February 2007


San Francisco Chronicle

Low Prices, Mired Sales Deepen Housing Doldrums
The California housing market continues to sputter, with prices barely edging up and home sales still falling.  According to Edward Leamer, director of the UCLA Anderson Forecast, even if prices of new homes begin to rise this year, the larger resale market will take longer to recover.  “The resale market is going to take longer, as sellers hold on and hold on,” says Leamer.  This article appeared on Feb. 28.

Los Angeles Times
Recession? Nah, Many Say
A recent stock market drop has some wondering if a recession is around the corner.  “The economy is percolating along pretty well,” says Edward Leamer, director of the UCLA Anderson Forecast, adding, “We don’t see anything in the data that we monitor that suggests that the economy is having any real trouble.”  This article appeared on Feb. 28, and was reprinted in the Denver Post.

The News Journal (Delaware)
Principals Lack Power of the Purse
A group of education, community and business leaders aiming to revamp Delaware schools have concluded that principals need more autonomy.  “You want your principals to be instructional leaders,” says William Ouchi, professor at UCLA Anderson School of Management, “But they don’t actually have control over anything that has to do with instruction.”  This article appeared on Feb. 26.

The Daily Trojan
Real Estate Professor Closes Deal on Move
On June 1, the director of the USC Lusk Center of Real Estate will become director of the Richard S. Ziman Real Estate Center, a joint venture between UCLA Anderson School of Management and UCLA School of Law.  “We needed someone who has a strong research reputation to provide good leadership to the Ziman Center,” says Francis Longstaff, professor at UCLA Anderson School of Management.  This article appeared on Feb. 26.

New York Times
Job Security, Too, May Have a Happy Medium
For decades, American economists have bragged that layoffs in the U.S. are a good thing because too much job security can hinder economic development, like in Europe and Japan – but these economists paid little attention to the cyclical reasons for the underperformance in these countries.  “Sometimes we forget these cyclical forces,” says Sanford Jacoby, professor at UCLA Anderson School of Management.  This article appeared on Feb. 26.

The Economic Times
Talent-Starved Analytics Look to Foreign Universities
As the need for analytics continues to grow in India, foreign universities are gearing up to meet this demand.  This January, UCLA Anderson School of Management will offer a degree in financial engineering and UCLA Anderson faculty recently traveled to India and shared this news.  “Our interaction with corporates told us that the need is to introduce a similar course in India,” says Judy Olian, dean of the UCLA Anderson School.  This article appeared on Feb. 23.

Bradenton-Herald
Companies Assess Tax Shift
In an unusual move, the state of Florida is considering abolishing property taxes and raising the sales tax by 2 ½ percent.  “It could work,” says Gonzalo Freixes, a professor at UCLA Anderson School of Management.  “It could work very well so long as they provide protections for lower-income folks and make it gradual so industries affected could adjust their approach accordingly.”  This article appeared on Feb. 23.

UCLA Today
On the Move
Stuart Gabriel, who holds the Lusk Chair at USC and directs the USC Lusk Center for Real Estate, will become a professor of finance at UCLA Anderson School of Management.  “…Dr. Gabriel will propel us forward with his creative and visionary thinking, established scholarship and broad expertise in his field,” says UCLA Anderson dean Judy Olian.  This article appeared on Feb. 21.
 
Los Angeles Times
USC Loses Realty Scholar to UCLA
Ranked among the top business school professors, Stuart Gabriel will join UCLA on June 1 and will hold three titles: professor of finance, Arden Realty Chair and director of the Richard S. Ziman Center for Real Estate.  Dr. Gabriel has won accolades for his research in such fields as real estate capital markets, mortgage default risk and housing economics.  “…it’s a chance to build a world-class program at one of the world’s premier universities,” says Dr. Gabriel.  This article appeared on Feb. 17.

New York Times 
Home Prices Fall in More Than Half of Nation’s Biggest Markets
In addition to weaker sales and declining prices, the number of homes on the market has been climbing.  “That means we have got a while before this thing fully adjusts,” says Edward Leamer, director of the UCLA Anderson Forecast.  This article appeared on Feb. 16.

Contra Costa Times
Report: Housing Slump May Hurt
The relentless erosion of the Bay Area’s housing market could affect the region’s economy and job outlook, according to Ryan Ratcliff, economist with the UCLA Anderson Forecast.  “We’ve only seen the beginning of the East Bay real estate slowdown,” says Ratcliff.  This article appeared on Feb. 9 and was reprinted in the Oakland Tribune on Feb. 11.

Daily Bruin
Committee Aims to Facilitate Efforts, Educate
A newly formed UCLA committee will evaluate whether students and faculty believe the overall issue of sustainability is being adequately addressed.  One solution is the new graduate student supplemental program “Leaders in Sustainability” that is being taught by UCLA Anderson professor Charles Corbett and Mary Nichols, from UCLA’s Institute of the Environment.  This article appeared on Feb. 14.

