Nobel Laureate Myron Scholes visits Beida
Peking University, July 3, 2013: Myron S. Scholes, 1997 Nobel Laureate in Economics, paid a visit to the Guanghua School of Management recently, sharing his knowledge of financial economics and giving students the chance to learn from his vast experience inside Guanghua’s Alibaba Auditorium.
Students pile into Alibaba for Scholes' talk
Scholes, who has been at Stanford University since 1981, is most well-known for his work on the Black-Scholes option-pricing model, a derivative-based tool used widely for modern asset pricing and risk management in investment markets worldwide. In his talk, he described his path in developing the award-winning Black-Scholes model and offered pointers to students looking to achieve similar success in their academic and professional careers.
Dean Hongbin Cai of the Guanghua School of Management gave opening remarks for the talk, in which he mentioned the growing size and sophistication of China’s financial sector as well as the need to address financial overhaul as the next stage of government reforms for China.
After discussing the history behind the Black-Scholes model, Professor Scholes took individual questions from audience members. In his responses, he shared his thoughts about the world economy, discussing the global trends of spending and investment volatility in spite of fiscal austerity policies implemented by various national economies. He suggested the creation of an Asia-based IMF or World Bank in order to focus attention on the internationalization of the RMB and Asian currencies, as well as the need to incorporate the ongoing technological revolution into changes taking place in the global economy.
Professor Myron Scholes
On giving his advice to young people on how best to thrive in their careers, Scholes recommended that young people surround themselves with the best. “To be with the best people, you have to be the best yourself,” he said. He emphasized that the learning experience of building relationships and of life is more crucial than financial reward or achievements.
Scholes, who received his Ph.D in economics from the University of Chicago in 1969 and has also taught at MIT’s Sloan School of Management, previously delivered a lecture at the Guanghua School of Management in October 2009, where he discussed global economic recovery and risk management in the aftermath of the global financial crisis.
The Guanghua School of Management has consistently attached great importance to exchanges with the world’s leading scholars. Recently, Guanghua has hosted other award-winning scholars, such as 2012 Nobel Laureate in Economics Alvin E. Roth in March of this year.
Source: The Guanghua School of Management
Edited by: Zhang Jiang