2015 ANNUAL PERFORMANCE REVIEW USC M · 2015 ANNUAL PERFORMANCE REVIEW USC MARSHALL SCHOOL OF BUSINESS ... 2016 USC Center for Economic and Social Research ... "Journal of Legal Studies",

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2015 ANNUAL PERFORMANCE REVIEW USC MARSHALL SCHOOL OF BUSINESS

Name Tom Chang Department Uncategorized Department I. FACULTY WORKLOAD PROFILE (using 9 pt. scale) Workload Profile (2016-2017)

Teaching Points: 2 Teaching Description:

Research Points: 6 Research Description:

Service Points: 1 Service Description: Workload Profile (2015-2016)

Teaching Points: 2 Teaching Description:

Research Points: 6 Research Description:

Service Points: 1 Service Description: II. TEACHING Courses taught during January 1, 2015 through December 31, 2016 Spring 2016 BUAD 306, "Business Finance" Class Number 5 sections Official Enrollment Number: 325 Number Responding to course evaluation: 234 Instructor Rating (Q11): 3.95 Course Rating (Q12): 3.66 Comments: Last year was the first time my teaching ratings did not experience a year-over-year increase. In fact my ratings dropped from an all time high of 4.54 to its lowest level since my first year teaching. I believe the drop in my ratings from previous years was driven by two factors. First this year was a clear outlier in terms of number of students that needed to be disciplined in some way. Given that the number of 0s in a class was largely consistent across questions, I'm assuming that some of these students turned in evaluations with all 0s (as opposed to exactly N students per class happen to rate either me or the class a "0" across all the different measures.)


Second, and perhaps more significantly I engaged in a conscious attempt to teach more to the top and not bottom half of the class. I think this lead to an increase in the dispersion of ratings, and so exacerbated the top-censoring inherent in the rating system. That is given that I had more students than in any previous year drop off gifts, cards, want career advice, or just want to "keep in touch" during and after the class I think the people who liked the classed liked it even more than in previous years, while those that disliked it, disliked it more. Then given that the median rating is 4/5, even if the true mean was unchanged, an increase in dispersion would lower the censored mean. Spring 2015 BUAD 306 Class Number 14782, 1.5 Units Official Enrollment Number: 68 Number Responding to course evaluation: 34 Instructor Rating (Q11): 4.35 Course Rating (Q12): 3.62 Comments: Spring 2015 BUAD 306 Class Number 14785, 1.5 Units Official Enrollment Number: 66 Number Responding to course evaluation: 47 Instructor Rating (Q11): 4.57 Course Rating (Q12): 3.89 Comments: Spring 2015 BUAD 306 Class Number 14786, 1.5 Units Official Enrollment Number: 65 Number Responding to course evaluation: 33 Instructor Rating (Q11): 4.69 Course Rating (Q12): 3.94 Comments: Spring 2015 BUAD 306 Class Number 14787, 1.5 Units Official Enrollment Number: 71 Number Responding to course evaluation: 37 Instructor Rating (Q11): 4.42 Course Rating (Q12): 4.00 Comments: Spring 2015 BUAD 306 Class Number 14788, 1.5 Units Official Enrollment Number: 64 Number Responding to course evaluation: 40 Instructor Rating (Q11): 4.66 Course Rating (Q12): 3.95 Comments: Teaching-related awards and honors received:


Academic Advising: Involvement with Ph.D. students

PhD Student Vuk Talijan Home Department Finance and Business Economics My Role Dates December 2014 - Present

PhD Student Yingguang Zhang Home Department Finance and Business Economics My Role Dates June 2015 - September 2015

Teaching-Related Faculty Mentoring Activities Executive Education and Other Non-Credit Teaching: III. RESEARCH AND SCHOLARSHIP Papers, Books, or Book Chapters Published or Accepted

RefereedJournalArticles

JournalArticle,AcademicJournal(Accepted)Chang,T.,Jacobson,M.,Earle,C.,Newhouse,J.(2016).PhysicianAgencyandCompetition:Evidence

fromaMajorChangetoMedicareChemotherapyReimbursementPolicy.JournalofEconomicBehavior&Organizations.

JournalArticle,AcademicJournal(PublishedAugust2016)Chang,T.,Graff-Zivin,J.,Gross,T.,Neidell,M.(2016).ParticulatePollutionandtheProductivityof

PearPackers.AmericanEconomicJournal:Policy,8(3).

JournalArticle,AcademicJournal(Accepted)Chang,T.,Hartzmark,S.,Solomon,D.H.(2016).BeingSurprisedbytheUnsurprising:Earnings

SeasonalityandStockReturns.ReviewofFinancialStudies.

JournalArticle,AcademicJournal(PublishedFebruary2016)Solomon,D.H.,Chang,T.(2016).LookingforSomeonetoBlame:Delegation,CognitiveDissonance

andtheDispositionEffect.JournalofFinance,71(1).

JournalArticles

JournalArticle,ProfessionalJournal(PublishedSeptember2016)Chang,T.,Graff-Zivin,J.,Gross,T.,Neidell,M.(2016).AirPollutionisMakingOfficeWorkersLess

Productive.HarvardBusinessReview.

JournalArticle,ProfessionalJournal(PublishedJuly(3rdQuarter/Summer)2016)Chang,T.,Graff-Zivin,J.,Gross,T.,Neidell,M.(2016).TheEffectofPollutiononWorkerProductivity:

EvidencefromCall-CenterWorkersinChina.Vox.


Other

HarvardLawSchoolBlog(PublishedSeptember2016)Chang,T.,Hatrzmark,S.,Solomon,D.H.,Soltes,E.(2016).BeingSurprisedbytheUnsurprising:

EarningsSeasonalityandStockReturns.HarvardLawSchoolForumonCorporateGovernanceandFinancialRegulation.

Papers, Books, or Book Chapters In-Progress

JournalArticle,AcademicJournal(WorkingPaper)Wang,Y.,Chang,T.,Huang,W.(2016).SomethingintheAir:ProjectionBiasandtheDemandfor

HealthInsurance.ArticlesolicitedbyAmericanEconomicReview(co-editorStefanoDellaVigna)

JournalArticle,AcademicJournal(WorkingPaper)Chang,T.Y.,Graff-Zivin,J.,Gross,T.,Neidell,M.(2016).TheEffectofPollutiononWorker

Productivity:EvidencefromCall-CenterWorkersinChina.ReviseandResubmit,AmericanEconomicJournal:AppliedEconomics

JournalArticle,AcademicJournal(WorkingPaper)Chang,T.(2016).GoingtoPot?MedicalMarijuanaDispensariesandCrime.

Reviseandresubmit,JournalofUrbanEconomicsJournalArticle,AcademicJournal(WorkingPaper)Chang,T.,Jacobson,M.(2016).WhatDoNot-For-ProfitHospitalsMaximize?Evidencefrom

California'sSeisemicRetrofitMandate.Reviseandresubmit,JournalofPublicEconomics

JournalArticle,AcademicJournal(WorkingPaper)Chang,T.,Schoar,A.(2016).JudgeSpecificDifferenceinChapter11andFirmOutcomes.

ReviseandResubmit,JournalofFinance Explanation of research productivity Presentations and Conferences:

Seminar,UCSDRadySchoolofManagement,LaJolla,CA,Presenter.(November2016).2016LawandFinanceConference,UniversityofSanDiegoSchoolofLaw,SanDiego,CA,Discussant.

