. be here for the week of May 16. Andre Trindade - Bates White, As you will be aware the server that Theorist Jayant Vivek Ganguli from Washington DC controlled printing in the computer lab has Cambridge University will be from March and one of our students from a couple of failed. We do need to maintain some 21 to April 22. Econometrician Jack years ago, John Parman, who had taken a control over printing. Prior to installation Porter from the University of Wisconsin post-doctoral fellowship has accepted a of the most recent software, printing was will be here for the week of April 11. The tenure-track position at the College of uncontrolled and we were unable to afford Center for the Study of Industrial William and Mary. to replace the computers because all of the Organization welcomes Steven Berry of One of the Kellogg students on the budget was spent on printer toner. A Yale University for the week of May 16. economics market has accepted a position: technological solution is in the works and Historian Jans-Joachim Voth from Mauricio Varela - University of Arizona will probably be operational around Spring Universitat Pompeu Fabra will be here Students who intend to be on the job Break. Because the exact nature of the from April 26 to May 13. market next year, or are just curious about software is not entirely clear yet, you In addition, Nemmers Prize Winner what it entails, are encouraged to attend an should expect to see an e-mail with Elhanan Helpman will visit from April 20 orientation on Tuesday May 17 (see in the detailed instructions in the next week or so. to May 16, Department-wide seminar “Events” section below). speaker Christopher Sims will be here on Web Site Photos May 2 and 3, and Bies lecturer David TA Duties in Other Departments Cutler will be here on May 19. See The Department’s web site will be separate “News” or “Events” listings for The Department has a policy that any redesigned over the next few months. One more details. other Departments that desire to hire an of pages has pictures of the graduate Economics student as a Teaching Assistant students. Most of these pictures are Placement Report must discuss this with us first. scanned from our original hard copy This is partly to ensure that only publication. You can update your picture. students who are making appropriate To do so, note that: Professor Aviv Nevo, Director of progress in their studies are funded, and - photo can be color or black-and-white Graduate Placement, reports that the partly because the Department must ensure - it should be a passport-style head shot market for new PhDs has only partly that our own faculty and classes receive - No hats or sunglasses recovered. Demand at many top academic first priority. WCAS has been very - A neutral plain background (preferably departments and in the private sector is up, generous in providing us with TAships to light colored) is best but many states schools and government support our large undergraduate March 2011 Graduate Connection O 3

- Remember that this is a business web site will be allocated to non-job-market fifth Mortensen Conference not your Facebook page year students. - Ratio of width to height is 1:1.2 A conference honoring Professor Dale - Crop and reduce your picture to 125 Eisner and Bies Awards Mortensen will be held at the Allen Center pixels wide by 150 pixels high on Friday April 15 and the morning of - Name it Lastname.jpg (note that your last The Department has establish a more Saturday April 16. See the “News” section name should have the first letter only formal timetable for deciding on the for more information. capitalized, and jpg is in lower case) winners of the Eisner Fellowship (awarded - e-mail as an attachment to Ian Savage annually to a graduate student who has Schwartz Lecture distinguished him- or herself in both teaching and research) and the Bies Prizes The annual lecture series organized by Students Working on NSF Grants (given to the best public policy papers the Kellogg School of Management to presented as part of the Economics 501 honor the late Nancy Schwartz will be at Under new federal legislation, the seminar). A committee, chaired by DGS 5:00pm on Wednesday, April 27 in National Science Foundation (NSF) has Elie Tamer will meet in late August. The Leverone G40. This year’s lecturer is started requiring all students supported by period for nominations will run from June Daron Acemoglu of MIT. His talk is NSF to undergo training in the responsible 1 to August 15, and the winners will be titled “Why Nations Fail.” conduct of research. This will be announced by August 31 with the formal accomplished by a one-time registration in awards given out at the Fall Buffet. Nemmers Lecture ECON 519 that has two components: an online class and a "face-to-face" Spring Seminar Schedules Professor Elhanan Helpman, the component. The online part asks the winner of the Nemmers Prize will be student to complete a 2-3 hour online class The experimental workshop schedule giving a lecture titled “Income Distribution administered by a private company that initiated in the Fall Quarter, will continue and Foreign Trade and Investment” on Northwestern has hired. DGS Professor this Spring with a few minor modifications. Thursday, April 28 at 3:30pm in the Elie Tamer will lead the face-to-face part On Mondays the Macroeconomics McCormick Auditorium of the Allen of the class. workshop will be held in AAH 3245 from Center. The lecture will be followed by a If you are being supported on an NSF noon to 1:20pm. The Monday/Wednesday reception. It is not necessary to make grants for the first time, please contact afternoon PhD class in 3245 will start at reservations for the lecture or reception. Professor Tamer for instructions. 