We propose and analyze a general periodic-review model in which the firm has access to a set of potential suppliers, each with specific yield and price characteristics. Assuming that unsatisfied demand is backlogged, the firm incurs three types of costs: (i) procurement costs, (ii) inventory-carrying costs for units carried over from one period to the next, and (iii) backlogging costs.
We propose a model of asset management in which benchmarking arises endogenously, and analyze its unintended welfare consequences. Fund managers' portfolios are unobservable and they incur private costs in running them. Conditioning managers' compensation on a benchmark portfolio's performance partially protects them from risk, and thus boosts their incentives to invest in risky assets. In general equilibrium, these compensation contracts create an externality through their effect on asset prices.
I develop a model of group decision-making, in which a committee generates proposals and holds open discussions, but the ultimate decision is either taken by a leader (decision by authority) or by majority vote. Optimal communication processes are studied that combine both cheap talk statements (proposals) and costly state verification (discussions). I show that by favouring one particular agent—the leader—authoritative decisionmaking reduces rent-seeking discussions and often results in a higher decision-quality relative to majority decision-making.
Until fairly recently, the main approach to getting business to respond to climate change has been top-down efforts to regulate emissions and enact various forms of "carbon pricing." The aim of such efforts has been to make businesses "internalize" the costs associated with greenhouse gas (GHG) emissions. Governments are expected to set the environmental protection rules for companies in their respective countries, and markets are expected to adjust to the new regulations and carbon prices.
As technology, data and analytics transform industries like finance, CBS is keeping pace by offering a curriculum that addresses the resulting changes.
Tano Santos, the Robert Heilbrunn Professor of Asset Management and Finance and Director of Columbia Business School’s Heilbrunn Center for Graham and Dodd Investing, discusses the school’s approach to value investing and finance.
Pauline Brown on “The Other AI” That Will Transform Business
The Intersection of Data & Human Experience
Work Breaks Don't Signal Career Brakes: Lee Georgs ’03
The newest classes at CBS are addressing student preferences and meeting changing business needs.
Numbers Affect Customers in Countless Ways
Columbia University Digital Finance Seminar Series launched in Fall 2022. The series is jointly organized by the newly established Center for Digital Finance and Technologies within the School of Engineering and Applied Science, and by the Briger Family Digital Finance Lab within Columbia Business School.
Diversifying the workplace is an urgent priority for most employers, but the barriers to doing so are steep: studies have shown that in order to achieve gender balance at work, nearly 50 percent of women would need to change occupations.
As technology, data and analytics transform industries like finance, CBS is keeping pace by offering a curriculum that addresses the resulting changes.
Advice to the Next US President: Accounting
The Nobel Prize-winning economist visited CBS for the first installment of a new speaker series from The Hub, a new think tank, to discuss the future of capitalism with CBS Dean Emeritus Glenn Hubbard.
Columbia Business School Professor Abby Joseph Cohen recently joined former Dean Glenn Hubbard to discuss the forces that could shape the economy and markets in the year ahead.
Professor Tano Santos, the Faculty Director of Value Investing and Advanced Value Investing programs at Columbia Business School, outlines the reasons why value investing is returning to a period of ascendancy.
A Better Alternative to Trump's WeChat Ban
Norman de Greve: From Purpose to Action
The Startup Pay Premium
Columbia Business School Study Reveals that Giving Products a Human Characteristic Makes Consumers More Likely to Recycle Them
Julie DeTraglia: On the Front Lines of the Streaming Wars
A conversation with the architects behind Columbia Business School’s new home
Improving Workplace Safety: What Works
As technology, data and analytics transform industries like finance, CBS is keeping pace by offering a curriculum that addresses the resulting changes.
Professor Shivaram Rajgopal discusses the improvements that are called for, and why he thinks ESG is more than just a passing fad.
