February 2004

CURRICULUM VITAE

 

Myron J. Gordon

Professor of Finance

Faculty of Management

University of Toronto

105 St. George Street

Toronto, Ontario M5S 3E6

 

 DEGREES:

B.A., University of Wisconsin (Economics), 1941

M.A., Harvard University (Economics), 1947

Ph.D., Harvard University (Economics), 1952

 

 EMPLOYMENT HISTORY:

 

1947-52, Assistant Professor, Graduate School of Industrial Administration, Carnegie‑Mellon University

1952-62, Associate Professor, School of Management, Massachusetts Institute of Technology

1966-67, Visiting Professor, University of California at Berkeley

1962-70, Professor, School of Management, University of Rochester

1973, Visiting Professor, Hebrew University, Jerusalem

1977, Visiting Professor, University of Pennsylvania

1985, Visiting Professor, New York University

1970-present, Professor, Faculty of Management, University of Toronto

 

 HONOURS:

Ford Foundation Faculty Fellow - 1962-1963

Connaught Faculty Fellow - 1982-1983

President, American Finance Association - 1975-76

Fellow, Royal Society of Canada - 1993

Honorary Doctor of Laws Degree, McMaster University - 1993

 

 

 SCHOLARLY and PROFESSIONAL ACTIVITIES:

Associate Editor, Journal of Finance, Financial Management, Journal of Banking & Finance, and Journal of Economics & Business

Various Committees of American Finance Association, American Accounting Association, Institute of Management Sciences.

 

 PUBLICATIONS:


 "Cost Allocations and the Design of Accounting Systems for Control," Accounting Review, 26 (April l95l), 209‑220. Reprinted in Readings in Cost Accounting, Budgeting and Control, Southwestern, l955.

 

 "The Valuation of Accounts at Current Cost," Accounting Review, 28(July l953), 373‑384. Reprinted in Financial Accounting Theory, McGraw‑Hill, l964.

 

 "Depreciation Allowances, Replacement Requirements and Growth: A Comment," American Economic Review, September l953.

 

 "LIFO and Standard Costs," Accounting Research, 5(July 1954), 203‑214.

 

 "The Payoff Period and the Rate of Profit," Journal of Business, October l955, 253‑260. Reprinted in Management of Corporate Capital, Glencoe, Ill.: Free Press of, l959.

 

 "The Managerial Use of Data Obtainable in Conjunction with LIFO," The Accounting Review, 31(April l956), 234‑243.

 

 "The Condition for Lot Size Production," with W.J. Taylor, Journal of American Statistical Association, 51(December l956), 627‑636.

 

 "Capital Equipment Analysis: The Required Rate of Profit," with Eli Shapiro, Management Science, 3(October l956) 102‑110. Reprinted in Management of Corporate Capital, Glencoe, Ill.: Free Press of, l959.

 

 "Dividends, Earnings and Stock Prices," Review of Economics and Statistics, 41( May l959), 99‑105. Reprinted in Elements of Investments:Selected Readings, by Hsiu‑Kwang Wu and Alan J. Zakon, Holt, Rinehart and Winston, Inc., l965.

 

 Accounting: A Management Approach, with T.M. Hill, 2nd edition, Homewood, Illinois: Richard D. Irwin, Inc., l959.

 

 "The Optimum Dividend Rate," presented at 6th Annual International Meetings of the Institute of Management Sciences, September l959 and published in Management Sciences: Models and Techniques, proceedings of the meetings, London: Pergamon Press, l960.

 

 "Security and a Financial Theory of Investment," Quarterly Journal of Economics, 74(August l960), 472‑492.

 

 "Scope and Method of Theory and Research in the Measurement of Income and Wealth," Accounting Review, 35(October l960),603‑618.

 

 "The Savings, Investment, and Valuation of a Corporation," Review of Economics and Statistics, 44 (February l962), 37‑49. Reprinted in Foundation for Financial Management, edited by James Van Horne, Irwin, l966.

 


 "Variability in Earnings‑Price Ratios: Comment," American Economic Review, 52(March l962), 203‑209.

 

 The Investment, Financing and Valuation of the Corporation, Homewood, Illinois: Richard D. Irwin, Inc., March l962.