1:30pm and run until 3:20pm. The Industrial Organization workshop will then Department Wide Seminar Prospectus Deadline Change start at 3:30pm. The next distinguished visitor in our The Department has decided to push Department-wide seminar series is back the deadline for students to complete Events Professor Christopher Sims of Princeton their prospectus in order to qualify for University . He will be visiting and giving fourth year funding from July 31 to August two talks on Monday and Tuesday May 2 31. The deadlines for funding for other Open Day and 3. Both talks will be at 3:30pm in years are unchanged. While the deadline AAH 3245. He has worked in many fields has been extended, students are still The annual Open Day for prospective including behavioral economics and encouraged to compete their prospectus as PhD students will be held on Friday, April neuroeconomics.. early as possible earlier in the summer as 8. Graduate students who would like to the Fall funding period starts September 1. assist in welcoming prospective students Early completion of the prospectus will should contract Mercedes Thomas, or Second & Third Year Orientation avoid any delays in getting paid or being Professor Igal Hendel, the Co-Director of sent a unnecessary tuition bill. As a Graduate Admissions. The day will Professor Elie Tamer, the Director of consequence, the Department will be culminate in a reception to which all the Graduate Studies, will be holding unable to make funding decisions for non- graduate students and faculty are invited. mandatory meetings for the second and job-market fifth years until after August The reception will start about 5:30pm and third year students on Tuesday, May 10. 31. will be held at the John Evans Alumni He will cover important deadlines, degree Because Fall funding starts on Center which is at the corner of Clark requirements, and funding availability. He September1, the Department cannot extend Street and Sheridan Road. will also answer your questions. The the funding deadline beyond August 31. meetings will be held in Andersen 3245. After August 31, remaining funding slots March 2011 Graduate Connection O 4 Second year students should attend from Teaching renegotiation-proofness, type-dependent 5pm to 5:30pm, and third year students participation constraints, bandit auctions, from 5:30pm to 6pm. dynamic pivot mechanism, and competing Next Year’s Course Schedule principals. The second part examines models of Job Market Orientation We are still working on the teaching coordination under incomplete schedule for next year. The schedule of information: global games, equilibrium Students who are thinking about going courses will be posted on our website at the selection, higher order uncertainty, beauty on the market next year should attend an start of Spring Quarter. introductory meeting scheduled for 5:00pm contests, social value of information and coordination. on Tuesday, May 17 in Andersen 3245. This Quarter’s Course Descriptions Professor Aviv Nevo, the Director of Evaluation is based on two problems Graduate Placement, will provide an sets and a final take-home exam. The Department has a policy to avoid orientation for those considering going on excessive awarding of incomplete grades. the market in the fall. However, any Please see our web site for a complete student in the third year and beyond who is Economics 415-2 statement. Report any problems to the curious about the job market process is Advanced Microeconomics Director of Graduate Studies. welcome. Professor Ely TTh 1:30-3:30 AAH 3204 Bies Lecture Economics 412-2 The course will survey recent research Economic Theory and Methods This will be the fourth year of the in behavioral economics. Topics will Professor Olszewski include: non-standard time preference, annual Susan Bies (PhD, 1972) MW 9-11 AAH 3204 departmental lecture on economic policy. memory constraints, other-regarding preferences, self-control problems, and The lecture will alternate between macro The course will comprise some topics and micro-oriented lectures. others. Some emphasis will be placed on from the frontier of research in economic evolutionary foundations. This years speaker will be David Cutler theory. The material will typically be more from Harvard University. He will be Readings will be decided on and advanced than is given in, for example, distributed in class. Students will be talking about health care reform. The Game Theory by and Jean lecture will be in the late afternoon on required to make one in-class presentation Tirole (MIT Press, 1991). The topics will and to write a paper. Thursday May 19. The exact time and be selected - jointly with students - from location will be notified closer to the date. the following list: (1) cheap talk, herd The lecture will be followed by a behavior, reputational and informational reception. Economics 416-2 cascades; (2) classic models of repeated Advanced Macroeconomics games; (3) repeated games with private Professor Matsuyama Field Course Meeting monitoring, and repeated games with TTh 11-1 AAH 3245 continuous