VITA

 JAMES A. OHLSON

GENERAL BACKGROUND

Degrees:

Ph.D. 1972 University of California, Berkeley, Business Admin.

M.B.A. 1968 University of California, Berkeley, Business Admin.

Employment:

• Sept. 2002 - Present New York University, Acting Chairperson
• July 1998 - Present New York University, Leonard N. Stern Professor of Business.
• July 1987 - June 1998 Columbia University, George O. May Professor of Accounting
• July 1984 - June 1987 University of California, Berkeley, L.H. Penney Professor of Accounting.
• July 1983 - June 1984 Columbia University, George O. May Visiting Professor of Accounting.
• July 1980 - June 1983 University of California, Berkeley, Professor.
• Sept. 1981 - Dec. 1981 University of Chicago, Visiting Professor.
• July 1978 - June 1980 University of California, Berkeley, Associate Professor.
• July 1979 - Oct. 1979 U.C.L.A., Visiting Scholar.
• June 1977 - June 1978 University of British Columbia, Visiting Associate Professor.
• June 1974 - June 1977 University of California, Berkeley, Assistant Professor.
• June 1972 - June 1974 Stanford University, Assistant Professor.
• Oct. 1971 - June 1972 University of British Columbia, Post Doctoral Research Fellow.

 Academic Interests

Financial Accounting Theory; Financial Statement Analysis; Equity Valuation; Capital Market Theory.

Teaching Experience

Primarily in financial accounting, all levels: undergraduate, M.B.A. level, Ph.D. level, professionals. Ph.D. level has involved both theory (with emphasis on the economics of information in partial and general equilibrium) and empiricism (with emphasis on statistical/econometric methods).

Administrative Experience

Field Advisor, Ph.D. Program in Accounting, University of California, Berkeley, 1976-1980.
Chairman of the Accounting Group, University of California, Berkeley, 1984 - 1987.
Chairman, Doctoral Program, Graduate School of Business, Columbia University, 1992-1998.
Chairman of the Accounting Group, Columbia University, 1994 - 1996.

Academic Activities

Referee work for numerous academic journals in Accounting, Finance, Economics and Management Science:

Journal of Economic Theory, International Economic Review, Management Science, Journal of Financial and Quantitative Analysis, The Accounting Review, Journal of Accounting and Economics, Journal of Accounting Research, Contemporary Accounting Research, Journal of Finance, Journal of Financial Management, Journal of American Statistical Association, Decision Sciences, Journal of Mathematical Programming, International Economic Review, California Management Review, Contemporary Accounting Research, Journal of Econometrics, Journal of Political Economy, Review of Accounting Studies, Journal of Accounting, Auditing and Finance, Journal of Financial Statement Analysis.

Editorial Board Member:

The Accounting Review (1977-1980); Journal of Accounting and Economics, 1979-1992; Journal of Accounting Research, 1982-present; Contemporary Accounting Research, 1985-present; Journal of Accounting, Auditing, and Finance, 1986-1996; The Accounting Review (1990-1991); Review of Quantitative Finance and Accounting (1990-present); Review of Accounting Studies (1994-present); The British Accounting Review (1995-present).

Distinguished Visiting Faculty Appointments:

American Accounting Association's Doctoral Consortium, August 1981, Chicago. American Accounting Association's Doctoral Consortium, August 1986, New Brunswick. London School of Economics, June 1988. American Accounting Association's Doctoral Consortium, Lake Tahoe, August 1990. American Accounting Associations Big - 10 Doctoral Consortium, Columbus, May 1993. London School of Economics, B.P. - L.S.E. Centenial Visiting Professor, Fall 1993. American Accounting Association Big - 10 Doctoral Consortium, May 1994, Minneapolis

Prizes and Awards:

American Accounting Association's Notable Contribution to the Literature Award, 1995.

Honorary Doctorate Degree, Stockholm School of Economics, October 1996.

American Accounting Association=s Educator of the Year Award, 1998.

American Accounting Association=s Wildman Award, 1998.

AICPA/AAA Notable Contributions Award for 2000.

 
Distinguished Visiting Lectures:

"Information and Asset-Valuation"
University of Michigan, Ann Arbor, May 26-28, 1982.

"The Stock Market's Valuation of Oil and Gas Properties"
Columbia University's Energy Forum, April 6-8, 1984, Arden House, New York.

