Stiglitz says the Great Depression taught lessons about financial market behavior that were forgotten. He blames both Wall Street and mortgage lenders for the current economic chaos.
Quite simply, bank equity is not expensive from a social perspective, and high leverage is not required in order for banks to perform all their socially valuable functions, including lending, taking deposits, and issuing money-like securities, professors Anat R. Admati, Peter M. DeMarzo, and Paul C. Pfleiderer wrote in a paper presented at the Stanford Finance Forum. (A fourth coauthor, Martin F. Hellwig of the Max Planck Institute, was not present.)
The Stanford Finance Forum was a one-day conference devoted to the issue of bank capital and liquidity.
"California is quickly reaching the point where each unit of water used to raise crops costs more in ecological damage than it provides benefits of crops, said Peter Gleick, president of the Pacific Institute, during the Stanford Graduate School of Business annual environmental lecture. Politicians and engineers have grappled for years with solutions to California's water shortages. It's unlikely more dams or huge infrastructure projects will be built, so what's the alternative? Gleick called for looking to other kinds of water supply, such as treated wastewater, desalination, or rainwater harvesting. Maintaining the infrastructure we already have is important, as well as growing crops that take less water. And he called for proper pricing mechanisms and markets to limit cheap water. Gleick spoke at the 2010 Conradin von Gugelberg Memorial Lecture on the Environment."
"Nobel Laureate William F. Sharpe explains how futile it is to read sure-thing investing books or watch the latest financial guru to find easy answers on weathering the financial crisis or filling the holes in your portfolio. Sharpe is the Stanco 25 Professor of Finance Emeritus and Nobel Laureate. Part of a series discussion on "Stanford Pioneers in Science", a program sponsored by Stanford Continuing Education. Interviewed by Paul Costello, communication and public affairs director, School of Medicine"
"Venture capitalist John Doerr discusses some of trends impacting the business and investing world, as well as what he thinks it takes to be a remarkable leader and entrepreneur today. He is joined by two other Kleiner partners and Stanford GSB alums, Trae Vassallo and Chi-Hua Chien. Trae leads many of Kleiner's investments in the green technology, while Chi-Hua focuses on mobile technologies. Doerr is a partner at Kleiner Perkins Caulfield and Byers."
Bill Browder, MBA '89, founder and CEO, talks about Hermitage Capital Management's investments in Russia and the fall out from the widespread corruption that still pervades Russia's economy.
Two investors and a current searcher discuss the state of the market for raising a search fund and acquiring a small business to run. Panelists: Charles Phillips (MBA '99), Brandon Cope, and Bob Oster. Moderator: GSB Lecturer Peter Kelly (MBA '89).
Prof. Darrel Duffie gives a presentation to alumni, offering lessons from the financial crisis, and how banks that are major dealers in securities and derivatives can quickly unravel as their counterparts and customers rush for the exits.
As part of the Stanford GSB View From The Top series, Dick Kovacevich, chairman of Wells Fargo, reflects on the lessons he has learned in the 40 years since he left business school. He also describes the management principles that he has used to guide Wells Fargo up to and through the financial crisis.
"The new electric Chevy Volt will be built in Michigan, but the cells for its battery pack will come from South Korea as part of the GM Daewoo Automotive & Technology venture. The global venture is not immune to the current economic turmoil, Michael Grimaldi, MBA '76, told a Business School audience."
Stanford GSB Professor Darrell Duffie participates in a panel discussion on the ongoing credit crisis. Duffie focuses on financial markets and derivatives. Featuring Michael Boskin Department of Economics; Darrell Duffie, Graduate School of Business; Joseph Grundfest, Law School. Sponsored by Stanford Federalist Society, The Rock Center for Corporate Governance, and the Stanford American Constitution Society.
Linda Huber told the audience to not set too many goals, play to your company's strengths, and take advantage of the intelligence you can gather in the ladies' room.
Randy Livingston, Chief Financial Officer of Stanford University, received the 2005 Arjay Miller Visiting CFO Award.
Expect accounting firms to "walk away from clients, even well-respected clients, when they have a different opinion" about accounting practices.
"On January 19, 2011 the Public Management Initiative at the Stanford Graduate School of Business, in partnership with the Washington DC-based Committee for Economic Development, hosted a dinner forum on the federal budget deficit and its potential impact on innovation. Speakers and panelists included seasoned Silicon Valley executives and entrepreneurs, United States policymakers, and leading macroeconomists. The Public Management Initiative (PMI) is a year-long, team-driven, academic project focused on a specific social, environmental, or public issue. The PMI is a program offered by the Public Management Program in the Center for Social Innovation. The Committee for Economic Development (CED) is a nonprofit, non-partisan business led public policy organization that is dedicated to policy research on the major economic and social issues of our time."
"The Stanford Finance Forum was a one-day conference devoted to the issue of bank capital and liquidity. In this segment, Eric Rosengren discusses "Defining Financial Stability, and Some Policy Implications of Applying the Definition." Rosengren is President and Chief Executive Officer, Federal Reserve Bank of Boston."