(October2016).FMAAnnualMeeting,FinancialManagementAssociation,LasVegas,NV,SessionChair.(October

2016).Seminar,ClaremontGraduateSchool,Claremont,CA,Presenter.(September2016).Seminar,AustraliaNationalUniversity,Canberra,Australia,Presenter.(September2016).StanfordInstituteforTheoreticalEconomicsSummerWorkshop,StanfordInstituteforTheoretical

Economics,PaloAlto,CA,Attendee.(August2016).TobiiEyeTrackingTraining,Tobii,NewportBeach,CA,Attendee.(June2016).


BehavioralEconomicsAnnualMeeting,Cornell,UCBerkeley,andYale,Ithaca,NY,Presenter.(May

2016).LAFinanceDay,USC,UCLA,UCI,Caltech,LosAngeles,CA,Presenter.(May2016).SouthwestExperimentalandBehavioralEconomicsConference,UCIrvine,Irvine,CA,Attendee.(May

2016).SouthernCaliforniaConferenceonAppliedMicroeconomics,LoweInstituteofPoliticalEconomyand

theRobertDaySchoolofEconomicsandFinance,Claremont,CA,SessionChair.(April2016).MidwestFinancialAssociationConference,MidwestFinancialAssociation,Atlanta,GA,Discussant.

(February2016).Seminar,FederalReserveBankofCleveland,Cleveland,OH,Presenter.(February2016).AFAAnnualMeeting,AFA,SanFrancisco,CA,"Discussant",Discussant.(January2016).CaliforniaCorporateFinanceConference,LoyolaMarymountUniversity,LosAngeles,CA,""Being

SurprisedbytheUnsurprising:EarningsSeasonalityandStockReturns"",Presenter.(November2015).

Seminar,CenterforEconomicandSocialResearch,LosAngeles,CA,""TheEffectofPollutionon

OfficeWorkers:EvidencefromCallCentersinChina"",Presenter.(October2015).SouthernCaliforniaFinanceConference,ClaremontMcKennaCollege,Claremont,CA,Discussant.

(September2015).3rdIZAWorkshop:LaborMarketEffectsofEnvironmentalPolicies,IZA,Berlin,Germany,""Pollution,

Productivity,andSorting:EvidencefromCall-CenterWorkersinChina"",Presenter.(August2015).

USC Seminar Participation in 2015 - 2016

USCCenterforEconomicandSocialResearch(CESR)seminarTypicalParticipation:OccasionallyUSCFBEBrownbagTypicalParticipation:AlmostAlwaysUSCFBEEconomicsSeminarTypicalParticipation:OccasionallyUSCFBEFinanceSeminarTypicalParticipation:AlmostAlwaysUSCCenterforEconomicandSocialResearch(CESR)seminarTypicalParticipation:OccasionallyUSCFBEBrownbagTypicalParticipation:AlmostAlwaysUSCFBEEconomicsSeminar


TypicalParticipation:OccasionallyUSCFBEFinanceSeminarTypicalParticipation:AlmostAlwaysUSCCenterforEconomicandSocialResearch(CESR)seminarTypicalParticipation:OftenUSCFBEBrownbagTypicalParticipation:AlmostAlwaysUSCFBEEconomicsSeminarTypicalParticipation:OccasionallyUSCFBEFinanceSeminarTypicalParticipation:AlmostAlwaysUSCCenterforEconomicandSocialResearch(CESR)seminarTypicalParticipation:OftenUSCFBEBrownbagTypicalParticipation:AlmostAlwaysUSCFBEEconomicsSeminarTypicalParticipation:AlmostAlwaysUSCFBEFinanceSeminarTypicalParticipation:AlmostAlways

Research-Related awards and honors received:

HillcrestBehavioralFinanceAward,HillcrestAssetManagement,Research.(February5,2016-

Present).BestPaperAward,CaliforniaCorporateFinanceConference,Research.(November2015-Present).

Research-Related Faculty Mentoring Activities Research Funding during 2015 - 2016

Investigators: Chang, Tom (Principal), Goldman, Dana (Co-Principal), St.

Clair, Patricia (Supporting) Grant Type Contracts Contract/Grant/Research Title VEBA Foundation Reference/Identification Number USC Proposal Number Sponsoring Organization VEBA Foundation Awarding Organization is Private Amount $200,000.00 Start date October 2013 End date October 2015 Status: Funded Abstract: Establish a data repository for health care claims data for use by academic researchers. The initial period of the contract is for 2 years, but expected to be extended at $100,000 per year


indefinitely after the initial period. IV. SERVICE Departmental Service

Departmental,PhDAdmissionsCommittee,CommitteeMember,Member.(December2013-May

2016). Marshall School Service. University Service Student Organizations Professional Service

Professional,SouthernCaliforniaConferenceinAppliedMicroeconomics,OrganizingCommittee,

Member.(January2016-Present).Professional,FinancialManagementAssociation,AnnualMeetingProgramCommittee,Member.

(January2016-October2016).EditorialandRefereeingActivities

"AmericanEconomicReview",AdHocReviewer,Papers.(September2016-Present)."EconomicInquiry",AdHocReviewer,Papers.(September2016-Present)."ReviewofEconomicsandStatistics",AdHocReviewer,Papers.(August2016-Present)."JournaloftheEuropeanEconomicAssociation",AdHocReviewer,Papers.(June2016-Present)."EuropeanEconomicReview",AdHocReviewer,Papers.(May2015-Present)."AEJ:EconomicPolicy",AdHocReviewer,Papers.(April2015-Present)."JournalofEconomicBehaviorandOrganizations",AdHocReviewer,Papers.(May2014-Present)."ManagementScience",AdHocReviewer,Papers.(2014-Present)."JournalofFinance",AdHocReviewer,Papers.(September2013-Present)."IndustrialandLaborRelationsReview",AdHocReviewer,Papers.(March2013-Present)."AEJ:AppliedEconomics",AdHocReviewer,Papers.(July2012-Present)."JournalofInstitutionalandTheoreticalEconomics",AdHocReviewer,Papers.(June2010-Present)."TheQuarterlyJournalofEconomics",AdHocReviewer,Papers.(September2009-Present)."JournalofPublicEconomics",AdHocReviewer,Papers.(July2009-Present).


"BEJ:EconomicAnalysis&Policy",AdHocReviewer,Papers.(2009-Present)."JournalofLegalStudies",AdHocReviewer,Papers.(2009-Present).

Public/Community Other Media exposure

CapitalIdeas,"WhyInvestorsMispriceCyclicalStocks".(October(4thQuarter/Autumn)2016).TheEconomist,"HowAirPollutionAffectsOfficeWorkers-AndtheEconomy".(October(4th

Quarter/Autumn)2016).WashingtonPost.(October(4thQuarter/Autumn)27,2016).