time; (4) reputations; (5) An orientation session for students higher-order beliefs, implications for game The focus of the course is mostly on entering their second year will be held on theory and mechanism design; (6) search macroeconomic growth and development. Monday, September 19 from 1pm to 4pm theory; and (7) strategic manipulation of It can be taken independently of 416-1. in Andersen 3245. The session will empirical tests. Other topics may be added. Topics will be chosen, partly based on the discuss the 501 requirement, funding Evaluation will be based on several interest of students, among the following: criteria, and include presentations on each problem sets and a final exam. (1) endogenous technological change: of the field course sequences that you can innovation, R&D, and technology take in both the Economics Department adoption; (2) models with nonhomothetic and KSM. Prospective second year Economics 414-3 preferences: structural change, demand students who also expect to be Teaching Economics of Information composition, North-South trade; (3) Assistants will need to return to Evanston Professor Pavan imperfect credit market; aggregate the previous week for mandatory training MW 1:30-3:30 AAH 3204 implications (development traps and macro (see “Formal Announcements” section). volatility), inequality across households The course has two parts. The first part and nations, effects on international capital covers advanced topics in information flows and trade, modeling liquidity demand economics and in particular in the theory of and supply, financial crises, and bubbles mechanism design: envelope theorems for (causes and consequences) stochastic dynamic problems, ratcheting, March 2011 Graduate Connection O 5

Readings include lecture slides, journal The course grade will be based on (economics of the family and macro- articles and working papers, as well as problem sets and a term paper. The development), Juan Rubio-Ramirez, Duke selected chapters from Daron Acemoglu principal texts are C.A. Pissarides University (DSGE modeling, Introduction to Modern Economic Growth Equilibrium Unemployment Theory (MIT computational economics, and ( Press, 2008); Press, 2000, 2nd edition) and D.T. econometrics), Jesus Fernandez- Holmstrom and Tirole Inside and Outside Mortensen Wage Dispersion: Why are Villaverde, University of Pennsylvania Liquidity (MIT Press, 2011), and Aghion similar people paid differently? (MIT (DSGE modeling, computational and Durlauf (eds.) Handbook of Economic Press, 2003). economics, and econometrics), Martin Growth (Elsevier North-Holland, 2006). Schneider, Stanford University (monetary (No need to buy these books, as the economics and financial economics), and relevant chapters will be made available.) Economics 450-3 Thijs van Rens CREI (macro-labor). Depending on the class size, evaluation Industrial Organization and Prices Evaluation will be through a term paper is based on a class attendance and Professors Hendel and Whinston to be written on a topic covered by one of participation, and a class presentation (for MW 1:30-3:30 AAH 3245 the lecturers. Readings will be announced a small class, no more than six registered by the individual lecturers. students) or a take-home exam (for a larger The first part of the course will cover Because of the nature of instruction, class). A research proposal is occasionally papers in several areas: 1) empirics of class will not meet every week. Please allowed instead of the class presentation contracts, and 2) estimation of dynamic IO contact Professor Doepke, who will act as and/or take-home exam. models. The former will cover empirical coordinator, for a schedule. Students need attempts at testing contract theories, to enroll in the course for letter grade. including hidden information as well as However, it cannot be combined with any Economics 440-3 incentive models. The latter covers other class to form a sequence in Economics of the Labor Market dynamic estimation methods and their macroeconomics. Professor Mortensen application to IO. MW 5-7pm AAH 3245 The second part of the course will cover issues related to antitrust (e.g., merger Finance 486 The goal of the course is to integrate the policy and vertical contracting issues), and Seminar in Corporate Finance theory and empirical literatures on wage depending upon time, may also cover Professors Fishman and Krishnamurthy dispersion and unemployment issues related to intellectual property, TTh 1:30-3:30 AAH 4214 determination and to use the results to network effects, and/or strategic study the effects of labor market policies precommitment. The general topics include corporate on both. Models of labor turnover, job financing and investment decisions, flows, unemployment duration and optimal financial contracting, financial incidence, job creation and destruction, and Economics 481-3 intermediation, and law and finance. In the cross firm productivity dispersion are Econometrics context of these topics, the course will developed and studied. The empirical Professor Tamer examine the implications of incentive focal points of interest are high problems, asymmetric information, taxes, unemployment in Europe, wage dispersion Course cancelled. and product market competition. The in the US, and the restructuring process in course will devote special attention to the both. These topics are all studied within topic of financial