I’m not quite sure what the motivation for an MBA is anymore, I suppose the folks seeking it believe that having it will earn them more money. Well, I don’t know, if you end up working for yourself it will be hard to give yourself a raise out of sheer self admiration. So what are we learning here?
Nick in Fitzgerald’s the Great Gatsby went to New York to (well to do what, anyone remember) to learn the bond market. A few decades later, Tom Wolfe’s Sherman McCoy was a Master of the Universe. McCoy was also a bond trader but considerably more successful that Nick. So with the idea that you are wanting to become your own Master of the Universe and learn a thing or two about the application of all this, I have two articles to recommend.
Seriously, but not trying to take myself that way, I spent some time before class today explaining the article on page C1 of the 2/8/07 WSJ Debt DRiven Deals Shake UP Holders of Highly Rated Bonds. I also suggest you read page C12 of the 2/12/07 WSJ, For Ford It Doesn’t Add Up, The first article explores the current fad of junk bond take overs. It then sort of explains why the high rate bond holders in such deals are worried, do you know why? The second is a reasoned analysis of the real value of Ford Stock. My point is that an MBA should prepare you to use the tools in the book to make these kinds of real world assessments. I wil put the articles on reserve in the library if you can get here to read them. I will be in 170 by 8:15 Saturday morning for those that want to come early. No this is outside managerial acounting, well, not really but I realize some of you cannot get here early and no this will not be on the ACCT 5130 test, but such issues will be on that bigger test, Business Life 101.
DLE
Professor Elam 
Leave a comment