Fuqua School of Business
Professor Arora’s research focuses on the economics of technology and technical change. Arora’s research has included the study of technology intensive industries such as software, biotechnology and chemicals, the economics of information security, and the role of patents and licensing in promoting technology startups.
|The Business Roundtable’s new Statement on the Purpose of a Corporation indicates a shift away from shareholder value maximization as the sole purpose of the corporation and toward a broader view of value creation.
This shift will have material impact on the well-being of U.S. workers.
|Agree||7||“The best companies never actually focus only on 'shareholder value maximization' in any event. As John Kay points out in his wonderful book, ‘Obliquity,’ having a broader purpose may allow a company to do well by doing good.”|
|In the next decade, we will see the first sustainably profitable private commercial activities in space.||Neither Agree nor Disagree||5|
|Introducing 5G networks 3-5 years ahead of other countries will give Chinese firms an advantage.||Strongly Agree||5||“Pioneers do not always benefit. But in this case, it seems likely that they will.”|
|The increase in stock market volatility that began in 2018 will last for another three to five years.||Neither Agree nor Disagree||1|
|A hard Brexit will have a significant negative impact on many businesses, even if they do not have a U.K. or European presence.||Agree||8||“The interesting question is who will make money out of a hard Brexit. Brexit is bad for business. A hard Brexit will be worse. Even firms not in the U.K. or Europe will feel the pain because value chains are globally integrated. On the demand side, EU growth will be slower, which will hurt as well.”|
|China is no longer the most attractive growth opportunity for Western multinationals.||Agree||4||“Is the bloom off the rose? It appears so. China is a very large and growing market. But the demographic dividend is over, the middle-income trap may not be easy to evade, and its geopolitical ambitions make it a riskier proposition. Whether Western multinationals see it — is a whole different issue.”|
|In the next five years, the blockchain will have a transformative effect on finance in emerging markets.||Disagree||4||“The impact of new technologies takes a while to have a significant effect.”|
|In the absence of a carbon tax, industry self-regulation can help mitigate the worst fallout from climate change.||Strongly Disagree||10||“History provides very little confidence that in the absence of regulations, lawsuits, or a tax, firms will be able to agree on mitigating climate change.”|
|Amazon’s new $15 per hour minimum wage will force other companies to follow suit.||Agree||8|
|Restrictions on skilled immigration will cause US firms to to shift more operations overseas.||Disagree||5||“In software outsourcing, H-1B visa holders were important complements to offshore work. Broadly, offshoring and immigration are likely to be complements.”|
|Uber has to develop self-driving cars in the next 10 years in order to remain viable.||Strongly Agree||7||“The driver cost is by far the biggest part of unit cost.”|
|A trade war will be more disruptive to business than to consumers.||Agree||8|
|Concern over consumer privacy will fundamentally limit businesses’ ability to use big data.||Disagree||7||“I am skeptical about how important big data will be for firms, at least in the next five to 10 years.”|