intermediation and the context of a general search and Economics 498-1 financial crises. The course requirements matching labor market equilibrium Advanced Topics will include problem sets, referee reports, framework. Empirical content will Professor Doepke (coordinator) and a final exam. emphasize studies based on worker TTh 9-11 AAH 3204 unemployment and job duration data and matched worker-employer panel data. This is an advanced topics course in Finance 520-0 The course is designed for students of macroeconomics and will be taught by Seminar in Finance labor and macroeconomics. The course visitors to the Department of Economics. Professors Andersen and Eberly requires a knowledge of dynamic Each visitor will lecture for one or two TTh 3:30-5 AAH 4214 optimization techniques and stochastic weeks. Topics will vary by lecturer, and process theory at the level of Stokey and will generally cover issues close to the The first part (Professor Andersen) Lucas Recursive Methods in Economic current research interests of each presenter. focuses on pricing options on equity and Dynamics (Harvard University Press, The lecturers are Michele Tertilt, Stanford foreign exchange when the underlying 1989). University/Mannheim University price process is subject to stochastic March 2011 Graduate Connection O 6 volatility and jumps. It discusses how to bond risk premia, and (5) effects of market intermediaries, the development of obtain closed-form solutions via imperfections, such as, illiquidity, prediction markets to improve corporate restrictions on the price dynamics or transaction costs, and short-sell restrictions. and public decision-making, and the preferences as well as Monte Carlo The course emphasizes studying the classic rationale for government policies intended methods. The class then explore a recent literature and a set of working papers that at mandating information disclosure and class of derivatives representing pure plays characterize observed movements in protecting consumers. Each topic will be on volatility, e.g., the market for variance security prices as well examining various illustrated through examples from different swaps, also related to the highly publicized statistical tests to determine whether fields, including industrial organization, VIX index, released by the CBOE. markets are efficient (that is, to what extent financial economics, public economics, the Finally, it examines the so-called variance the models conform to data). economics of contracts and incentives, law risk premium and its manifestation in Course grade will be based on writing and economics, organization economics, general asset pricing, including the equity referee reports on several working papers, and the emerging field of macroeconomics risk premium. There will be group class presentation of a paper, and on with dispersed information. homeworks and a referee report or longer problem sets. There will be optional This course is targeted not only to paper for this part of the course. tutorial sessions on MATLAB, which will students who would like to pursue research The second half of the course (Professor help in doing some of the problem sets on information issues in these fields of Eberly) introduces corporate finance and where students will reproduce the work of applied microeconomic theory, but also to asset pricing models with capital. This a paper with up-to-date data. students who are interested in doing section addresses optimal investment with empirical research in applied various types of capital frictions, such as microeconomics. adjustment costs and irreversible MECS 449-2 The format is a mix of lectures and investment, under uncertainty, and includes Economics of Organization student presentations. There will be real options models. Equilibrium (for Professor Li assignments to write critical reports on macroeconomics and asset pricing) topics Th 9-12 LEV 619 research papers. include production-based asset pricing, multi-sector models, capital liquidity and This course discusses classic papers and reallocation, and equilibrium approaches to some recent research in organizational MECS 460-3 real options, including empirical economics. The purpose of covering these Foundations of Management Economics applications and testing. papers is to help the student build up their Professor Herold toolbox as an applied researcher and also to T 1:30-3:30 LEV 586 bring the student to the frontier of research. Finance 530 Topics include: contract theory, This course is complementary to Empirical Asset Pricing tournaments, dynamic and relational Economics 410-3 with a small amount of Professor Bandyopadhyay contracts, learning, career concern, overlap. It covers conflict and cooperation Th 6:30– 9:30pm Room TBA matching and assignment, hierarchies, among rational decision makers in asymmetric information and training. economic, political and social systems. This course is an introduction to the Students can take this coutrse without Topics include games in extensive and models and techniques required to do having taken MECS 449-1. Evaluation will normal forms, rationalizability, Nash empirical research in asset pricing. The be based 50% on a term paper and 50% on equilibrium and refinements, Bayesian aim is to survey the empirical facts paper write-ups. Readings are from journal games, learning in games, evolutionary observed in the capital markets and to