Gene Fama: Hardest Workin' Man in Finance/Econ
From the Minneapolis Fed's interview with University of Chicago economist Eugene Fama (pictured above):
Fama’s work transformed Wall Street, and later Main Street, by giving rise to a proliferation of low-cost index funds, as many questioned the value of paying for active portfolio management. “If one takes into account the higher initial loading charges of the mutual funds,” he observed over 40 years ago, “the random investment policy outperforms the funds.”
Mpls. Fed: How do you view the suggestion that some CEOs are overcompensated?
Fama: If it’s a market wage, it’s a market wage. They may be big numbers; that’s not saying they’re too high. It’s easy to say that people are paid too much, but when you’re on the other side of the fence trying to hire high-level corporate managers, it turns out not to be so easy.
Mpls. Fed: I understand that you work every day, even holidays. Is that right?
Mpls. Fed: That’s an amazing work ethic.
Fama: Not really.
(HT: Marginal Revolution)