AirpollutiononWallStreetmightactuallybebringingdownthestockmarketCBSMoneywatch,"Whyinvestorsmaywanttokeeptabsonairpollution".(October(4th

Quarter/Autumn)26,2016).Sohu,"PM2.5� ��".(October(4thQuarter/Autumn)23,2016).Mode(s)D'Emploi,"Vousetesmoinsproductif?Votrebureauestcertainmentpollue".(October(4th

Quarter/Autumn)6,2016).OpiniãoeNotícia,"Oimpactodapoluiçãodoarnaeconomia".(October(4thQuarter/Autumn)6,

2016).BFMBusiness,"Aubureau,l'airpolluefaitbaisserlaproductivite".(October(4thQuarter/Autumn)5,

2016).Yahoo!Finance,"Pollutionismakingitharderforofficeworkerstobeproductive:study".(October

(4thQuarter/Autumn)3,2016).ColumbiaStudentNews,"SomethingIsInTheAir".(October(4thQuarter/Autumn)2,2016).MarthaStewart,"WanttoBeMoreProductive?CleanYourAir!".(September30,2016).Mic,"Airpollutionhurtsofficeworkers'productivity,studyfinds".(September30,2016).NBERDigest,"TheEffectofPollutiononWorkerProductivity".(September2016).PBSNewshour,"Airpollutiontakesitstollonproductivityevenforthosewithdeskjobs".(September

23,2016).Bloomberg,"BadE-Mails,HazyLines,andAnomalies".(September3,2016).WashingtonPost,,"Thehiddentollofairpollutiononofficeworkers".(June14,2016).Don'tPanicGeocast,"Episode70-"LakeBottonSeismometers"-FunPaperFriday".(May27,2016).


BusinessDailyAfrica,"Understandingwhatdrivesyourinvestmentbehaviourkeytosuccess".(March9,2016).

CapitalIdeas,"Whyinvestorsmispricecyclicalstocks".(October(4thQuarter/Autumn)2015).BusinessInsider,"Thepollutionoutsideyourofficewindowaffectsyourworkinabigway".(June20,

2015).PsychologyToday,"MyMutualFundManagerIsanIdiot".(January(1stQuarter/Winter)8,2015).

V. SUPPLEMENTARY INFORMATION Consulting and Expert-Witness Activities Directorships and Management Responsibilities

VEBAFoundation,DirectorResearchBoard,20daysdevotedfortheyear.(2013-2015).

Teaching Activities Outside USC Work by USC faculty at another college or university requires advance approval per the Faculty Handbook. In addition, instruction or course creation for other outside enterprises may be inconsistent with a faculty member’s responsibilities to USC. Before undertaking any such commitment, a faculty member must seek advance approval from the dean and take reasonable steps to ensure that the proposed activity will not create a conflict or appearance of conflict with any USC program, or dilute USC’s academic stature. Further, any faculty member may be an educator at another institution or enterprise in non-emergency situations only upon the written prior approval of the Provost or the Provost’s designate. List any teaching activities outside USC. Financial Interests List all entities having a relationship to the University in which you have a significant financial interest (ownership of 5% or more). Impact on Profession Other information Describe anything else you would like included in your annual performance review that is not collected elsewhere in this system that you feel should be taken into account in assessing your contributions for this year

Education

BS,MIT.PhD.

OtherPositions

SchaefferCenterforHealthPolicyandEconomics,"ResearchFellow".(September2013-Present).USCDornsifeCenterforEconomicandSocialResearch,"CESRFellow".(September2013-Present).

Signature:


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7. Determine the cost of capital, and understand and apply the concepts of the weighted cost of capital (WACC).

8. Recognize and understand the elements of optimal capital structure, the effects of financial leverage, bankruptcy, and the role of taxes.

9. Understand the dynamics of behavioral finance and its influence on individual and corporate financial decision-making (e.g., the impact of heuristics).

10. Better understand news and current events through the lens of finance.

Required Materials x Fundamentals of Corporate Finance, Tenth (Alternate) Edition by Ross, Westerfield and Jordan. x Calculator with financial functions: I recommend the Hewlett Packard 17bII+ for those who

expect to continue in finance. Otherwise the Hewlett Packard 10bII has the functions you’ll need for this class, and is less expensive. Many graphical calculators, such as the TI-83, have built-in financial functions. You should bring your calculator to all classes and exams. You will be extremely disadvantaged if you do not have your calculator during exams. I will teach from the Hewlett Packard 17bII+. During exams you will not be allowed to use cellphone calculators, computers, or any other device that can communicate to other devices, so learning how to use the financial calculator is essential for success in the class.

Prerequisites: ACCT 410, BUAD 250a, BUAD 280 or BUAD 305. Course Notes: Copies of lecture slides and other class information are available through your Blackboard account. Grading Summary:

Assignments % of Grade TESTS Midterm 35% Final Exam 45% HOMEWORK ASSIGNMENTS 15%

CLASS PARTICIPATION 5% TOTAL 100%

Final grades represent how you perform in the class relative to other students. Your grade will not be based on a mandated target, but on your performance. Historically, the average grade for this class is about a B. Three items are considered when assigning final grades: 1. Your average weighted score as a percentage of the available points for all assignments (the points

you receive divided by the number of points possible). 2. The overall average percentage score within the class. 3. Your ranking among all students in the class. ASSIGNMENTS AND GRADING DETAIL Your grade is made up of the following categories:

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1. Exams. All exams are closed book, closed notes. Financial calculators are allowed and recommended, but E-devices (tablet and laptop computers such as iPad, smartphones, other texting devices, etc.) are not allowed. You will be provided with a formula sheet. All exams will use the Scantron multiple-choice format. Students must provide their own pencils. Any re-grade requests must be submitted to me in writing within one school week of the distribution of correct answers. Any re-grading will encompass the entire exam.

2. Assignments. The homework grade will be assessed over 6 assignments, due on days specified in syllabus at 5:00pm. Assignments must be submitted electronically via Blackboard. Assignments will be given a grade of “check” or “no credit”. Homework will be assigned a “check” if and only if the assignment is reasonably complete and correct. Working in groups is encouraged, but each group member must turn in his or her own separate write-up. Identical or nearly identical answers will result in “no credit” for all parties and possible referral to Office of Student Judicial Affairs and Community Standards (see Statement on Academic Integrity below). Solutions sets will be posted on the class Blackboard site.

3. Class Participation. Class participation is a measure of a student’s positive or negative impact on the class. An example of a positive contribution is asking questions in lecture. An example of a negative contribution is being disruptive in lecture (especially during an exam).

Assignment Submission Policy Assignments must be turned in on the due date/time electronically via Blackboard. Any assignment turned in late, even if by only a few minutes, will receive a zero. Homework will not be returned. Please keep a copy of your homework for reference. Homework assignments are kept in electronic storage in case they are needed for re-grades or grade disputes. Answers to the homework will be posted online for students to evaluate their performance. There are some legitimate reasons for not turning in homework on time. However, you must provide documentation for any such claim. Exam Absence Policy Students are required to be present for both the midterm exam and the final exam. If you are not able to take the exams on the dates and times specified in the detailed schedule, you should not take this class. There will be no make-up exams. However, there are legitimate reasons for missing an exam. If you provide documentation of a serious medical problem or crime incident for missing the midterm exam, the final exam score will be re-weighted to accommodate the missing score. However, if you miss the final exam, I will be unable to assign a complete grade to you. Professionalism: Technology Policy, Session Attendance, and Classroom Demeanor Technology. Personal computers and wireless Internet are a key part of today’s technological culture, but they also can distract you from the class discussion and dampen participation. You may bring your laptops/iPads etc. to class for note-taking, but please refrain from browsing the Internet, updating your Facebook profile, playing games, instant messaging, shopping, etc. Although you may think you are being discreet, 90% of the time students engaging in such behavior give themselves away (through inappropriate facial expressions, lack of eye contact, out of sync typing, etc.). Use of computer in the classroom is a privilege. If you abuse this privilege, laptops may be banned from the classroom. Please turn-off your phones, unless I ask you to use them.