 

 "Security and a Financial Theory of Investment: Comment ‑ Reply," The Quarterly Journal of Economics, 76(May l962), 315‑319.

 

 Review of The Theory and Measurement of Business Income by Edwards and Bell, published in Southern Economic Journal, July l962.

 

 Review of Investment and Growth Policies in British Industrial Firms, by Tibor Barna, published in Journal of Business, October l962.

 

 "The Use of Administered Price Systems to Control Large Organizations," Yale Management Seminar, and the Cowles Commission, December 3, l962 and in Proceedings of the Seminar on Basic Research in Management Controls, February 20‑22, l963, Stanford University.

 

 "Optimal Investment and Financing Policy," Meeting of the American Finance Association, Pittsburgh, December l962, and in Journal of Finance, 18(May l963), 264‑272. Reprinted in Theory of Business Finance: Advanced Readings, ed. by J.Fred Weston and Donald H. Woods, Wadsworth Publishing Company Inc., l969. Reprinted in The Theory of Business Finance, edited by Archer and Ambrosio, Macmillan, l969.

 

 "Towards a Theory of Responsibility Accounting Systems," NAA Bulletin, (December l963) 3‑10. Reprinted in A Behavioral Accounting Sampler, edited by William J. Burns, Jr., and Don T. De Coster, McGraw‑Hill Book Company, l969.

 

 "Postulates, Principles and Research in Accounting," Accounting Review, 39(April l964), 251‑263.

 

 Accounting: A Management Approach, with Gordon Shillinglaw, 3rd edition, Homewood, Illinois: Richard D. Irwin, Inc., l964.

 

 "Security and Investment: Theory and Evidence," The Journal of Finance, 19(December l964), 607‑618. Reprinted in The Theory of Business Finance, edited by Archer and Ambrosio, Macmillan, l969.

 

 "Why Bankers Ration Credit," with Marshall Freimer, Quarterly Journal of Economics, 79(August l965), 397‑416.

 

 "Testimony of Myron J. Gordon," (On the Rate of Return AT&T Should be Allowed to Earn), Federal Communications Commission Docket No. l6258, F.C.C. Staff Exhibit No. l7, l966.

 


 "Accounting Measurements and Normal Growth of the Firm," with Bertrand N. Horwitz and Philip T. Meyers, in Research in Accounting Measurement, edited by Jaedicke, Ijiri, and Nielsen, American Accounting Association, (l966), 221‑231. (Papers given at the Seminar on Basic Research in Accounting Measurement at the Graduate School of Business, Stanford University, March l965).

 

 "An Economist's View of Profit Measurement," presented at Conference on Understanding Profits, University of Minnesota, (l967), 63‑72. Published in Profits in the Modern Economy, edited by Harold W. Stevenson and J. Russell Nelson, l967.

 

 "Some Estimates of the Cost of Capital to the Electric Utility Industry, l954‑57: Comment," The American Economic Review, 57(December l967), 1268‑1278.

 

 "The FCC's 7.5 Per Cent Ruling: A Further Comment," Public Utilities Fortnightly, 8l(February l, l968).

 

 "Leverage, Dividend Policy, and the Cost of Capital," with Eugene F. Brigham, The Journal of Finance, 23(March l968), 85‑103.

 

 "The Assignment of Costs to Joint Products in a Decentralized Firm," with Charles Ying, Journal of Business, 41(July l968), 363‑374.

 

 "Investment Behavior with Utility a Concave Function of Wealth," with Marshall Freimer, published in Risk and Uncertainty, edited by Karl Borch and Jan Mossin, International Economic Association, St. Martin's Press, l968. (Presented at Smolenice, Czechoslovakia, April l966).

 

 Accounting: A Management Approach, with Gordon Shillinglaw, 4th edition, Homewood, Illinois: Richard D. Irwin, Inc., l969.

 

 "Rate of Return on Equity Capital Under Regulation," published in Rate of Return Under Regulation: New Directions and Perspectives, edited by Harry M. Trebing and R. Hayden Howard, MSU Public Utilities Studies, Michigan State University, l969. (Presented at Conference on New Developments in the Rate of Return, Michigan State University, April l8, l968).

 

 "Leverage, Dividend Policy and the Cost of Capital: Reply," Journal of Finance, September 1970.