"On the Nature of Income Measurement"
First International Accounting Conference, December 12-18, 1984, Kuwait City, Kuwait.

"Accounting Disclosures and the Market's Valuation of Oil and Gas Stocks"
Berkeley Finance Program, Silverado, CA, September 22, 1986.

"The Theory of Security Valuation"
University of Florida, May 1988.

"The Theory of Security Valuation and Accounting Data"
McMaster University, February 1989.

"The Theory of Security Valuation and Accounting"
University of Southern California, February 1990.

"The Theory of Security Valuation and Accounting"
University of Waterloo, October 1990.

"The Role and Relevance of Accounting Data in Security Valuation"
Texas Christian University, February 1991.

"Market Based Accounting Research - Issues and Directions"
Ulun Germany, February 1992.

"Accounting Theory and Value"
University of Michigan, June 1992.

"Accounting Theory and Security Valuation"
University of Wisconsin, July 1992.

"Accounting Theory and Security Valuation"
Manchester University, United Kingdom, July 1992.

"The Value of a Firm's Equity and Anticipated Realizations of Accounting Data"
Norwegian School of Business Administration, Bergen, October 1993.

"The Economics of Accrual Accounting versus Cash Flows in Financial Analysis"
London School of Economics, BP Lectures, November 1993.

"Financial Statements and the Economics of a Firm's Equity Value"
London School of Economics, BP Lectures, November 1993.

"Accounting Data and Equity Value"
Hong Kong University of Science and Technology, July 1995.

"Accounting Data and Equity Value"
National Chengchi University, Taipei, Taiwan, July 1995.

AThe Theoretical Defense of Historical Cost Accounting@
London School of Economics, P.D. Leake Public Lecture, March 1997.

AAccounting Data and Equity Valuation@
Oxford University, P.D. Leake Lecture, March 1997.

AHistorical Cost Accounting and Its Relevance for Equity Valuation,@
Tsinghua University, Beijing, China, July 1997.

AThe Expected Earnings Payback Criterion: The Virtue of Simplicity@
Norweigan School of Economics, Bergen, Norway, January 1998.

"Fundamental Values and Stock Prices - When do they Converge"
Stockholm School of Economics, October 1998.

"Can Finance Really do Without Accounting?"
Keynote Speaker, German Finance Association, Aachen, Germany, July 1999.

Invited State-of-the-Art Lecture: "Market-Based Empirical Research in Accounting: Review, Interpretation and Extension." April 30, 1982, University of Chicago, Chicago (with Baruch Lev).

Chairman (and Organizer) Berkeley Finance Program, Seminar on "Recent Evidence on the Efficient Market Hypothesis," Monterey, CA, March 22-24, 1982. Speakers included leading academic experts and three panelists from the professional community; participants were professionals from major investment-advisory institutions.

Papers have been presented at major universities across the U.S., Canada, Europe, Australia, and Asia M.I.T.; McGill; Chicago; Duke; Ohio State; Minnesota; Iowa; Carnegie-Mellon; U.C.L.A.; British Columbia; Stanford; Alberta; Michigan State; Washington University (St.Louis); Arizona; Alabama; Vanderbilt; SUNY at Buffalo; Texas at Austin; Northwestern; Stockholm School of Economics (Sweden); New York University; U.C. Santa Barbara; Purdue University; Michigan; Texas at Dallas; Harvard; Yale; Rochester; Florida (Gainesville); Baruch College; Columbia; Pennsylvania (Wharton); Southern California; Oregon; Washington (Seattle); McMaster; Illinois (Champaign); Drexel; Tulane; Temple; Rutgers (Newark); London School of Economics; Boston College; Strathclyde (Glasgow); Georgetown; Tel Aviv; Texas Christian; Wisconsin (Madison); The Hebrew University (Jerusalem); Macquarie (Sydney); Waterloo; Nebraska; Manchester (U.K.); Calgary; INSEAD (France); Odense (Denmark), Bergen (Norway), Imperial (U.K.), Essex (U.K.), Lancaster, (U.K.), Manchester Institute of Science and Technology, (U.K.); Gothenberg (Sweden); Lund (Sweden); Orebro (Sweden); Helsinki (Finland); Hitotsubashi (Japan); Tokyo (Japan); Osaka (Japan); Hong Kong University of Science and Technology; Chengchi (Taiwan); Houston; Rutgers (Camden); Oxford (U.K.); Tsinghua (China); Oklahoma; American Finance Association Meetings; American Accounting Association Meetings.