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Attendance. You are expected to attend all scheduled class sessions, to arrive on time and participate actively. Walking in late causes unnecessary disruption. Tutoring Tutoring is offered through the Marshall Office of Undergraduate Advising as a supplement to classroom instruction. Tutors are able to assist students in understanding difficult concepts, but tutoring sessions are only effective if students regularly attend class and actively engage in the process of thinking critically about the course content. Tutoring will begin on the Monday of the third week of classes. Students can choose to participate in group tutoring sessions or drop-in tutoring sessions. Most students will benefit from group tutoring in particular, as the purpose of group tutoring sessions is to review and discuss content covered in the previous and current week. For more information on tutoring, visit the Marshall Office of Undergraduate Advising in BRI-104 (213-740-0690), or http://students.marshall.usc.edu/undergrad/advising/ MARSHALL GUIDELINES Add/Drop Process In compliance with USC and Marshall’s policies classes are open enrollment (R-clearance) through the first week of class. All classes are closed (switched to D-clearance) at the end of the first week. This policy minimizes the complexity of the registration process for students by standardizing across classes. I can drop you from my class if you don’t attend the first two sessions. Please note: If you decide to drop, or if you choose not to attend the first two sessions and are dropped, you risk being not being able to add to another section this semester, since they might reach capacity. You can only add a class after the first week of classes if you receive approval from the instructor. Statement for Students with Disabilities Any student requesting academic accommodations based on a disability is required to register with Disability Services and Programs (DSP) each semester. A letter of verification for approved accommodations can be obtained from DSP. Please be sure the letter is delivered to me (or to TA) as early in the semester as possible. DSP is located in STU 301 and is open 8:30 a.m.–5:00 p.m., Monday through Friday. The phone number for DSP is (213) 740-0776. Statement on Academic Integrity USC seeks to maintain an optimal learning environment. General principles of academic honesty include the concept of respect for the intellectual property of others, the expectation that individual work will be submitted unless otherwise allowed by an instructor, and the obligations both to protect one’s own academic work from misuse by others as well as to avoid using another’s work as one’s own. All students are expected to understand and abide by these principles. SCampus, the Student Guidebook, contains the Student Conduct Code in Section 11.00, while the recommended sanctions are located in Appendix A. http://www.usc.edu/dept/publications/SCAMPUS/gov/ Students will be referred to the Office of Student Judicial Affairs and Community Standards for further review, should there be any suspicion of academic dishonesty. The Review process can be found at: http://www.usc.edu/student-affairs/SJACS/ Failure to adhere to the academic conduct standards set forth by these guidelines and our programs will not be tolerated by the USC Marshall community and can lead to dismissal. Emergency Preparedness/Course Continuity In case of emergency, and travel to campus is difficult, USC executive leadership will announce an electronic way for instructors to teach students in their residence halls or homes using a combination of Blackboard, teleconferencing, and other technologies. Instructors should be prepared to assign students a "Plan B" project that can be completed at a distance. For additional information about maintaining your

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classes in an emergency please access: http://cst.usc.edu/services/emergencyprep.html Please activate your course in Blackboard with access to the course syllabus. Whether or not you use Blackboard regularly, these preparations will be crucial in an emergency. USC's Blackboard learning management system and support information is available at blackboard.usc.edu. Incomplete Grades In incomplete (IN) grade may be assigned due to an “emergency” that occurs after the 12th week of classes. An “emergency” is defined as a serious documented illness, or a documented unforeseen situation that is beyond the student’s control, that prevents a student from completing the semester. Prior to the 12th week, the student still has the option of dropping the class. Arrangements for completing an IN course should be initiated by the student, and negotiated with the instructor. Class work to complete the course should be completed within one calendar year from the date the IN was assigned. The IN mark will be converted to an F grade should the course not be completed. UNIVERSITY OF SOUTHERN CALIFORNIA GUIDELINES Academic Conduct Plagiarism – presenting someone else’s ideas as your own, either verbatim or recast in your own words – is a serious academic offense with serious consequences. Please familiarize yourself with the discussion of plagiarism in SCampus in Section 11, Behavior Violating University Standards https://scampus.usc.edu/1100-behavior-violating-university-standards-and-appropriate-sanctions. Other forms of academic dishonesty are equally unacceptable. See additional information in SCampus and university policies on scientific misconduct, http://policy.usc.edu/scientific-misconduct. Discrimination, sexual assault, and harassment are not tolerated by the university. You are encouraged to report any incidents to the Office of Equity and Diversity http://equity.usc.edu or to the Department of Public Safety http://capsnet.usc.edu/department/department-public-safety/online-forms/contact-us. This is important for the safety of the whole USC community. Another member of the university community – such as a friend, classmate, advisor, or faculty member – can help initiate the report, or can initiate the report on behalf of another person. The Center for Women and Men http://www.usc.edu/student-affairs/cwm/ provides 24/7 confidential support, and the sexual assault resource center webpage http://sarc.usc.edu describes reporting options and other resources. Support Systems Students whose primary language is not English should check with the American Language Institute http://dornsife.usc.edu/ali, which sponsors courses and workshops specifically for international graduate students. The Office of Disability Services and Programs www.usc.edu/disability provides certification for students with disabilities and helps arrange the relevant accommodations. If an officially declared emergency makes travel to campus infeasible, USC Emergency Information http://emergency.usc.edu will provide safety and other updates, including ways in which instruction will be continued by means of blackboard, teleconferencing, and other technology.

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COURSE READINGS/CLASS SESSIONS Students should read the assigned chapter(s) BEFORE the associated lecture date.

# Date Topic Chap 1 1/12 Introduction to Corporate Finance:

What does a financial manager do? Forms of business organization, Goal of financial management, agency problem, Principal-agent problem, incentives

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2 1/14 Financial Statements: Balance sheet, Income statement, Average versus marginal tax rates, Operating cash flow, Change in net working capital, Standardized financial statements, Sources and uses of cash, Ratio analysis

2, 3

1/19 No class (MLK Holiday)

3 1/21 Long Term Financial Planning and Growth: Growth as a goal, Sales forecast, Pro forma statements, Asset requirements, Percentage of sales approach, External financing and growth, Internal growth rate, Sustainable growth rate

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4 1/26 The Time Value of Money: Future Value and Compounding, investing for a single period, compound growth, lump sum versus payments, Present Value and discounting, present versus future value, determining the discount rate, single period present value, lump sum versus payments

5

5 1/28 Discounted Cash Flow Valuation: Future and present values of multiple cash flows, Valuation of annuities, Perpetual bonds, Future value of annuities, Annuities due

6

6 2/2 Discounted Cash Flow Valuation Effective annual rates, Calculating and comparing rates, EAR versus APR, Continuous compounding, Loan types, Amortization, Pure discount Loans, Interest only loans, Amortized loans

6

7 2/4 Flex Day/Review

8 2/9 Interest Rates and Bond Valuation: Bonds and valuation of bonds, Bond features, Interest rate risk, Default and credit risk, Re-investment rate risk, Bond indenture, Debt or equity? Long term debt, Government bonds, Corporate bonds, Mortgage bonds, Floating rate bonds, Zero coupon bonds

7

9 2/11 Interest Rates and Bond Valuation: Bond ratings, Moody’s and Standard and Poor’s, Investment grade versus high yield (junk) debt, Real versus nominal rates, Fisher effect, Term structure of interest rates – Yield curve

7

7

# Date Topic Chap 2/16 No class (President’s Day)

10

2/18 Stock Valuation: Zero growth, Constant growth model, Shareholder rights, Common stock versus preferred stock, Cumulative versus non-cumulative, Dealers and brokers, NYSE, NASDAQ

8

11 2/23 Net Present Value and Other Investment Criteria: NPV estimate, Payback rule, Internal rate of return, Discounted payback, Profitability index, Capital budgeting, IRR versus NPV, Mutually exclusive projects, Nonconventional cash flows, NPV profile, Acceptance and rejection rules for each capital budgeting criteria

9

12 2/25 Flex Day/Review.

