Economists: The Indispensible Professionals of the Twenty-first Century

New York, NY – Since 2008, pressures on personal, national, and international finance have drawn our attention to a previously underappreciated group of professionals. These men and women are economists who are bringing their knowledge and expertise into the arena of world markets. They include notables such as former Federal Reserve chairmen Alan Greenspan and Ben Bernanke. Many of the best economists, however, are not household names. Instead they are scholars, proving the worth of their study by rescuing financial markets and pointing the way forward in troubled times.

The Managing Director at Duquesne Capital Management in New York, Christian Broda is a good example of how university expertise can impact real-world finance. With a Ph.D. in Economics from MIT, Broda taught and did research for the University of Chicago until beginning his work at Duquesne. When doomsday thinkers were declaring the fall of the dollar last year, Broda stated. “It seems wise to keep your investment in the US, and think twice about following the conventional wisdom that emerging markets is the place to put your money.” As overseas markets struggle into 2015, it looks like Broda has a gift for predicting the future.

There is nothing magical, however, about Christian Broda’s analysis or the work of other qualified economists. Their ability to predict market changes (or even to point out the unpredictable) comes as a result of scientific study. Broda has researched and published extensively for both academic journals and popular media outlets. His encouragement to stay the course in US markets, for example, comes as a result of scientific research he conducted along with Piero Ghezzi of Deutsche Bank and Eduardo Levy Levy-Yeyati of the University Tocurato Di Tell.*

As financial markets become more complex, people will rely more heavily on expert economists for investing decisions, prediction of market changes, and everyday advice about spending. Like medical doctors, lawyers, and scientists in the twentieth century, economists will be indispensible professionals in the twenty-first.
* Broda, Christian M. and Ghezzi, Piero and Levy-Yeyati, Eduardo Levy, The New Global Balance (March 23, 2009). Available at SSRN: http://ssrn.com/abstract=1409455 or http://dx.doi.org/10.2139/ssrn.1409455

Leave a Reply