Daily Bruin
Westwood Rent Moves Out of Range
Finding affordable housing in Westwood near campus is becoming impossible for many students, and the growing number of vacancy signs indicates that rent is on the rise.  “Supply is exceeding demand because there are more apartments than people want to rent,” says Stephen Cauley, associate director of the Richard S. Ziman Center for Real Estate.  This article appeared on Feb. 13.

El Pais (Spain)
Cosas Que el Dinero Puede Comprar, O No
Just because you have a lot of money doesn’t necessarily mean you are happy, according to research by Rakesh Sarin, professor and Paine Chair in Management at UCLA Anderson School of Management and Manuel Baucells, professor at IESE.  This article appeared on Feb. 12.

U.S. News & World Report
But We’re Huge in Poughkeepsie
Consumer packaged goods companies tend to measure their success by market share, but some national brands may not be as “national” as they seem.  Researchers from the University of Chicago, Graduate School of Business and the UCLA Anderson School of Management found that national brands’ sales vary widely from city to city.  This article appeared on Feb. 19.

Contra Costa Times
Report Details Housing Trends
More first-time home buyers in California are buying single-family homes, and later in their lives, according to the California Association of Realtors.  Edward Leamer, director of the UCLA Anderson Forecast is not surprised that the typical first-time buyer is 35.  “How could a 25-year-old kid afford a $500,000 starter home?” says Leamer.  This article appeared on Feb. 8 and was reprinted in the Oakland Tribune.

Austin American-Statesman
CBS Sells Austin’s KEYE-TV
CBS sold Austin’s KEYE-TV and six other stations to a private equity firm for $185 million.  The price tag “is not too bad for a group of affiliates,” says Gigi Johnson, a lecturer at UCLA Anderson School of Management.  This article appeared on Feb. 8.

La Vanguardia (Spain)
La Felicidad Son 11.500 Euros
Just because you have a lot of money doesn’t necessarily mean you are happy, according to research by Rakesh Sarin, professor and Paine Chair in Management at UCLA Anderson School of Management and Manuel Baucells, professor at IESE.  This article appeared on Feb. 8.

Investor’s Business Daily
Loeb Had His Ear to Market
The secret to the business success of Gerald Loeb – and the force that won him much admiration – was his moral code.  Loeb wanted his efforts to educate the public in the field of investment to continue after his death, so he funded the G. and R. Loeb Foundation, which serves as a steward for the coveted Gerald Loeb awards.  The UCLA Anderson School of Management serves as trustee to the awards.  The aim is to recognize journalists who “make significant contributions to the understanding of business, finance and the economy,” says foundation president Richard Rodner.  This article appeared on Feb. 8.

San Francisco Chronicle
Home Buyers Going Deeper Into Debt
According to a report by the California Association of Realtors, about 40 percent of first-time home buyers opted for loans without down payments.  “The market is going to find a way to add new buyers,” says Edward Leamer, director of the UCLA Anderson Forecast.  “That’s another symptom of a market gone awry.”  This article appeared on Feb. 7.

Globe and Mail
RRSP Season Raises Fear Factor
Some investment fund companies prey on the fears of retirees in their ad campaigns centered on registered retirement savings plans.  “It is depressing how little people know about investing,” says Shlomo Benartzi, professor at UCLA Anderson School of Management.  This article appeared on Feb. 5.

Daily Bruin
Economic Leaders Speak on Future of U.S.-China Relationship
Over 200 attendees participated in the sold-out Wilbur K. Woo Greater China Business Conference hosted by the UCLA Anderson School of Management in conjunction with the Greater China Business Association.  Speakers and panel discussions focused on four key areas including real estate, finance/venture capital, sports/entertainment, and technology/media.  “In 2039, China will be the world’s largest economy,” says Laurie Dowling, executive director of the UCLA Anderson School of Management Executive Education Programs.  “It is incumbent on everyone to have an understanding of it.”  This article appeared on Feb. 5.

Los Angeles Business Journal
Talk of Fee Hikes Gaining Ground at Graduate Schools
At the recent board of regents meeting, a proposal to raise fees at the University of California’s professional schools was presented.  “We feel the only way to continue to deliver the kinds of curriculum and faculty excellence and service required by an MBA student is by greater resources,” says Dean Judy Olian of the UCLA Anderson School of Management.  This article appeared on Feb. 5.

San Fernando Valley Business Journal
Technicolor Focuses on Future After Layoffs
As DVD sales have decreased, Technicolor will layoff more than 600 employees from its DVD replication, packaging and distribution facility in Camarillo, CA.  “…how do you staff for a fairly uncertain world where more and more people are getting used to watching video content online,” says Gigi Johnson, a lecturer at UCLA Anderson School of Management.  This article appeared on Feb. 5.

Media Relations