3/2 Midterm 1-9 13 3/4 Making Capital Investment Decisions:

Incremental cash flows, Pro forma statements, Side effects, Sunk costs, Opportunity costs, Net working capital, Financing costs, Depreciation (MACRS), Operating cash flow – alternative definitions, Setting a bid price, Cost cutting proposals

10

14 3/9 First Half/Midterm Review

1-9

15 3/11 Some Lessons from Capital Market History: Returns through time for different asset classes, Historical record, Risk premiums, Variability of returns, Average versus geometric, Capital market efficiency

12

3/16 SPRING BREAK – No Class

3/18 SPRING BREAK – No Class

3/23 No Class

16 3/25 Return, Risk, and the Security Market Line Expected returns and variances, portfolio weights and expected returns, unexpected returns, Systematic and unsystematic risk, diversification

13

17 3/30 Return, Risk, and the Security Market Line: Systematic risk and beta, Portfolio beta, Security market Line, Reward to risk ratio, Beta and the risk premium, Capital asset pricing model (CAPM), Cost of capital

13

18 4/1 Cost of Capital: Cost of capital, Cost of equity, Cost of debt, Cost of preferred stock, Weighted average cost of capital (WACC), Divisional cost of capital, Project cost of capital

14

8

# Date Topic Chap 19 4/6 Raising Capital:

Financing Life Cycle of a firm, selling securities to the public, underwriters, IPOs, IPOs and underpricing, Costs of Issuing securities, Rights Offerings, Dilution, Issuing Long Term Debt, Shelf Registration

15

20 4/8 Financial Leverage and Capital Structure Policy: Capital structure question – Debt or equity financing? Effect of financial leverage, Cost of equity or debt? M&M proposition I&II

16

21 4/13 Financial Leverage and Capital Structure Policy: M&M proposition I and II with and without corporate taxes, Bankruptcy costs, Optimal capital structure, Bankruptcy liquidation versus reorganization

16

22 4/15 Dividends and Payout Policy: Cash dividends, stock dividends, Low payouts versus high payout ratios, tax and legal benefits, dividend policy, stock repurchase plans, stock splits, reverse splits

17

23 4/20 Behavioral Finance: Biases, Framing effects, Heuristics, Limits to arbitrage, Bubbles and crashes, Market efficiency and professional money managers

22

24 4/22 The Financial Crisis of 2008



Final Exam for day and time see: https://classes.usc.edu/term-20151/finals/

1

BUAD 306: Business Finance Syllabus – Spring 2016 Professors: Yongxiang Wang / Tom Chang Offices: HOH 716 / HOH 704 Office Phones: 213-740-7650 / 1135 E-Mails: [email protected] / [email protected] TA: Jeremy Shen Office Hours: Wednesdays 4-6PM Location: Accounting Library E-Mail: [email protected]

Course Description BUAD 306 is a fundamentals course in business finance. Effective financial decision-making is essential to the success of any business. Financiers, CFOs, treasurers, controllers, managers, or anyone involved in financial decision-making, must understand the concepts of finance and financial management in relation to economic developments and considering market uncertainties. This course will introduce you to concepts, theories, and issues in finance, financial management and markets that will help you understand how financiers think, what the role of the financial decision-maker is, and how financial management concerns the management of modern enterprise. More specifically, you will learn how financiers break down components of financial problems, and how they then arrive at investment decisions as individual or corporate investors. By the end of the semester, you should be familiar with financial vocabulary, understand aspects of financial theory, develop skills in financial computation, and appreciate the underlying financial mindset as well as incentives involved when solving problems of finance. You will learn how to determine risk, how to make financial decisions, and how to value an investment as a potential financial opportunity. Course Learning Objectives Through lecture, case analysis, worked samples, and by learning to apply appropriate mathematical and financial formulas and functions, you will be able to:

1. Understand basic types, goals, and implications of financial management and the role of the financial decision-maker.

2. Interpret financial statements and how they influence long-term planning and growth. 3. Understand the meaning of time value of money and how to evaluate the trade-off between dollars

today and dollars sometime in the future. 4. Understand how firms decide to commit capital and its impact on cash flow (discounted cash

flow). 5. Understand interest rates and bonds and realize how interest rates impact bonds. 6. Understand the different criteria used to evaluate proposed investments (e.g., net present value

(NPV), profitability index, payback period). 7. Determine the cost of capital, and understand and apply the concepts of the weighted cost of

capital (WACC). 8. Recognize and understand the elements of optimal capital structure, the effects of financial

leverage, bankruptcy, and the role of taxes. 9. Understand the dynamics of behavioral finance and its influence on individual and corporate

financial decision-making (e.g., the impact of heuristics).

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10. Better understand news and current events through the lens of finance.

Required Materials • Fundamentals of Corporate Finance, Eleventh Edition by Ross, Westerfield and Jordan. The

TenthAlternativeeditionisalsoacceptable. • Calculator with financial functions: I recommend the Hewlett Packard 17bII+ for those who

expect to continue in finance. Otherwise the Hewlett Packard 10bII has the functions you’ll need for this class, and is less expensive. Many graphical calculators, such as the TI-83, have built-in financial functions. You should bring your calculator to all classes and exams. You will be extremely disadvantaged if you do not have your calculator during exams. I will teach from the Hewlett Packard 17bII+. During exams you will not be allowed to use cellphone calculators, computers, or any other device that can communicate to other devices, so learning how to use the financial calculator is essential for success in the class.

Prerequisites: ACCT 410, BUAD 250a, BUAD 280 or BUAD 305. Course Notes: Copies of lecture slides and other class information are available through your Blackboard account. Grading Summary:

Assignments %ofGradeExam1Exam2

25%25%

Exam3 25%Exam4

25%

TOTAL 100%Final grades represent how you perform in the class relative to other students. Your grade will not be based on a mandated target, but on your performance. Historically, the average grade for this class is about a B. Three items are considered when assigning final grades: 1. Your average weighted score as a percentage of the available points for all exams (the points you

receive divided by the number of points possible). 2. The overall average percentage score within the class. 3. Your ranking among all students in the class. ASSIGNMENTS AND GRADING DETAIL Yourgradeismadeupofyourexamscoresonly:

1. Exams. All exams are closed book, closed notes. Financial calculators are allowed and recommended, but E-devices (tablet and laptop computers such as iPad, smartphones, other texting devices, etc.) are not allowed. You will be provided with a formula sheet. All exams will use the Scantron multiple-choice format. Students must provide their own pencils.