articles. game theory, and bargaining solutions. familiarize students with the classic Evaluation will be by several problem economic ideas of portfolio choice and sets and a final exam. Selected readings pricing of securities to model them. The MECS 449-3 will be announced in class. Useful course has a broad coverage and a long Information in Markets and Organizations textbooks for reference are Roger reading list. Topics include (but not Professor Ottaviani Myerson Game Theory – Analysis of limited to): (1) multifactor models for Organizational meeting: Thursday 1-3, Conflict (Harvard University Press, 1997), understanding the cross-sectional pattern of March 31 in 619 Leverone. or Osborne and Rubinstein A Course in average equity returns, such as value- Game Theory (MIT Press, 1994), or growth and momentum effects, (2) time The course covers recent developments Fudenberg and Tirole Game Theory (MIT variation in asset returns and return in research on how dispersed information is Press, 1991) predictability, (3) stochastic nature of aggregated in markets and organizations. volatility and volatility risk premium, (4) Special emphasis will be placed on the term structure of riskfree interest rates and strategic incentives for information March 2011 Graduate Connection O 7

MECS 462 MECS 466 Marketing 530-3 Decision Theory Social Choice and Voting Models Topics in Quantitative Marketing and Professor Hu Professor Egorov Economics Th 2-5 LVR 586 M 1:30-4:30 LEV 561 Professor Nevo T 9-11 LEV 488 This course on decision theory focuses The course focuses on collective on axiomatic theories of individual decision-making. It starts with classical This course will review major decision making under risk and results from social choice theory, and then contributions and recent developments in uncertainty. The course briefly explores looks at strategic behavior in voting quantitative marketing and economics. It utility theory under certainty and the notion models, and in particular committee voting will cover some classical papers, as well as of preferences and their representation, and agenda-selection and legislative more recent working papers. The then progresses to the classic theories of bargaining. Towards the end of the discussion will cover a wide range of decision under risk and uncertainty: von quarter, these models will be applied to applied topics and methods and aimed at Neumann and Morgenstern, Anscombe and various issues such as information advanced, second and third year, students Aumann, and Savage. This lasts roughly aggregation in voting, choosing voters, and interested in the intersection of Marketing half the course and constitutes a basic models of dynamic with and Economics. A principal purpose is to grounding in the subject. From there the voting. generate research ideas and get students course explores topics that expand on the Students are expected to attend and started on dissertation work. classical work and are nearer to the current participate in class discussion. There will research frontier. These topics may include be a few homework assignments. By the Allais Paradox, Prospect Theory and end of the quarter, students are expected to Operations 470 Machina's approach; Ellsberg's paradox, write a paper which either explores an Operations Economics uncertainty aversion, and Gilboa and original idea, or has a critical review of Professor Shin Schmeidler representations; dynamics - several related papers. Th 1-4 LEV 536 Bayesian updating, consistency, The textbook is Austen-Smith and Banks preferences over the timing of the Positive Political Theory (University of It is a seminar course. Students are resolution of risk/uncertainty; and notions Michigan Press, 2000 and 2005). expected to read papers and present them of belief and probability in decision throughout the class. The course covers making. papers in the application of contract theory MECS 485 and information sharing in supply chain Empirical Issues in Strategy management. The course starts by briefly MECS 465 Professor Watanabe (coordinator) covering papers in supply chain contracting Contract Theory W 9-12 LEV 619 (e.g., revenue sharing contracts, buy-back Professor Sandroni contracts, sales rebates, and resale price W 5-8pm LEV 586 This course explores empirical methods maintenance contracts). It then covers the used in industrial organization, strategy, incentive issues in information sharing in a The course will rely on student and related fields, and ten faculty members supply chain: do firms in a supply chain presentations of papers and discussions of of the Department of Management and have an incentive to share their private ideas. The objective is to facilitate the Strategy will co-teach the course. The information with their partners in a supply transition from student to researcher. The course exposes students to a wide variety chain (i) ex-ante, (ii) ex-post under truth- topics will be related to contract theory in of empirical techniques and emphasizes telling assumption, and (iii) ex-post a very broad sense and may depend on how the researcher can choose from a rich without truth-telling assumption (cheap- students interest. In some cases, research set of econometric methods to address talk model). Finally, it covers a few topics that are not directly related to interesting research questions. This course empirical papers that explore information contracts