 

 "A Method of Pricing for a Socialist Economy," Accounting Review, 45(July l970) 427‑443. Reprinted in Accounting for Social Goals: Budgeting and Analysis of Nonmarket Projects, John Leslie Livingstone and Sanford C. Gunn, Harper and Row Publishers, l974.

 

"Towards a Theory of Financial Distress," Journal of Finance, 26(May l97l), 347‑356.

 

"A Method of Pricing for a Socialist Economy: A Reply," Accounting Review, 46(October l97l), 788‑790.

 


 "Bill C‑259 and the New Economic Environment," University of Toronto, Working Paper Series, No. 7l‑35, November l97l. (Presented at 23rd Tax Conference, Canadian Tax Foundation, in Vancouver, B.C., November l97l). Published in l97l Conference Report, November l5‑l7, l97l, Vancouver, B.C.

 

 "Employment and Productivity," The Canadian Forum, January/February l972.

 

"Experimental Evidence on Alternative Portfolio Decision Rules," with G.E. Paradis and C.H. Rorke, The American Economic Review, March l972.

 

 The Cost of Capital to a Public Utility, East Lansing, MI: Michigan State University, l974.

 

 "Valuation and the Cost of Capital for Regulated Utilities: Comment," with J.S. McCallum, The Journal of Finance, 27(December 1972), 1141‑1146.

 

 "Cost of Capital for a Division of a Firm," with P.J. Halpern, The Journal of Finance, 29(September l974), 1153‑1163.

 

 "Canadian Manufacturing: A Strategy for Development," The Business Quarterly, (Winter l974), 52‑57.

 

 "A Portfolio Theory of the Social Discount Rate and the Public Debt," Journal of Finance, 31(May l976), 199‑214.

 

 "Bond Share Yield Spreads Under Uncertain Inflation," with P.J. Halpern, American Economic Review, 66(September l976), 559‑565.

 

  "Optimal Timing of Capital Expenditures," published in Financial Decision Making Under Uncertainty, edited by Haim Levy and Marshall Sarnat, Academic Press, Inc., (l977), 83‑94.

 

 "Rate of Return Regulation in the Current Economic Environment," published in Adapting Regulation to a Period of Shortage Curtailment, and Inflation, edited by John L. O'Donnell, Michigan State University, Institute of Public Utilities l977. (Presented at the Eighth Annual Conference of the Institute of Public Utilities, at Michigan State University, November 4‑5, l976.)

 

 "Cost of Capital For a Division of a Firm: Reply." with P.J. Halpern, The Journal of Finance, 32 (December 1977), 1781‑1782.

 

 "Accounting Principles that Serve the Information Needs of Corporate Investors," published in Trends in Managerial and Financial Accounting, edited by Cees van Dam, Martinus Nijhoff Social Sciences Division, Leiden/Boston l978.

 


 "The Impact of Inflation on Share Yields and Holding Period Returns," with Shalom Hochman, published in Inflation and the Capital Markets, edited by Marshall Sarnat and Haim Levy, Cambridge, Mass.: Ballinger Publishing Co., 1978.

 

 "Comparison of Historical Cost and General Price Level Adjusted Cost Rate Base Regulation," The Journal of Finance, 32 (December l977), 1501‑1512.

 

 "The Cost of Equity Capital: A Reconsideration," with Lawrence I. Gould, Journal of Finance, 33 (June l978), 849‑861.

 

 "Capital Costs and Capital Requirements," Public Utilities Fortnightly, 100 (December 22, l977), 1‑4.

 

 Commercial Policy for Managerial and Professional Services, with F.R. Casas and D.J. Fowler, Department of Industry Trade and Commerce, l977.

 

 "A World Scale National Corporation Industrial Strategy," Canadian Public Policy, 4 (Winter l978), 46‑56.

 

 "The Cost of Equity Capital with Personal Income Taxes and Flotation Costs," with Lawrence I Gould, Journal of Finance, 33 (September l978), 1201‑1212.

 

 "Financial Statement Principles That Are Useful for Security Analysis," published in Eric Louis Kohler, Accounting's Man of Principles, edited by William W. Cooper and Yuji Ijiri, Reston Publishing Company, l979.