3

Any re-grade requests must be submitted to me in writing within one school week of the distribution of correct answers. Any re-grading will encompass the entire exam. Thefirst3examsare75minute-timedexamsheldduringregularclassmeetingtimesandintheregularclasslocation.Thefinalexamhas2hours,andthedetailedschedulecanbefoundathttps://classes.usc.edu/term-20161/finals/

2. Assignments.Therewillbeapproximately5assignmentspostedtoBlackboardduringthecourse.Theywillnotbegraded.Theyaredesignedtoprovidepracticematerialduringthecourse.Answerstothehomeworkwillbepostedonlineforstudentstoevaluatetheirperformance.

Exam Absence Policy Students are required to be present for all four exams. If you are not able to take the exams on the dates and times specified in the detailed schedule, you should not take this class. There will be no make-up exams. However, there are legitimate reasons for missing an exam. If you provide documentation of a serious medical problem or crime incident for missing one of the first three exams, the remaining exam scores will be re-weighted to accommodate the missing score. However, if you miss the final exam, I will be unable to assign a complete grade to you. Professionalism: Technology Policy, Session Attendance, and Classroom Demeanor Technology. Personal computers and wireless Internet are a key part of today’s technological culture, but they also can distract you from the class discussion and dampen participation. You may bring your laptops/iPads etc. to class for note-taking, but please refrain from browsing the Internet, updating your Facebook profile, playing games, instant messaging, shopping, etc. Although you may think you are being discreet, 90% of the time students engaging in such behavior give themselves away (through inappropriate facial expressions, lack of eye contact, out of sync typing, etc.). Use of computer in the classroom is a privilege. If you abuse this privilege, laptops may be banned from the classroom. Please turn-off your phones, unless I ask you to use them. Attendance. You are expected to attend all scheduled class sessions, to arrive on time and participate actively. Walking in late causes unnecessary disruption. Teaching Assistants The teaching assistant is listed at the top of the syllabus. The TA will hold regular office hours and can answers questions on the material during office hours or via email. Tutoring Tutoring is offered through the Marshall Office of Undergraduate Advising as a supplement to classroom instruction. Tutors are able to assist students in understanding difficult concepts, but tutoring sessions are only effective if students regularly attend class and actively engage in the process of thinking critically about the course content. Tutoring will begin on the Monday of the third week of classes. Students can choose to participate in group tutoring sessions or drop-in tutoring sessions. Most students will benefit from group tutoring in particular, as the purpose of group tutoring sessions is to review and discuss content covered in the previous and current week. For more information on tutoring, visit the Marshall Office of Undergraduate Advising in BRI-104 (213-740-0690), or http://students.marshall.usc.edu/undergrad/advising/

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MARSHALL GUIDELINES Add/Drop Process In compliance with USC and Marshall’s policies classes are open enrollment (R-clearance) through the first week of class. All classes are closed (switched to D-clearance) at the end of the first week. This policy minimizes the complexity of the registration process for students by standardizing across classes. I can drop you from my class if you don’t attend the first two sessions. Please note: If you decide to drop, or if you choose not to attend the first two sessions and are dropped, you risk being not being able to add to another section this semester, since they might reach capacity. You can only add a class after the first week of classes if you receive approval from the instructor. Statement for Students with Disabilities Any student requesting academic accommodations based on a disability is required to register with Disability Services and Programs (DSP) each semester. A letter of verification for approved accommodations can be obtained from DSP. Please be sure the letter is delivered to me (or to TA) as early in the semester as possible. DSP is located in STU 301 and is open 8:30 a.m.–5:00 p.m., Monday through Friday. The phone number for DSP is (213) 740-0776. Statement on Academic Integrity USC seeks to maintain an optimal learning environment. General principles of academic honesty include the concept of respect for the intellectual property of others, the expectation that individual work will be submitted unless otherwise allowed by an instructor, and the obligations both to protect one’s own academic work from misuse by others as well as to avoid using another’s work as one’s own. All students are expected to understand and abide by these principles. SCampus, the Student Guidebook, contains the Student Conduct Code in Section 11.00, while the recommended sanctions are located in Appendix A. http://www.usc.edu/dept/publications/SCAMPUS/gov/ Students will be referred to the Office of Student Judicial Affairs and Community Standards for further review, should there be any suspicion of academic dishonesty. The Review process can be found at: http://www.usc.edu/student-affairs/SJACS/ Failure to adhere to the academic conduct standards set forth by these guidelines and our programs will not be tolerated by the USC Marshall community and can lead to dismissal. Emergency Preparedness/Course Continuity In case of emergency, and travel to campus is difficult, USC executive leadership will announce an electronic way for instructors to teach students in their residence halls or homes using a combination of Blackboard, teleconferencing, and other technologies. Instructors should be prepared to assign students a "Plan B" project that can be completed at a distance. For additional information about maintaining your classes in an emergency please access: http://cst.usc.edu/services/emergencyprep.html Please activate your course in Blackboard with access to the course syllabus. Whether or not you use Blackboard regularly, these preparations will be crucial in an emergency. USC's Blackboard learning management system and support information is available at blackboard.usc.edu. Incomplete Grades In incomplete (IN) grade may be assigned due to an “emergency” that occurs after the 12th week of classes. An “emergency” is defined as a serious documented illness, or a documented unforeseen situation that is beyond the student’s control, that prevents a student from completing the semester. Prior to the 12th week, the student still has the option of dropping the class. Arrangements for completing an IN course should be initiated by the student, and negotiated with the instructor. Class work to complete the course should be completed within one calendar year from the date the IN was assigned. The IN mark will be converted to an F grade should the course not be completed.

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UNIVERSITY OF SOUTHERN CALIFORNIA GUIDELINES Academic ConductPlagiarism – presenting someone else’s ideas as your own, either verbatim or recast in your own words – is a serious academic offense with serious consequences. Please familiarize yourself with the discussion of plagiarism in SCampus in Section 11, Behavior Violating University Standards https://scampus.usc.edu/1100-behavior-violating-university-standards-and-appropriate-sanctions. Other forms of academic dishonesty are equally unacceptable. See additional information in SCampus and university policies on scientific misconduct, http://policy.usc.edu/scientific-misconduct. Discrimination, sexual assault, and harassment are not tolerated by the university. You are encouraged to report any incidents to the Office of Equity and Diversity http://equity.usc.edu or to the Department of Public Safety http://capsnet.usc.edu/department/department-public-safety/online-forms/contact-us. This is important for the safety of the whole USC community. Another member of the university community – such as a friend, classmate, advisor, or faculty member – can help initiate the report, or can initiate the report on behalf of another person. The Center for Women and Men http://www.usc.edu/student-affairs/cwm/ provides 24/7 confidential support, and the sexual assault resource center webpage http://sarc.usc.edu describes reporting options and other resources. Support Systems Students whose primary language is not English should check with the American Language Institute http://dornsife.usc.edu/ali, which sponsors courses and workshops specifically for international graduate students. The Office of Disability Services and Programs www.usc.edu/disability provides certification for students with disabilities and helps arrange the relevant accommodations. If an officially declared emergency makes travel to campus infeasible, USC Emergency Information http://emergency.usc.edu will provide safety and other updates, including ways in which instruction will be continued by means of blackboard, teleconferencing, and other technology.

6

COURSE READINGS/CLASS SESSIONS Students should read the assigned chapter(s) BEFORE the associated lecture date.