will be accepted if proposed by should help students to (1) understand sharing in a supply chain. students. In the first classes, some basic empirical research in business economics readings will be covered. and (2) perceive and comprehend numerous empirical avenues that can be used in one’s Economics 501 Seminar own research. Evaluation is by a referee report and a Third Year Students 10 page research proposal. Reading list of The seminar will meet on Mondays and related papers is provided for each week. Wednesdays during the Spring Quarter at 11am in the Lecture Room (Andersen 3245). There will be one presentation and March 2011 Graduate Connection O 8 the seminar will last for fifty minutes Cohen, Ofer Fourth Year: Dissertation prospectus by including the question-and-answer period. Lemus, Jorge August 31 (includes completing course Full practical details for the seminar are Prada Sarmiento, Juan work and two 501 papers) posted on our web site. Pisano, Luigi Fifth and Sixth Year: Committee chair The schedule for the Spring Quarter was Sinha, Shruti certifies that you will be on the job distributed in last September’s newsletter. Wray, Anthony market. (Funding is a combination of Pareto-improving exchanges are Howe, Brent University Fellowships and TAships.) permissible, but should be coordinated Zaraga, Ludovico with Professor Pavan. Safronov, Mikhail Preliminary Examinations Gilson, Eric Second Year Students Luco Echeverria, Fernando The Department has rules on the number Second year students should start to Zare, Meysam of times that students are allowed to take work on their first 501 paper which must Temnyalov, Emil prelim examinations, and the conditions for be submitted for faculty approval by July Hoffmann, Bridget such retaking. These affect whether some 31. This paper will then be presented in Mermelstein, Benjamin second and third year students will be the Fall. The second paper will be Molony, Robert allowed to continue in the program. The presented next Spring. Hovenkamp, Erik rules are posted on our web site. Please The presentation order for 501 papers Petruzzello, Esteban make sure that you are familiar with them. has always been determined by a random Second year students may wish to attend One important implication is that number generator, and is conducted some of this spring’s seminars in order to each time the examinations are offered independently for the Fall and Spring. get some idea of expectations for 501 counts as an “attempt” irrespective of Here is the order for next year. The actual papers. whether you attend. All first year assignment to people to dates and times students should make sure they are will be announced in the September 2011-12 Quarter Dates available to attend the September sitting, Graduate Connection: Fall: Tues Sept 20 - Fri Dec 9 should that be necessary. Fall Quarter Winter: Tues Jan 2 - Fri March 16 Dates for future prelim examinations Cohen, Ofer Spring: Mon March 26 - Fri June 8 have been set. The ordering of the three Lemus, Jorge examinations will rotate each year. For the Hovenkamp, Erik coming summer, the dates are: Prada Sarmiento, Juan Formal Announcements Petruzzello, Esteban Spring 2011 Sitting Luco Echeverria, Fernando Wed June 15 Macroeconomics Pisano, Luigi Funding Guidelines Wed June 22 Econometrics Marshall, Guillermo Wed June 29 Microeconomics Temnyalov, Emil The Department has formal rules for the All examinations will be held 1PM - 4PM. Molony, Robert allocation of funding for students in years Li Bergolis, Matteo two through six. This document is posted Fall 2011 Sitting Zaraga, Ludovico on our web site. Please read this document Tues Aug 30 Macroeconomics Mermelstein, Benjamin as the Department strictly enforces these Wed Aug 31 Econometrics Gilson, Eric funding criteria. Thur Sept 1 Microeconomics In general the cut off date for meeting Sinha, Shruti All examinations will be held 1PM - 4PM. Lau, Christopher the requirements for funding is July 31. Note that these dates are before Labor Day Zarezadeh, Jaber However, the cutoff date for the prospectus Howe, Brent is August 31. In summary, funding Dissertation Prospectus Hoffmann, Bridget requirements are: Wray, Anthony Second Year: Passed two or more prelims Third year students should have been Zare, Meysam at the June sitting and have met the thinking about preparing for their Safronov, Mikhail language requirement to be a TA. dissertation prospectus, which marks the (Details on rules for those who pass zero end of the taught course part of their Spring Quarter or one prelim in June are posted on the studies, and the formation of a dissertation Li Bergolis, Matteo web site.) committee. Please familiarize yourself Zarezadeh, Jaber Third Year: Completed all prelims, and with the administrative procedures for the Lau, Christopher submitted an approved 501 paper. thesis prospectus, which are posted on our Marshall, Guillermo March 2011 Graduate Connection O 9 web page in the section on goals for Next Holiday Season All TAs will have June (and attend the commencement second and third year students. to be in Evanston until Monday ceremonies) and in August. lunchtime on December 12 to complete April 15 for submitting the Application for TA Periods in Residence grading duties. If you are making a Degree to permit you to participate in holiday travel arrangements, please the June Commencement ceremony and Each quarter that you are