 

 Accounting: A Management Approach, with Gordon Shillinglaw and Joshua Ronen, 6th edition, Homewood, Illinois: Richard D. Irwin, Inc., l979.

 

 "Optimal Dynamic Consumption and Portfolio Planning in a Welfare State," with S.P. Sethi and B. Ingham, TIMS Studies in the Management Sciences 11 (l979), 179‑196.

 

 "Debt Maturity, Default Risk, and Capital Structure," with C.C.Y. Kwan, Journal of Banking and Finance, 3 (l979), 313‑329.

 

 "Economic Development on a Distant Planet," published in Quantitative Planning and Control, edited by Yuji Ijiri and Andrew B. Whinston, New York: Academic Press, (l979), 71‑76.

 

 "Growth and Survival in a Capitalist System," Journal of Post Keynesian Economics, 2(Summer l980), 443‑458.

 

 Financial Considerations for Providing Incentives for Private Industry and Their Implications for Employment Level and Stability, with L.D. Booth, Department of Industry Trade and Commerce, July l98l.

 

 The Drug Industry: A Case Study in Foreign Control, with David J. Fowler, Toronto: James Lorimer and Co., l98l.


 "Financial Gain from Conglomerate Mergers," with Joseph Yagil, published in Research in Finance, edited by Haim Levy, JAI Press Inc., Greenwich, Connecticut, l982.

 

 "Corporate Bureaucracy, Productivity Gain, and Distribution of Revenue in U.S. Manufacturing, l947‑77," Journal of Post Keynesian Economics, 4(Summer l982), 483‑496.

 

 "Leverage and the Value of a Firm Under a Progressive Personal Income Tax, Journal of Banking and Finance, 6(l982), 433‑443.

 

 "The Impact of Real Factors and Inflation on the Performance of the U.S. Stock Market from l960 to l980," Journal of Finance, 38, (May l983), 553‑563.

 

 "Performance of the Multinational Drug Industry in Home and Host Countries: A Canadian Case Study," published in The Multinational Corporation in the l980s, edited by Charles P. Kindleberger and David B. Audretsch, The MIT Press, Cambridge, Massachusetts, l983.

 

 "Price and Expenditure Performance of the Multinational Drug Industry in a Home and Host Country," with David J. Fowler, published in Management Under Government Intervention: A View from Mount Scopus, edited by Robert F. Lanzillotti and Yoram C. Peles, JAI Press Inc., Greenwich, Conn., (l984), 59‑83.

 

 The Taxation of Canadian Subsidiaries of Foreign Corporations, Occasional Paper No. 3, l984, Canadian Institute for Economic Policy, Toronto: James Lorimer.

 

 "The Effect of Public Policy Initiatives on Drug Prices in Canada," with D.J. Fowler, Canadian Public Policy, March l984.

 

 "Leverage and the Value of a Firm under a Progressive Income Tax: Reply." Journal of Banking and Finance 8(July 1984), 495‑497.

 

 "Interest in a Corporation of Its Management, Workers and Country," in Dirkenderen and Crum, Readings in Strategy for Corporate Investment, Pitman l98l.

 

 "The Nominal Yield and Risk Premium on the TSE‑300, l956‑l982," with L.I. Gould, Canadian Journal of Administrative Science, l(l984), 50‑60.

 

 "Comparison of the DCF and HPR Measures of the Yield on Common Shares," with L.I. Gould, Financial Management, (Winter l984), 40‑47.

 

"The Postwar Growth in Monopoly Power," Journal of PostKeynesian Economics, 7 (Fall l985), 3‑13.

 

 "Insecurity, Growth and the Rise of Capitalism," Journal of Post‑Keynesian Economics, 9(Summer l987), 529‑551.

 


 "Why Corporations Pay Dividends," in Sarnat and Szego, Essays in Honor of Irwin Friend, North‑Holland Publishing Company, l988.

 

 "Keynesian Models of the Short Run and the Steady State," with Robert M. Costrell, Journal of Economics (Zeitschrift fur Nationalokonomie) 48 (4, 1988) 355‑373.

 

 "Corporate Finance Under the MM Theorems," Financial Management, (Summer 1989), 19‑28.

 

 "The Interest Rate Component of Systematic Risk" with D.A. Gordon and L.I. Gould, Journal of Accounting, Auditing and Finance, 5(4,1990), 573‑591.