# Date Topic Chap 1 1/11 MW

(1/12) TR Introduction to Corporate Finance: What does a financial manager do? Forms of business organization, Goal of financial management, agency problem, Principal-agent problem, incentives

1

2 1/13 (1/14)

Financial Statements: Balance sheet, Income statement, Average versus marginal tax rates, Operating cash flow, Change in net working capital, Standardized financial statements, Sources and uses of cash, Ratio analysis

2, 3

1/18 (1/19)

No class (MLK Holiday)

3 1/20 (1/21)

Long Term Financial Planning and Growth: Growth as a goal, Sales forecast, Pro forma statements, Asset requirements, Percentage of sales approach, External financing and growth, Internal growth rate, Sustainable growth rate

4

4 1/25 (1/26)

The Time Value of Money: Future Value and Compounding, investing for a single period, compound growth, lump sum versus payments, Present Value and discounting, present versus future value, determining the discount rate, single period present value, lump sum versus payments

5

5 1/27 (1/28)

Discounted Cash Flow Valuation: Future and present values of multiple cash flows, Valuation of annuities, Perpetual bonds, Future value of annuities, Annuities due

6

6 2/1 (2/2)

Discounted Cash Flow Valuation Effective annual rates, Calculating and comparing rates, EAR versus APR, Continuous compounding, Loan types, Amortization, Pure discount Loans, Interest only loans, Amortized loans

6

7 2/3 (2/4)

Review for Exam 1

2/8 (2/9)

Exam 1

8 2/10 (2/11)

Interest Rates and Bond Valuation: Bonds and valuation of bonds, Bond features, Interest rate risk, Default and credit risk, Re-investment rate risk, Bond indenture, Debt or equity? Long term debt, Government bonds, Corporate bonds, Mortgage bonds, Floating rate bonds, Zero coupon bonds

7

2/15 (2/16)

No class (President’s Day)

7

# Date Topic Chap 9 2/17

(2/18) Interest Rates and Bond Valuation: Bond ratings, Moody’s and Standard and Poor’s, Investment grade versus high yield (junk) debt, Real versus nominal rates, Fisher effect, Term structure of interest rates – Yield curve

7

10

2/22 (2/23)

Stock Valuation: Zero growth, Constant growth model, Shareholder rights, Common stock versus preferred stock, Cumulative versus non-cumulative, Dealers and brokers, NYSE, NASDAQ

8

11

2/24 (2/25)

Net Present Value and Other Investment Criteria: NPV estimate, Payback rule, Internal rate of return, Discounted payback, Profitability index, Capital budgeting, IRR versus NPV, Mutually exclusive projects, Nonconventional cash flows, NPV profile, Acceptance and rejection rules for each capital budgeting criteria

9

12

2/29 (3/1)

Making Capital Investment Decisions: Incremental cash flows, Pro forma statements, Side effects, Sunk costs, Opportunity costs, Net working capital, Financing costs, Depreciation (MACRS), Operating cash flow – alternative definitions, Setting a bid price

10

13

3/2 (3/3)

Review for Exam 2

3/7 (3/8)

Exam 2

3/9 (3/10)

No Class

3/14 (3/15)

SPRING BREAK – No Class

3/16 (3/17)

SPRING BREAK – No Class

14

3/21 (3/22)

Some Lessons from Capital Market History: Returns through time for different asset classes, Historical record, Risk premiums, Variability of returns, Average versus geometric, Capital market efficiency

12

15

3/23 (3/24)

Return, Risk, and the Security Market Line Expected returns and variances, portfolio weights and expected returns, unexpected returns, Systematic and unsystematic risk, diversification

13

16

3/28 (3/29)

Return, Risk, and the Security Market Line: Systematic risk and beta, Portfolio beta, Security market Line, Reward to risk ratio, Beta and the risk premium, Capital asset pricing model (CAPM), Cost of capital

13

17

3/30 (3/31)

Cost of Capital: Cost of capital, Cost of equity, Cost of debt, Cost of preferred stock, Weighted average cost of capital (WACC), Divisional cost of capital, Project cost of capital

14

18

4/4 (4/5)

Review for Exam 3

8

# Date Topic Chap 4/6

(4/7) Exam 3

19

4/11 (4/12)

Raising Capital: Financing Life Cycle of a firm, selling securities to the public, underwriters, IPOs, IPOs and underpricing, Costs of Issuing securities, Rights Offerings, Dilution, Issuing Long Term Debt, Shelf Registration

15

20

4/13 (4/14)

Financial Leverage and Capital Structure Policy: Capital structure question – Debt or equity financing? Effect of financial leverage, Cost of equity or debt? M&M proposition I&II

16

21

4/18 (4/19)

Financial Leverage and Capital Structure Policy: M&M proposition I and II with and without corporate taxes, Bankruptcy costs, Optimal capital structure, Bankruptcy liquidation versus reorganization

16

22

4/20 (4/21)

Dividends and Payout Policy: Cash dividends, stock dividends, Low payouts versus high payout ratios, tax and legal benefits, dividend policy, stock repurchase plans, stock splits, reverse splits

17

23

4/25 (4/26)

Behavioral Finance: Biases, Framing effects, Heuristics, Limits to arbitrage, Bubbles and crashes, Market efficiency and professional money managers

22

24

4/27 (4/28)

Review for the final exam

Final Exam for day and time see: https://classes.usc.edu/term-20161/finals/

TOM Y. CHANG [email protected]

University of Southern California

Marshall School of Business CONTACT INFORMATION USC FBE Dept Bridge Hall – 308, MC-0804 Los Angeles, CA 90089-0804 213-740-1135 [email protected]

ACADEMIC POSITIONS

Assistant Professor Research Fellow CESR Fellow

University of Southern California Marshall School of Business Department of Finance and Business Economics Schaeffer Center for Health Policy and Economics USC Dornsife Center for Economic and Social

Research

2009 -

2013 -

2013 -

EDUCATION Ph.D Economics Massachusetts Institute of Technology (MIT) 2009 B.S. Physics Massachusetts Institute of Technology (MIT) 1998

CITIZENSHIP U.S.A. RESEARCH & TEACHING FIELDS

Industrial Organization, Behavioral Economics, Corporate Finance, Applied Microeconomics

FELLOWSHIPS,HONORS, AND AWARDS

Hillcrest Behavioral Finance Prize (2016) California Corporate Finance Conference: Winner Best Paper Award (2015) National Science Foundation Grant (2007-2010), “The Effect of Judicial Bias in

Chapter 11 Reorganization” (Antoinette Schoar - PI) Ewing Marion Kauffman Foundation Grant (2007-2010), “The Effect of Judicial

Bias in Chapter 11 Reorganization and the Creation of a National Repository for Chapter 11 Filings” (Antoinette Schoar - PI)

George and Obie Shultz Fund (2007), “How Many Pears Would a Pear Packer Pack? An Empirical Evaluation of Intertemporal Labor Supply” (with Tal Gross)

Becker Center Price Theory Summer Camp (2008) United States Department of Agriculture Grant (2008-2011), “Labels, Location and

Price: Environmental Influence on Consumer and Firm Behavior” (with Sendhil Mullainathan)