Doctoral courses taught at U.C. Berkeley, University of British Columbia, Columbia University, University of Florida, University of Texas (Austin), and Stockholm School of Economics.

Dissertation Committees

As Chairperson:

• Atiase, Rowland (position accepted at University of Florida), "Predisclosure Informational Asymmetries, Firm Capitalization, Financial Reports, and Security Price Behavior" (June 1980).
  
  
• Wagner, Robin (U.C.L.A.) "A Descriptive Theory of Accounting Numbers Under Uncertainty With Complete Markets" (June 1982).
• Tse, Senyo (University of Florida) "Security Valuation, Accounting Information, and the Usefulness of Segment Data" (November 1983).
• Easton, Peter (University of Chicago) "Empirical Aspects of an Information Perspective on Accounting" (April 1984).
• Hong, Sungbin Chun (New York University) "The Outcome of Bankruptcy: Model and Empirical Test" (February 1984).
• Mangold, Nancy (California State University at Hayward) "The Effect of Auditor Changes on Earnings, Opinions, and Stock Prices" (August 1984).
• Fairfield, Patricia (Baruch College) "The Information Content of Leverage: A Time-Series Analysis" (October 1985).
• Lee, Changwoo (New York University) "Market Reactions to Lease Liabilities and Reporting Environment Changes" (September 1987).
• Jan, Ching-Lih (New York University) "The Market's Evaluation of Footnote Disclosures for Firms Using LIFO Inventory Accounting" (February 1988).
• Govindaraj, Suresh (New York University) "Essays on Financial
• Markets with Applications to Accounting" (February 1990).
• Choi, Won Wook (Hongkong Institute of Science and Technology) AFinancial Statement Analysis: The Study of Return on Common Equity and Intangible Assets@ (October 1993).
• Martin Leibowitz, AAn Investigation of Relations Between the
• Market-to-Book Ratio and Return on Common Equity@ (October 1996)
• Zhang, Xiao-Jun (University of California, Berkeley) AEarnings Forecasting and Equity Valuation under Conservative Accounting@

As Member:

• Ricks, William (Duke University) "The Market's Response to the 1974 LIFO Switch" (December 1980).
• Kunkel, Gregory A. (Northwestern) "Social Welfare and Public Information in Production and Exchange Economies (December 1981).
• Cox, Ellen F. (Duke University) "Security Return Behavior Concurrent With Distorted Financial Statement Data" (June 1982).
• Melumand, Nahum (Stanford University) "Advances in the Theory of Managerial Compensation" (December 1985).
• Jennings, Ross (University of Texas, Austin) "A Study of the Cross-Sectional Homogeneity of Accounting Income and Its Components."
• Kim Jeehong (New York University) "The E/P Effect and the Earnings Forecast Error Effect: A Comparison of Two Stock Market Anomalies" (September 1987).

Professional Activities

Consulting work involving statistical sampling and auditing within a context of litigation (State of California).

Consulting work involving security valuation in litigation.

Consulting work involving other kinds of litigation support.

Consulting work involving equity valuation.

Bankruptcy prediction analysis for Wells Fargo Bank.

Teaching of professional accountants.

Teaching of loan officers.

Teaching of financial executives.

Dissertation

"Analysis of the Usefulness of Accounting Data for the Portfolio Decision: A Decision-Theoretic Approach."

REFERENCES

Supplied upon request.

PUBLICATIONS

Book:

The Theory of Financial Markets and Information

(New York: Elsevier Science Publishers (North-Holland), July 1987).