 

 "Choice Among Methods for Estimating Share Yield," with D.A. Gordon, and L.I. Gould, Journal of Portfolio Management, 15(3,1989), 50‑55.

 

"Liquidity, Profitability and Long‑Run Survival: Theory and Evidence on Business Investment," with Trevor Chamberlain, Journal of Post Keynesian Economics, 11(Summer 1989), 589‑610.

 

 "The Operation of Joint Ventures in China," Jiang Han Luntan, Journal of the Hubei Academy of Social Sciences, 3 (1989), 37‑45.

 

 "Price Reform‑the Case of Coal," Economics Information, Journal of the Institute of Economics, Chinese Academy of Social Sciences, 9(September 1989), 33‑37.

 

 "The Financial Consequences of Monopoly Power," with Trevor Chamberlain, The Manchester School, 61 (September 1991), 244‑255.

 

 "On the International Comparison of China's GNP," with Luo Fei and Wang Zhengping, Journal of Zhongnan University of Finance and Economics 3 (1991), 73‑90 and People's Daily Internal Reference Journal, and Advances in Chinese Industrial Studies, Vol. 3, N. Campbell and W.C. Wedley, Eds., Greenwich, CT: JAI Press, 1992, 5‑19.

 

 "Neoclassical and Keynesian Theories of Investment," Journal of Post Keynesian Economics, 14 (April 1992).

 

 "The Investment, Financing and Control of the Firm: A Long‑term Survival View," with Trevor Chamberlain, Cambridge Journal of Economics, 15 (1991), 393‑403.

 

 "What Should Corporations Maximize," with Trevor Chamberlain, Canadian Investment Review, 4(February 1991) 41‑46.

 

 "China's Path to Market Socialism," Challenge: The Magazine of Economic Affairs, 35(January 1992) 53‑56, and Chinese Journal of Industrial Engineering and Engineering Management (Chinese), 6 (Sept.1992) 1‑5.

 


 "The Automotive Experience in Sino‑Western Manufacturing Joint Ventures," in Advances in Chinese Industrial Studies, Vol. 3. N. Campbell and W.C. Wedley eds., Greenwich, CT: JAI Press, 1992, 135‑147.

 

 

Finance Investment and Macroeconomics: The Neoclassical and a Post Keynesian Solution, London: Edward Elgar, 1994.

 

 "The Real Income and Consumption of an Urban Chinese Family," with Chen Haichun and Yan Zhiming, Journal of Development Studies. 31 (Oct. 1994) 201‑213, and Management World (Chinese) (4,1993) 196‑203.

 

 "Finance, Investment and Their Macroeconomic Implications," Quarterly Review of Economics and Finance, 34(Spring 1994) 1‑11.

 

 "Risk Asymmetric Payoffs and the Underpricing of Initial Public Offerings" with Jiazhen Jin in Andrew Chen, Ed., Research in Finance. Vol.11. Greenwich CT: JAI Press, 1993, pp. 133‑165.

 

 "The Pricing of Risk in Common Shares," International Review of Financial Analysis, 2 (3,1993) 147‑153.

 

 "The Structure of Price Discounts in Private Equity Placements," with A.K. Srivastava in A. Chen, ed., Research in Finance, Vol. 13. Greenwich, CT: JAI Press, 1995, 185‑202.

 

 "Foreign Loans and Technology Transfer to Jiangsu and Zhejiang Provinces" with Ma Qing-quo and Chen Jin, Quantitative and Technical Economics (Chinese) 12 (10,1995) 57‑63.

 

"A Contribution to the Micro Foundation for Keynesian Macroeconomic models, " with S.P. Sethi in S.P.Sethi, Optimal Consumption and Investment with Bankruptcy. Boston: Kluwer, 1997, 213‑240.

 

"A Keynesian Theory of Finance and Its Macroeconomic Implications" in G.C. Harcourt and Peter Reich, A "Second Edition" of the General Theory. Vol. 2. London and New York: Routledge, 1997, 79‑101.

 

"Comparative Costs of Financing Ontario Hydro as a Crown Corporation and a Private Corporation" in R.J. Daniels, Ontario Hydro at the Millennium, Montreal: McGill‑Queens, 1996, 231‑ 255.