a TA, you are ensure that you remain in Evanston until receive your diploma. expected to be in Evanston on weekdays this date. In addition you will need to be May 20 for submission of completed from the first day of classes until the back in Evanston by Monday night, dissertation and all supporting materials Monday after examinations end (which is January 2 for the start of winter classes. to the Graduate School to receive a the day that grades are filed). Absences Ph.D. degree in June. during this period require permission of the Office Allocations May 27 for submitting Master’s Candidate instructor. In the past people have left Certification for students expecting a early and arrived back late, in some cases The Department is short of space for Master’s degree in June. without informing the instructor. The graduate student carrels. We only have 58 Department will not tolerate this. You carrel spaces, and we have almost 100 post- July 1 for submitting the Application for a must arrange your vacation airline flights first-year students wanting space. The Degree to graduate in August. so as to be able to fulfill your duties. problem has become worse because the July 29 for submission of completed Failure to do so will be grounds for number of students wanting space has dissertation and all supporting materials rescinding your TAship. For the remainder increased in the past decade from the low to the Graduate School to receive a of this year the dates for which you must to mid 70s. The Department has requested Ph.D. degree in August. be in attendance are: more than 80 carrels in any potential new August 5 for submitting Master’s Winter: until Mon March 20 building, but such a solution is many years Candidate Certification for students Spring: Mon March 28 - Mon June 13 away. expecting a Master’s degree in August. Last Spring the Graduate Studies Attention Next Year’s TAs Committee suggested a change from our Commencement Arrangements previous policy. Starting with this If you expect to be a TA next fall you academic year, students have been The University has made some major need to be aware of the following allocated to a room rather than to a specific changes in Commencement arrangements. arrangements: carrel. The students allocated to that room The main commencement will now be held TA Preference Forms The forms that then coordinate among themselves to on Friday morning at 10:30am on June 17 allow TAs to indicate their preferences determine who wished to use the room at at Ryan Field. Late in April students for classes will be placed in your what times of day and coordinate sharing of expecting to graduate in June will receive mailbox in the main office about individual carrels. Clearly individual information regarding ordering academic September 7. They will also be students are better informed in making such costume and information about available on-line for anyone who is a determination than the Department Commencement, including ticket away from Evanston. Completed forms management. The Graduate Studies information. have to be returned by September 14. Committee is open to comments on how The Graduate School also organizes a Unfortunately, the allocation can only this has worked out this year, and possible “hooding ceremony.” This has now been be announced late on Friday, September alternative allocation mechanisms. moved to the late afternoon on the 16 because we do not know enrollment Irrespective of the allocation system Thursday (3pm-5pm on June 16) in Cahn in 201 and 202 until enrollment closes used, the space allocation for next year will Auditorium. At this event, your Ph.D. that afternoon. Classes start the be announced just prior to Labor Day, and advisor will present you with your degree. following Tuesday. people move in and out between then and If you are expecting to graduate this June, New TA Training The University runs a the start of classes. now is the time to ensure that your advisor full-day training session for new TAs. It If you are leaving us this summer, please is available and willing to attend. If he or will be held on Thursday, September 15 return your keys to the Graduate Secretary she is unavailable then you should ask for from 9:00am to 5:30pm, which is during when you depart, and leave us a forwarding one of your other committee members to the week before classes start. The address. substitute. Department regards your attendance as mandatory. If you believe that you will Graduate School Deadlines be serving as a TA for the first time next year, please arrange your schedules so Note that the Graduate School is now that you are available in Evanston on awarding degrees four times a year and not that date. just twice a year. You can now graduate in March 2011 Graduate Connection O 10 Funding Opportunities

Funding Web Page

There is a web page listing non- departmental sources of funding that you can connect to from the page giving information for current graduate students. There is also information on how to obtain funds for research expenses and attending conferences. The maximum one-time research grant is $3,000, and there is funding for one conference a year that covers up to a maximum of $700. Full details of the application procedures and links to application forms are on the funding web page.

Notes

Next Graduate Connection

Volume 17, number 1 will be published after Labor Day in the week of Sept. 5.