Papers:

• "Analysis of the Usefulness of Accounting Data for the Portfolio Decision; A Decision-Theoretic Approach," Empirical Research in Accounting Selected Studies, 1972, Journal of Accounting Research.
• "Portfolio Selection in a Log-Stable Market," Journal of Financial and Quantitative Analysis, June 1975.
• "A Note on the Representation of Bounded Utility Functions Defined on [a, ]," Journal of Financial and Quantitative Analysis, June 1975 (with M. Kallio).
• "The Asympototic Validity of Quadratic Utility as the Period-Spacing Approaches Zero." In W. Ziemba and R. Vickson (eds.), Stoch- astic Optimization Models in Finance. Academic Press, 1975.
• "The Complete Ordering of Information Alternatives for a Class of Portfolio Selection Models,"Journals of Accounting Research, Autumn 1975.
• "Portfolio Selection in a Lognormal Market when the Investor Has a Power Utility Function," Journal of Financial Quantitative Analysis, March 1976.
• "The Stationary Distribution of Returns and Portfolio Separation in Capital Markets: A Fundamental Contradiction," Journal of Financial and Quantitative Analysis, September 1976 (with B. Rosenberg).
• "Quadratic Approximations of the Portfolio Selection Problem when the Means and Variances of Returns are Infinite," Management Science, February 1977.
• "Risk-aversion and the Martingale Property of Stock Prices: Comments," International Economic Review, February 1977.
• "Equilibrium in Stable Markets," Journal of Political Economy, August 1977.
• "Risk, Return, Security-Valuation and the Stochastic Behavior of Accounting Numbers," Journal of Financial and Quantitative Analysis, June 1979.
• "On the Theory of Residual Analysis and Abnormal Performance Metrics," The Australian Journal of Management, October 1978.
• "API-Analysis and the Private Value of Information," Journal of Accounting Research, Autumn 1979.
• "An Introduction to Residual (API) Analysis and the Private Value of Information" and "The API and the Design of Experiments," Journal of Accounting Research, Autumn 1979 (with J. Patell).
• "Financial Ratios and the Probabilistic Prediction of Bankruptcy," Journal of Accounting Research, Spring 1980.
• "Information and the Sequential Valuation of Assets in Arbitrage-Free Economies," Journal of Accounting Research, Autumn 1980 (with M. Garman).
• "On Financial Disclosure and the Behavior of Security Prices," Journal of Accounting and Economics, Autumn 1979.
• "Towards a Theory of Financial Accounting," Journal of Finance, May 1980 (with G. Buckman). This was an invited paper presented at AFA's meeting in Atlanta, December 1979.
• "A Dynamic Equilibrium for the Ross Arbitrage Model," Journal of Finance, June 1980 (with M. Garman).
• "Towards a Theory of Financial Accounting: Welfare and Public Information," Journal of Accounting Research, Autumn 1981 (with G. Buckman).
• "Systematic Risk of the CRSP Equal-Weighted Common Stock Index: AHistory Estimated by Stochastic Parameter Regression," Journal of Business, January 1982 (with B. Rosenberg).
• "Valuation of Risky Assets in Arbitrage Free Economies with Transaction Costs," Journal of Financial Economics, September 1981 (with M. Garman).
• "Sufficient and Necessary Conditions for Information to Have Social Value in Pure Exchange," Journal of Finance, December 1982 (with N. Hakansson and G. Kunkel).
• "Book Rate-of-Return and Earnings Changes: An Empirical Investigation," Journal of Accounting Research, Autumn 1982 (with R. Freeman and S. Penman).
• "Market-Based Empirical Research in Accounting: Review Interpretation and Extension," Supplement of Journal of Accounting Research, 1982 (with Baruch Lev).
• "Price-Earnings Ratios and Earnings Capitalization under Uncertainty," Journal of Accounting Research, Spring 1983.
• "The Structure of Asset Prices and Socially Useless (Useful) Information," Journal of Finance, December 1984.
• "Stockholder Ex Post Unanimity: A Complete and Simplified Treatment," Journal of Banking and Finance, October 1985.
• "Comment on Verrecchia's No Trading 'Theorem'," Journal of Accounting Research, Autumn 1984 (with N. Hakansson and G. Kunkel).
• "Volatility Increases Subsequent to Stock Splits; An Empirical Aberration," Journal of Financial Economics, June 1985 (with S. Penman).
• "On the Nature of Income Measurement," Contemporary Accounting Research, Fall, 1987.
