Carola Frydman
Carola Frydman

FINANCE
Visiting Associate Professor of Finance

Print Overview

Carola Frydman is a Visiting Associate Professor of Finance at the Kellogg School of Management. Professor Frydman’s research focuses on American financial history. Recent research projects examine the evolution of financial markets prior to the Great Depression, with special emphasis on the role of financial intermediaries for firm growth, and on financial crises. In earlier work, she studied the long-run trends in executive compensation, the market for managers, and corporate governance. Her work has been featured in The Wall Street Journal, the New York Times, and The Economist.


Professor Frydman is on leave from Boston University. From 2006 to 2011, she was an Assistant Professor of Finance at the MIT Sloan School of Management where she taught corporate finance in both the MBA and executive education programs. Professor Frydman holds a Ph.D. in Economics from Harvard University, and B.A. and M.A. degrees in Economics from Universidad de San Andrés, Argentina. She is a Faculty Research Fellow at the National Bureau of Economic Research.



Areas of Expertise
Banking and Financial Institutions
Corporate Finance
Corporate Governance
Economics of Organizations
Management Compensation
Print Vita
Education
Ph.D., 2006, Economics, Harvard University
M.A., 2004, Economics, Harvard University
M.A., 2000, Economics, Universidad de San Andrés
B.A., 1999, Economics, Universidad de San Andrés , summa cum laude

Academic Positions
Faculty Research Fellow, National Bureau of Economic Research, 2007-2013
Assistant Professor of Finance, Sloan School of Management, Massachusetts Institute of Technology, 2006-2013
Visiting Scholar, National Bureau of Economic Research, University of Cambridge, 2009-2010

Other Professional Experience
Local Arrangements Committee, Economic History Associations Meeting, 2010-2011
Program Committee Member, American Finance Association Meetings, 2010-2010
Program Committee Member, Western Finance Association Meetings, 2009-2010
Early Career Women in Finance Conference, 2009-2009
Program Committee Member, Western Finance Association Meetings, 2007-2007

Grants and Awards
Grant, Spender Foundation (#201100083) and National Bureau of Economic Research, Jan. 2011 - Dec. 2012
Research project and conference on "Human Capital and History: The American Record"
Nevins Prize, 2006
Best Dissertation in American Economic History, Finalist
Dissertation Fellowship, Economic History Association, 2005-2006
Graduate Society Dissertation Completion Honorary Fellowship, 2005-2006
Dissertation Completion Fellowship, National Science Foundation, 2004-2006
Pre-Dissertation Award, Economic History Association, 2004-2005
Thomas Cochran Dissertation Fellowship in Economic and Business History, 2004-2005
Certificate for Excellence in Teaching, Harvard University, Spring 2003/04, Fall 2003
Doctoral Fellow, Multidisciplinary Program in Inequality and Social Policy, 2002-2005
Amalia Lacroze de Fortabat Fellowship, Harvard University, 2001-2003
Dillon Fellowship Fund, Harvard University, 2001-2002
Graduate School of Arts and Sciences Grant, Harvard University, 2000-2005
Gold Medal, Highest GPA, Unversidad de San Andres, 1999