 

"Ontario's Options for Ontario Hydro."  Policy Options (April 1997), 16-18. 

 

 "The Finite Horizon Expected Return Model" with Joseph R. Gordon, Financial Analysts Journal. 53.3 (May/June 1997), 52‑61.

 


 "Consumption and Investment when Bankruptcy is not a Fate Worse than Death" with Suresh P. Sethi in P. Arestis, ed. Method, Theory and Policy in Keynes; Essays in Honour of Paul Davidson Vol 3. London: Elgar, 1998, 88‑108.

 

 "Monopoly Power in the United States Manufacturing Sector, 1899 to 1994" Journal of Post Keynesian Economics. 20.3 (Spring, 1998), 323‑335.

 

 "Towards a Workable Effective Corporate Governance System for China's State Owned Enterprises" with Yue Li and Zhilong Tian, in China's Tax Reform Options. Ed. Trish Fulton, Jinyan Li and Dianqing Xu. Singapore: World Scientific, 1998.

 

 "The Future of Market Socialism in China" with Yui Li and Zhilong Tian in Donald Brean, ed. Taxation in Modern China., Routledge, 1998.

 

 "The Consequences of Privatizing New Brunswick Power and Deregulating the Electric Power Industry in New Brunswick. " Prepared for The Select Committee on Energy of the New Brunswick Legislature at the Request of Locals 2309 and 1733 of the International Brotherhood of Electrical Workers. Jan. 6, 1999.

 

 "Don't Sell Hydro Short" Policy Options 20.5(June 1999): 61‑64.

 

 "An Examination of the Comparative Financial Consequences of Owning and Selling Epcor for the People of Edmonton." For the City Council of Edmonton at the request of the Parkland Institute. June 28, 1999.

 

 "Where We Can Go with the Dividend Growth Model." Invited paper. Presented at a special session of the Financial Management Association Conference in Orlando, Florida, Oct. 7, 1999.

 

 "The Performance and Market Value of United States Nonfinancial Corporations, 1987 to 1997," Journal of Post‑Keynesian Economics. 21.4(Summer 1999): 551‑560.

 

 "Growth and Security under Welfare‑Corporate Capitalism and Market Socialism." Social Security Reform in China. Ed. Dianqing Xu, Jason Yin and Yuxin Zheng. [People's Republic of China]: Economic Science Press, 1999; pp. 425‑441.

 

"Economic Bases for World Order: Corporate Capitalism and/or Market Socialism?" World Order for a New Millennium: Political, Cultural and Spiritual Approaches to Building Peace. Ed. A. Walter Dorn. New York: St. Martin's Press, 1999; pp. 35‑44.

 

 "Why Foreign Ownership is a Problem and What to Do About It."  Policy Options, May 2000; pp. 52-55.

 

 "The Comparative Benefits to the People of Toronto of City versus Private Ownership of Toronto Hydro."  For The City Council of Toronto at the Request of Local 1, Canadian Union of Public Employees.  May 21, 2000.

 


"Growth and Security under Welfare‑Corporate Capitalism and Market Socialism"   Brazilian Journal of Political Economy 21, 3(83), July 2001;  pp. 65-80. Online at: http://www.rotman.utoronto.ca/~gordon/

 

"Capitalism's Growth Imperative."  With Jeffrey S. Rosenthal.  Forthcoming in Cambridge Journal of Economics, Spring, 2003.

 

"The Cost and Benefit of Monopoly Power."  Online as working paper dated December 18, 2001 at: http://www.rotman.utoronto.ca/~gordon/  

 

"Multinational Corporations, Productivity Growth and National Welfare in Host and Home Country: A Canada-U.S. Comparison."   Online as working paper at: http://www.rotman.utoronto.ca/finance/papers/index.htm

 

"A Model of the Stock Market." With Suresh Sethi.  November 2002.  Forthcoming online at: http://www.rotman.utoronto.ca/finance/papers/index.htm

 

"Is China's Financial System Threatened by its Policy Loans Debt?"  Journal of Asian Economics 14 (2003) 181-188.

"How Third World Contracting is Transformed into First World Productivity." Challenge, January/February 2004, 47:1, 78-85.