Michael Rothschild
Encyclopedia
Michael Rothschild is an American
economist
; he is visiting professor
at the Department of Economics
of the University of California in Los Angeles (UCLA) and a former dean
at Princeton.
in Anthropology
from Reed College
(1963), and a Master of Arts
in International Relations from Yale University
(1965). He earned his Doctor of Philosophy
in Economics from the Massachusetts Institute of Technology
(1969).
at the Woodrow Wilson School of Public and International Affairs
. He was dean of the Woodrow Wilson School of Public and International Affairs
at Princeton University
from 1995 through 2001. Rothschild has written on asymmetric information, decision-making under uncertainty, demography, investment, taxation, finance, and jury-decision processes.
He co-authored one of the most important papers in economics, Equilibrium in Competitive Insurance Markets: An Essay on the Economics of Imperfect Information, with Joseph Stiglitz. This paper gives the first systematic exposition of the problem of cherry picking when insurance companies compete for customers. In Increasing Risk I: A definition, Rothschild and Stiglitz introduced the important decision theory concept of the mean-preserving spread, which leads to a partial ordering of probability distributions according to degree of risk.
In 2001, the laureates of the Nobel Prize in Economics were George A. Akerlof
, A. Michael Spence
as well as J. E. Stiglitz "for their analyses of markets with asymmetric information
". So one could say, Rothschild contributed to these prize.
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
economist
Economist
An economist is a professional in the social science discipline of economics. The individual may also study, develop, and apply theories and concepts from economics and write about economic policy...
; he is visiting professor
Visiting scholar
In the world of academia, a visiting scholar or visiting academic is a scholar from an institution who visits a host university, where he or she is projected to teach , lecture , or perform research on a topic the visitor is valued for...
at the Department of Economics
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...
of the University of California in Los Angeles (UCLA) and a former dean
Dean (education)
In academic administration, a dean is a person with significant authority over a specific academic unit, or over a specific area of concern, or both...
at Princeton.
Education
Rothschild holds a Bachelor of ArtsBachelor of Arts
A Bachelor of Arts , from the Latin artium baccalaureus, is a bachelor's degree awarded for an undergraduate course or program in either the liberal arts, the sciences, or both...
in Anthropology
Anthropology
Anthropology is the study of humanity. It has origins in the humanities, the natural sciences, and the social sciences. The term "anthropology" is from the Greek anthrōpos , "man", understood to mean mankind or humanity, and -logia , "discourse" or "study", and was first used in 1501 by German...
from Reed College
Reed College
Reed College is a private, independent, liberal arts college located in southeast Portland, Oregon. Founded in 1908, Reed is a residential college with a campus located in Portland's Eastmoreland neighborhood, featuring architecture based on the Tudor-Gothic style, and a forested canyon wilderness...
(1963), and a Master of Arts
Master of Arts (postgraduate)
A Master of Arts from the Latin Magister Artium, is a type of Master's degree awarded by universities in many countries. The M.A. is usually contrasted with the M.S. or M.Sc. degrees...
in International Relations from Yale University
Yale University
Yale University is a private, Ivy League university located in New Haven, Connecticut, United States. Founded in 1701 in the Colony of Connecticut, the university is the third-oldest institution of higher education in the United States...
(1965). He earned his Doctor of Philosophy
Doctor of Philosophy
Doctor of Philosophy, abbreviated as Ph.D., PhD, D.Phil., or DPhil , in English-speaking countries, is a postgraduate academic degree awarded by universities...
in Economics from the Massachusetts Institute of Technology
Massachusetts Institute of Technology
The Massachusetts Institute of Technology is a private research university located in Cambridge, Massachusetts. MIT has five schools and one college, containing a total of 32 academic departments, with a strong emphasis on scientific and technological education and research.Founded in 1861 in...
(1969).
Academic career
He was the William Stuart Tod Professor of Economics and Public AffairsPublic affairs
Public affairs may refer to:* Public administration* Public affairs * Public affairs * PublicAffairs, a USA publishing company* Public Affairs , a Czech political party...
at the Woodrow Wilson School of Public and International Affairs
Woodrow Wilson School of Public and International Affairs
The Woodrow Wilson School of Public and International Affairs is a professional public policy school at Princeton University. The school has granted undergraduate A.B. degrees since 1930 and graduate degrees since 1948...
. He was dean of the Woodrow Wilson School of Public and International Affairs
Woodrow Wilson School of Public and International Affairs
The Woodrow Wilson School of Public and International Affairs is a professional public policy school at Princeton University. The school has granted undergraduate A.B. degrees since 1930 and graduate degrees since 1948...
at Princeton University
Princeton University
Princeton University is a private research university located in Princeton, New Jersey, United States. The school is one of the eight universities of the Ivy League, and is one of the nine Colonial Colleges founded before the American Revolution....
from 1995 through 2001. Rothschild has written on asymmetric information, decision-making under uncertainty, demography, investment, taxation, finance, and jury-decision processes.
He co-authored one of the most important papers in economics, Equilibrium in Competitive Insurance Markets: An Essay on the Economics of Imperfect Information, with Joseph Stiglitz. This paper gives the first systematic exposition of the problem of cherry picking when insurance companies compete for customers. In Increasing Risk I: A definition, Rothschild and Stiglitz introduced the important decision theory concept of the mean-preserving spread, which leads to a partial ordering of probability distributions according to degree of risk.
In 2001, the laureates of the Nobel Prize in Economics were George A. Akerlof
George Akerlof
George Arthur Akerlof is an American economist and Koshland Professor of Economics at the University of California, Berkeley. He won the 2001 Nobel Prize in Economics George Arthur Akerlof (born June 17, 1940) is an American economist and Koshland Professor of Economics at the University of...
, A. Michael Spence
Michael Spence
Andrew Michael Spence is an American economist and recipient of the 2001 Nobel Memorial Prize in Economic Sciences, along with George A. Akerlof and Joseph E. Stiglitz, for their work on the dynamics of information flows and market development. He conducted this research while at Harvard University...
as well as J. E. Stiglitz "for their analyses of markets with asymmetric information
Information asymmetry
In economics and contract theory, information asymmetry deals with the study of decisions in transactions where one party has more or better information than the other. This creates an imbalance of power in transactions which can sometimes cause the transactions to go awry, a kind of market failure...
". So one could say, Rothschild contributed to these prize.