Conference Presentations
American Finance Association Meetings; Venice CESifo Workshop on Executive Pay (keynote lecture), Cornell University, University of Wisconsin Madison (School of Business), University of Amsterdam, HBS (Entrepreneurial Management), Temple University, SIFR, LBS, LSE (Finance), Columbia University, 2008
Lisbon-Sloan Seminar Series in Management, Western Finance Association Meetings, Columbia University (GSB), Dartmouth University (Tuck), University of British Columbia, Universidad de San Andrés, Vanderbilt University, 2007
ASSA meetings (Economic History of Labor and Health session); NBER Summer Institute; North American Summer Meeting of the Econometric Society, Economic History Association Meetings, Chicago GSB; Columbia University (Economics); Harvard Business School (NOM); LSE; MIT Sloan; Northwestern University; Stanford GSB; Stanford University; UCLA; Wharton (University of Pennsylvania), 2006
Columbia University (GSB), Dartmouth University (Tuck), University of British Columbia, Universidad de San Andrés, Vanderbilt University, 2007
NBER Summer Institute; Rutgers University, 2004
MIT Sloan (IWER), Harvard University (Economic History), Duke University (Fuqua), Harvard University (Organizational Economics), University of Munich, University of Chicago Public Policy School, Bentley University, Brandeis University, Yale University, Stanford GSB, Hass School of Business, 2009
Scheduled: Boston University (Finance and Accounting), Tilburg University, INSEAD, Universidade Nova de Lisboa, Cornell (HR Group), Cornell (Finance and Accounting), Wharton, UC-Berkeley, UC-Davis, Stanford University, Kellogg, Financial History Workshop (Rotterdam), International Corporate Finance Conference at Universidad Catolica de Chile, 2011
UCLA, De-Paul-Chicago Fed, Northeastern University, NYU Stern, Harvard University (Labor), NBER Summer Institute (DAE), Economic History Association Meetings, Washington Area Economic History Seminar, Harvard University (Economic History), Boston University, 2010

 
Print Research
Articles
Benmelech, Efraim and Carola Frydman. Forthcoming. Military CEOs. Journal of Financial Economics.
Frydman, Carola and Raven Molloy. Forthcoming. The Effect of Tax Policy on Executive Compensation: Evidence from Postwar Reforms. Journal of Public Economics.
Frydman, Carola and Raven E. Saks. 2010. Executive Compensation: A New View from a Long-Term Perspective, 1936-2005. Review of Financial Studies. 23: 2099-2138.
Frydman, Carola and Dirk Jenter. 2010. CEO Compensation. Annual Review of Financial Economics. 2(1): 75-102.
Frydman, Carola. 2009. Learning From the Past: Trends in Executive Compensation over the Twentieth Century. CESifo Economic Studies. 55: 458-481.
Frydman, Carola. 2007. The Evolution of the Market for Corporate Executives across the Twentieth Century. The Journal of Economic History.: 488-492.
Working Papers
Frydman, Carola and Hilt, Eric. December 2010. Predators or Watchdogs? Bankers on Corporate Boards in the Era of Finance Capitalism.
Frydman, Carola and Raven Molloy. 2010. The Compression in Top Income Inequality in the 1940s.
Frydman, Carola. 2007. Rising Through the Ranks. The Evolution of the Market for Corporate Executives, 1936-2003.

 
Print Teaching
Full-Time / Part-Time MBA
Finance II (FINC-431-0)
This course covers the basic financial knowledge needed to run a firm—whether the firm is a multi-billion dollar international conglomerate or a three-person start up. Using a combination of lectures and business cases, we will examine how firms fund their projects (capital structure), how they manage the risks that arise (risk management), and how they allocate the return on their investments (payout policy). This course is designed both for managers who will initially specialize in a different functional area (e.g., marketing, operations) and for managers who will be directly involved in making or analyzing these decisions (e.g., future senior executives, general managers, investment bankers, consultants, securities analysts, money managers, investment advisors).

This version of Finance II is designed for students who took Finance I in or after Fall 2014.

Accelerated Corporate Finance (FINC-440-0)

This course counts toward the following majors: Analytical Finance, Finance

Corporate finance covers the financial knowledge you need to run a firm, whether the firm is a multi-billion dollar international conglomerate or a three-person start up. Accelerated Corporate Finance will combine the material from Finance 1 and Finance 2 in an intensive one-quarter course. We will cover valuation (discounted cash flow, multiples, and real options), capital structure (how firms finance themselves and how they manage risk), and payout policy (should firms return capital to investors and if so how). For more details, you should read the descriptions of Finance 1 and Finance 2. The logical concepts will be covered in class, technical skills and intuition will be developed in class and through online exercises, and then the logic and tools will be applied to a set of valuation, financing, risk management, and payout cases. Given the pace of the course, students are expected to be prepared to put in the extra effort in class and outside of class. Basic finance knowledge (discounting) and accounting is assumed

Pre-requisite: Business Analytics I (DECS-430). Business Analytics II (DECS-431) and Accounting for Decision Making (ACCT-430) are recommended and may be taken concurrently.