a special section on personal finances published on January 25,
the Champaign-Urbana News-Gazette
quoted four faculty from the College of Business on a wide range
of financial topics -- from the impact of the possible war with
Iraq to the impact the decline of the market has had on retirement.
Associate Professor Hadi Esfahani,
Professor Fred Gottheil, and
Assistant Professor George Deltas
were interviewed for the lead story on the economic impact of the
current uncertainty about war with Iraq. Esfahani and Gottheil both
noted that once the question of war is resolved, the economy will
likely improve.In the article, Gottheil commented out that uncertainty
in financial markets "makes business people cautious about
also pointed out that the price of crude oil is another source of
uncertainty. Management of the US oil supply is also a factor in
changing oil prices. According to Deltas, current commercial oil
reserves are at an all time low but the government's strategic reserve
is at an all-time high.If the market has ready access to oil even
if war breaks out, "it's possible that oil prices are not going
to go higher than what they are now," he said.He went on to
say that Saudi Arabia's capacity, which is "underused,"
could make up for the interruption of supply from Iraq for "months
and months and years."
Elder, an assistant professor of economics and labor and industrial
relations, was interviewed for the article on retirement. "The
people in the best shape are the ones who have changed their investment
strategy and approproately adjusted their portfolios," said
Elder. "If someone wants to retire within 10 years, they should
definitely have less than half their assets in the stock market."
He also noted that many people need to continue working because
of the access to healthcare that employment provides.
special section is not available online.