PROFESSIONAL ACTIVITIES

Referee: American Economic Review, AEJ: Applied Economics, AEJ: Economic Policy, BEJ: Economic Analysis & Policy, Economic Inquiry, European Economic Review, ILR Review, Journal of Economic Behavior and Organizations, Journal of the European Economic Association, Journal of Finance, Journal of Institutional and Theoretical Economics, Journal of Legal Studies, Journal of Public Economics, Management Science, Quarterly Journal of Economics, Review of Economics and Statistics Southern California Conference in Applied Microeconomics Organizing Committee (2016-2017)

mailto:[email protected]

mailto:[email protected]

TOM Y. CHANG

PAGE 2

FMA Annual Meeting Program Committee (2016)

PUBLICATIONS “Physician Agency and Patient Survival” (with Craig C. Earle, Mireille Jacobson

and Joseph Newhouse) Journal of Economic Behavior & Organizations (forthcoming) “Being Surprised by the Unsurprising: Earnings Seasonality and Stock Returns” (with Samuel M. Hartzmark, David Solomon and Eugene F. Soltes) Review of Financial Studies (forthcoming) “Particulate Pollution and the Productivity of Pear Packers” (with Joshua S. Graff Zivin, Tal Gross and Matthew J. Neidell) American Economic Journal: Economic Policy, 8(3), 2016. “Looking for Someone to Blame: Delegation, Cognitive Dissonance and the Disposition Effect” (with David Solomon and Mark Westerfield) Journal of Finance, 71(1), 2016. “How Many Pears Would a Pear Packer Pack if a Pear Packer Could Pack Pears at Quasi-Exogenously Varying Piece Rates” (with Tal Gross) Journal of Economic Behavior & Organizations, 99, 2014. Lead article “A Market for Disaster Preparedness: Using Cap-and-Trade to Regulate Provision of Essential Services,” (with Mireille Jacobson,) in Regulation versus Litigation: Perspectives from Economics and Law, Daniel Kessler, editor (2010).

RESEARCH PAPERS

“Judge Specific Difference in Chapter 11 and Firm Outcomes” (with Antoinette Schoar) Revision Requested: Journal of Finance “Going to Pot? Medical Marijuana Dispensaries and Crime” (with Mireille Jacobson) Revision Requested: Journal of Urban Economics “What Do Not-For-Profit Hospitals Maximize? Evidence from California’s Seisemic Retrofit Mandate” (with Mireille Jacobson) Revision Requested: Journal of Public Economics “The Effect of Pollution on Worker Productivity: Evidence from Call-Center Workers in China” (with Joshua Graff-Zivin, Tal Gross and Matthew Neidell) Revision Requested: American Economic Journal: Applied Economics “Categorical Consideration: Evidence and Market Implications” “Experiments in Choice” (with Sendhil Mullainathan and Eldar Shafir) “Something in the Air: Projection Bias and the Demand for Insurance” (with Wei Huang and Yongxiang Wang)

TOM Y. CHANG

PAGE 3

RESEARCH IN PROGRESS

“Neural Dynamics of Decision-Making in a Financial Trading Task” (with Cary Frydman and Alison Harris) “Emissions, Ethanol and Health Externalities” (with Sebastian Bauhoff and Mireille Jacobson) “Priming Doctors” (with Srikanth Kadiyala and Sendhil Mullainathan)

“Golden Pigs and Fire Horses: Birth Cohorts, Capacity Constraints and Health Outcomes” (with Srikanth Kadiyala and Mireille Jacobson)

INVITED SEMINARS AND CONFERENCE PRESENTATIONS

2007: AEA/ASSA Annual Meeting – Chicago, Il Conference on Financial Contracting: Theory and Evidence – Mannheim,

Germany 2008: American Law and Economics Association Annual Meeting – New York,

NY Academy Health Annual Research Meeting – Washington D.C. The Economics of Advertising and Marketing Workshop – Frankfurt,

Germany IUPUI – Indianapolis, IN

2009: Harvard Kennedy School of Government – Cambridge, MA UCLA Anderson School of Business – Los Angeles, CA Yahoo! Research – Sunnyvale, CA Michigan State University – East Lansing, MI USC Marshall School of Business – Los Angeles, CA RAND - Santa Monica, CA Behavioral Models of Market Competition – Frankfurt, Germany

(discussant) NBER Conference on Regulation versus Litigation – Phoenix, AZ California Corporate Finance Conference – Los Angeles, CA Conference on Empirical Legal Studies – Los Angeles, CA (discussant)

2010: AEA/ASSA Annual Meeting – New Orleans, LA Trans-Pacific Labor Seminar, UCSB – Santa Barbara, CA USDA Economic Research Service Conference and Workshop on

Behavioral Economics – Washington D.C. Vanderbilt University Law School – Nashville, TN Louis and Myrtle Moskowitz Workshop on Empirical Health Law and

Business Research, University of Michigan – Ann Arbor, MI American Society of Health Economists Biennial Conference – Ithaca, NY

(discussant) All California Labor Conference, UCSB – Santa Barbara, CA RAND – Santa Monica, CA Advances with Field Experiments, Wharton – Philadelphia, PA Owen Graduate School of Management – Nashville, TN

TOM Y. CHANG

PAGE 4

2011: 2012: 2013: 2014: 2015: 2016:

Cornell University – Ithaca, NY Southern California Conference in Applied Microeconomics – Claremont,

CA (discussant) UCLA/UCI/USC Finance day – Los Angeles, CA (discussant) NBER Summer Institute – Cambridge, MA California Corporate Finance Conference – Los Angeles, CA (discussant) Confrencia de Salud y Desarrollo Socio Economico en Latinamerica –

Universidad de Chile UCSD Rady School of Business – San Diego, CA BU/Harvard/MIT Health Seminar – Cambridge, MA UCSB Field Experiments Conference – Santa Barbara, CA NBER Organizational Economics Meeting – Cambridge, MA (discussant) California Corporate Finance Conference – Los Angeles, CA Conference on Financial Economics and Accounting – Los Angeles, CA

(discussant) Cal Poly – San Luis Obispo, CA Southern California Conference on Applied Microeconomics – Claremont,

CA Behavioral Economics Annual Meeting – Ithaca, NY Western Finance Association Annual Meeting – Lake Tahoe, NV UC Berkeley – Berkeley, CA AEA/ASSA Annual Meeting – Philadelphia, PA American Society of Health Economists Biennial Conference – Los

Angeles, CA Southern California Finance Conference – Claremont, CA NBER Chinese Economy Meeting, Cambridge, MA (discussant) IZA Workshop, Berlin, Germany Southern California Finance Conference – Claremont, CA (discussant) CESR USC, Los Angeles, CA California Corporate Finance Conference – Los Angeles, CA AFA Annual Meeting – San Francisco, CA (discussant) Federal Reserve Bank of Cleveland – Cleveland, OH Midwest Financial Association Conference – Atlanta, GA (discussant) Southern California Conference on Applied Microeconomics – Claremont,

CA (session chair) LA Finance Day – Los Angeles, CA Behavioral Economics Annual Meeting – Ithaca, NY Claremont Graduate University – Claremont CA Australian National University – Canberra, Australia FMA Annual Meeting – Las Vegas, NV (session chair) UCSD Rady School of Business – San Diego, CA

Documents

2015 ANNUAL PERFORMANCE REVIEW USC M · 2015 ANNUAL PERFORMANCE REVIEW USC MARSHALL SCHOOL OF BUSINESS ... 2016 USC Center for Economic and Social Research ... "Journal of Legal Studies",