Fariborz Ghadar
Professor, William A. Schreyer Chair in Global Management, Policies and Planning, Director of Center for Global Business Studies
Department Finance
Office Address 388B Business Building
Phone Number
814-863-3839
Email Address
fxg9@psu.edu
Fariborz Ghadar
Professor, William A. Schreyer Chair in Global Management, Policies and Planning, Director of Center for Global Business Studies
Department Finance
Office Address 388B Business Building
Phone Number
814-863-3839
Email Address
fxg9@psu.edu
Dr. Ghadar is the author of fifteen books on global economic topics, including the release of Global Tectonics: What Every Business Needs to Know, Financing Growth in Developing Economies and New Information Technology and Its Impact on Global Business Management, as well as numerous articles. In March 2014, his book on immigration titled Becoming American: Why Immigration is Good for Our Nation's Future— a culmination of two years of in-depth research and interviews was published. The most recent publication released is the new edition of his Global Tectonics book, which includes a new chapter on robotics. In addition to identifying this new trend in robotics, Global Tectonics: What Every Business Needs to Know – Revisited reassesses the critical global trends included in the original publication over 10 years ago.
Dr. Ghadar is frequently quoted in such internationally circulated publications as the Wall Street Journal, Financial Times, The Washington Post, USA Today, and the Christian Science Monitor. He has been a featured speaker and interviewee on the major television networks as well as the business broadcasts of CNN, CNBC, and Nightly Business Report.
He received his BA and MS in Mechanical Engineering from MIT and his MBA and Doctorate from the Harvard Business School.
Expertise
International Finance and Banking. Global Economic Assessment. e-Business. Global Corporate Strategy and Implementation. Global Oil Industry Past, Present and Future.
Education
Ph D, International Business (International Strategy), Harvard University, 1976
MBA, Business Administration, Harvard University, 1972
MS, Mechanical Engineering, Massachusetts Institute of Technology, 1970
BS, Biomedical Engineering, Massachusetts Institute of Technology, 1969
BS, Chemical Engineering, Massachusetts Institute of Technology, 1968
Courses Taught
FIN 555 – Global Finance (2)
This course provides a broad exploration of international finance in the context of how a corporate strategic manager analyzes the complexities of international financial markets. In particular, the course develops a tool-kit of techniques to a) understand global market interconnectivity, b) value international financial instruments and c) analyze risk, hedging, and asset pricing strategies to secure strategic competitive advantage. Building on these insights students will gain a deep understanding of exchange rates, risk management, forecasting, and international capital flows. More specifically students will study foreign exchange markets, hedging strategies using forward and future instruments, purchasing power parity, the eurocurrency market, international portfolio management, and the overall financial management of the international firm. Students will recognize, identify and apply the following core international finance concepts and analytical strategy tools: 1. The economics of foreign trade, the Law of One Price, and Purchasing Power Parity 2. The mechanism of Capital Flows and the effect on a country¿s "current account" vs. its "capital account"3. The foreign exchange market and its influence on the pricing of tradeable goods 4. How exchange rates affect consumers vs. manufacturers of tradeable goods 5. How interest rates are determined, inflation forecasting, and how interest rate expectations influence strategic decision-making for both the firm and the individual market actor. 6. How financial instruments such as forwards, futures, swaps, and options mitigate risk and reduce earnings uncertainty 7. How to build and manage a diversified international portfolio which maximizes return relative to a multinational corporation¿s specific risk profile.
MGMT 561 – GLOBAL STRAT & ORG (2)
This course focuses on the "strategic" challenges facing the multinational firm. The types of questions that we address are: Why do firms go abroad? What differentiates a "global" from a "multi-domestic" industry? What are the sources of competitive advantage in a global context? Why and when do/should companies engage in cross-border strategic alliances? What are the associated risks and how to guard against them? What potential roles can foreign subsidiaries play in an MNC's global strategy? How do companies choose an optimal global structure? How do companies ensure coordination between the center and the subsidiaries and among subsidiaries? How do companies manage strategic change from one type of global strategy to another?
I B 555 – Global Finance (2)
Analyze international business finance problems, impact of evolving inter- national payment systems on business, financial management in modern multi- national enterprise.
IB 555 – Global Finance (1)
This course provides a broad exploration of international finance in the context of how a corporate strategic manager analyzes the complexities of international financial markets. In particular, the course develops a tool-kit of techniques to a) understand global market interconnectivity, b) value international financial instruments and c) analyze risk, hedging, and asset pricing strategies to secure strategic competitive advantage. Building on these insights students will gain a deep understanding of exchange rates, risk management, forecasting, and international capital flows. More specifically students will study foreign exchange markets, hedging strategies using forward and future instruments, purchasing power parity, the eurocurrency market, international portfolio management, and the overall financial management of the international firm. Students will recognize, identify and apply the following core international finance concepts and analytical strategy tools: 1. The economics of foreign trade, the Law of One Price, and Purchasing Power Parity 2. The mechanism of Capital Flows and the effect on a countryÀs "current account" vs. its "capital account"3. The foreign exchange market and its influence on the pricing of tradeable goods 4. How exchange rates affect consumers vs. manufacturers of tradeable goods 5. How interest rates are determined, inflation forecasting, and how interest rate expectations influence strategic decision-making for both the firm and the individual market actor. 6. How financial instruments such as forwards, futures, swaps, and options mitigate risk and reduce earnings uncertainty 7. How to build and manage a diversified international portfolio which maximizes return relative to a multinational corporationÀs specific risk profile.
B A 535 – Global Perspectives (1)
An overview of the global business environment.
Selected Publications
Population trends: Shifting demographics ~ While worldwide population is increasing, the overall population growth rate - contrary to what many believe - - is decreasing. In fact, global population is projected to stabilize short of 10 billion people and start declining by 2050. And population increases aren't happening symmetrically across the globe, which creates significant future challenges. Some of the countries that can least afford to support a burgeoning citizenship will find their resources stretch to the limit. Their resultant your bulge will create political, social and economic challenges. Meanwhile, some developed countries will battle declining birthrates combined with an aging population, a problem resulting in increased immigration that will further complicate policies, economic opportunities and challenges.
Anarticle about the effect of the Japanese nuclear disaster on Iran's nuclear energy ambitions. "While Japan's unfolding nuclear and humanitarian crisis resurrected longstanding fears in the West about the safety of nuclear power and the potential vulnerabilities of the world's over 400 operational nuclear power plants, among Iranians it seems to have inaugurated a long overdue debate," Ghadar and his coauthor write. (Will Fukushima Force Iran to Reconsider Nuclear Program). This article was excerpted on CNN.com.
Director of the Center for Global Business Studies, writes about the economic challenges facing Iran and makes recommendations for U.S. policy toward the country. "The challenges facing Iran’s economy remain the same as three decades ago: corruption, mismanagement of Iran’s natural resources, lack of foreign investment, unemployment, brain drain, squeezing out the private sector, and, last but not least, putting ideology before national economic interests," Ghadar and a coauthor write. (Iran's Crisis amid Middle East Turmoil). This article also appeared on Iranian.com.
Fariborz Ghadar comments on legislation targeting China for its currency valuation. "The bill itself would only be symbolic since it would urge the Obama administration to do something that it doesn't want, or have, to do," Ghadar says. "But it would lead to a real decline in relations with China." (Renminbi Dispute Looks Set to Haunt Sino-U.S. Economic Talks).
Research Impact and Media Mentions
Editorship
Editorial Board member