• "The Social Value of Information in Production Economies," in W. Ziemba and G. Feltham (eds.), Essays in Honor of John Butter- worth, Kluwer-Nijhoff Publishing, Boston, 1988.
• "Accounting Disclosures and the Market's Valuation of Oil and Gas Properties," The Accounting Review, October 1987 (with T. Harris).
• "Discussion of 'A comparative Examination of the Time-Series Properties and Predictive Ability of Annual Historical Cost and General Price Level Adjusted Earnings'," Contemporary Accounting Research, Spring 1988.
• "Ungarbled Earnings and Dividends: An Analysis and Extension of the Beaver, Lambert, and Morse Valuation Model," Journal of Accounting and Economics, July 1989.
• Discussion of 'Trading Volume Theories and Their Implications for Empirical Information Content Studies'," Contemporary Accounting Research, Fall, 1989.
• "A Synthesis of Security Valuation Theory and the Role of Dividends, Cash Flows, and Earnings", Contemporary Accounting Research, Spring 1990.
• "Evaluation of Market Efficiency for Supplementary Accounting Disclosures: The Case of Pension Assets and Liabilities," Contemporary Accounting Research, Fall 1990 (with Wayne Landsman).
• "Accounting Disclosures and the Market's Valuation of Oil and Gas Properties: Evaluation of Market Efficiency and Functional Fixation," The Accounting Review, October 1990 (with T. Harris).
• "The Theory of Value and Earnings, and an Introduction to the Ball-Brown Analysis", Contemporary Accounting Research, Fall 1991.
• "Aggregate Accounting Earnings Can Explain Most of Security Returns: The Case of Long Return Intervals," Journal of Accounting and Economics, June/September 1992 (with P. Easton and T. Harris).
• "Disaggregated Accounting Data As Explanatory Variables for Returns," Journal of Accounting, Auditing, and Finance, Fall 1992 (with S. Penman).
• "Changes vs. Levels in Earnings as Explanatory Variables for Returns: Some Theoretical Considerations," Fall 1992 Journal of Accounting Research (with P. Shroff).
• "Earnings, Book Value and Dividends in Security Valuation," Contemporary Accounting Research, Spring 1995
• "Valuation and Clean Surplus Accounting for Operating and Financial Activities," Contemporary Accounting Research," Spring 1995 (with G. Feltham).
• "Accounting Earnings, Book Value, and Dividends: The Theory of the Clean Surplus Equation (Part I)," in Clean Surplus: A Link Between Accounting and Finance, edited by R.P. Brief and K.V. Peasnell, Garland Publishing, 1996.
• "Uncertainty Resolution and the Theory of Depreciation Measurement", Journal of Accounting Research, Autumn 1996 (with G. Feltham).
• "A No Arbitrage Valuation Model Based on Anticipated Realizations of Accounting Data", The Accounting Review, forthcoming (with G. Feltham).
• AAccrual Accounting and Equity Valuation@, Journal of Accounting Research, forthcoming (with X.-J. Zhang)
• AComments on >Brand Values and Capital Market Valuation'@, Review of Accounting Studies, forthcoming.
• "An Analysis of Historical and Future-Oriented Information in Accounting-Based Security Valuation Models", Contemporary Accounting Research, Summer 1998, forthcoming.
• "Earnings, Book Values, and Dividends in a Stewardship Setting with Moral Hazard," Contemporary Accounting Research, Fall 1999.
• "On Transitory Earnings", Review of Accounting Studies, December 1999.
• "On the Theory of Forecast-Horizon in Equity Valuation", Journal of Accounting Research, Autumn 1999 (with X.-J. Zhang).
• "The Feltham-Ohlson (1995) Model: Empirical Implications", Journal of Accounting, Auditing & Finance, Summer 2000 (with Jing Liu).
• "Earnings, Book Values, and Dividends in Equity Valuation: An Empirical Perspective" Contemporary Accounting Research, Spring 2001.
• "The Basic Concepts Related to the Returns on Earnings Regression", Asia-Pacific Journal of Accounting and Economics, forthcoming.
• "Revisiting the Basics of Risk and Return in Equilibrium", Review of Quantitative and Accounting, forthcoming.
• Discussion of "Residual Income and Value-Creation: The Missing Link", Review of Accounting Studies, June/September 2002.
• "Accounting-Based Valuation with Changing Interest Rates", Review of Accounting Studies, forthcoming Fall 2003.
• "Positive (Zero) NPV Projects and the Behavior of Residual Earnings", Journal of Business Finance & Accounting, forthcoming.