This fall, Student Academic and Career Services (SACS) in the College of Business and Economics (CBE) will host three “Meet the Majors” sessions as an opportunity for students to learn more about all of CBE majors and academic program offerings.
Geared toward freshmen and sophomores but open to all students, the Meet the Majors series will give students the opportunity to talk with current students of the major, ask questions of faculty members, and learn more about the majors’ courses and projected career outcomes.
The schedule for the Fall 2023 Meet the Majors series includes:
Thursday, 10/5: Meet the Majors: Accounting and Finance
Tuesday, 10/24: Meet the Majors: Economics and BATM
Tuesday, 10/31: Meet the Majors: Marketing and Management
Each session will take place in the hallway outside the Dean’s Office (ST218) in Stephens Hall between 12pm and 1:30pm.
These informal sessions are a great opportunity for students to get a sense of what the majors are like to help them make decisions on which major to pursue. Professional development partners (PDPs), faculty members, and current students in the major will be on site to provide guidance and answer questions.
by Dr. Shantanu Bagchi, Associate Professor of Economics at Towson University
“I am sorry sir, but your card was declined because of insufficient funds,” says the customer service representative on the other end of the line. “Please contact your bank and pay off some of your balance, and then place a new order.” Then, with a customary “thanks for your business,” the line goes dead. You are simultaneously furious and stressed out: what other charges are going to get declined? How did you manage to lose track of your credit card balance? As these thoughts swirl around in your mind, through the corner of your eye, you see news breaking on TV: “President Biden and Speaker McCarthy reach deal to increase debt ceiling and avert a U.S. default.”
For countless American households, making ends meet has been a challenge in the post-COVID economy. Rising food and gas prices and sticky wages have left many of us wondering how to square the two pieces of our personal budgets: earnings and spendings. Some have been able to tap their past savings (excess earnings over spendings) to pool over these difficult times, but many have had to resort to borrowing (excess spendings over earnings). And many have been forced to cut their spending to stay within their borrowing limits. With all this going on, how many of us have seen a news headline like that and not felt burned: how is it that the public must live on tight budgets because no one will lend them any more money, but the federal government can just increase its debt ceiling and avoid default?
In general, the American public has believed in the principle that government debt should work much the same way as household debt (barring differences in default risk), a belief that can perhaps be traced back to the idea of “Ricardian Equivalence.” This idea, named after David Ricardo, the great British political economist of the early nineteenth century, avers that if everyone plays by the rules of credit markets, households will know that government tax cuts today will have to be financed through increased borrowing today. This increased borrowing, in turn, will need higher future taxes to pay off the accrued debt. Therefore, if the government racks up larger and larger deficits over time, it will take larger and larger future taxes to pay off the accrued debt.[1] So, if we are to spare future generations from having to pay these higher taxes, we must somehow limit the government’s ability to borrow money.
On the face of it this argument makes a lot of sense, but there is really no way to square it with reality: Congress has revised the debt ceiling 78 times since the 1960s. It turns out that the key fallacy in this argument is that it applies concepts from personal finance (i.e. households’ budgets) to evaluate public finance (i.e. the government’s budget). The two are similar only so far that the word “finance” appears in both. For households’ budgets (or personal finance), earnings typically happen before expenditures are made. Our decisions regarding which restaurants to eat at, which summer camps to send our kids to, and which coupons to use for which prescription drugs usually happen after we have some idea of our earnings. If unexpected things happen, we respond by engaging in short-term borrowing, such as temporarily running a credit card balance, or by breathing a sigh of relief that we were able to put some money away as savings. For the government’s budget (or public finance), the timing structure is very different. Roads and bridges must be built, the military must be hired, equipped, and trained, and social insurance payments must be made before the money needed to pay for them has been secured. In other words, unlike our personal budgets, earnings usually trail expenditures in the government’s budget.
Dr. Shantanu Bagchi is associate professor in the Department of Economics at Towson University. His areas of expertise include public economics, macroeconomics and mathematical economics.
The government’s ability to do things in the exact reverse order from the public is by no means an anomaly; it is by design. And the key to this design is the federal government’s unique position in the financial system: its ability to issue IOUs of dollars, and its ability to issue the very dollars that will be used to pay off those IOU’s. This insight is the foundation of a new philosophy on monetary policy in a modern capitalist economy: the Modern Monetary Theory (MMT). The basic premise of MMT is that in a world with low interest rates, loans are effectively free, so the federal government can choose to manipulate its debt however it may see appropriate.[2] And even though this idea may sound outlandish, politicians on both sides of the aisle understand this very well: over the last few decades, they have repeatedly revised the federal debt ceiling to avoid “default.”[3] In fact, from an MMT perspective, the federal government’s debt is not even a real thing, so “default” is not even a meaningful idea.
Unfortunately, the American public does not have the luxury to manipulate our personal debt, because no financial institution will give us loans in dollars and allow us to pay them back with something other than dollars. If they did, none of us would ever end up with insufficient funds to make our purchases. The bottom line: using concepts from our personal finance to understand the Federal government’s finances is a misguided endeavor, and all this cacophony about the federal’s government’s debt ceiling and possible “default” is nothing more than sensational TV.
This article represents solely the opinions of its author. This article is part of the college’s The Exchange series which offers readers in-depth articles and op-eds written by our faculty with fresh perspectives and innovative ideas related to business, the global economy and society.
Footnotes:
[1] In macroeconomics, debt is a “stock” variable, which is essentially a cumulative measure of deficits, which is a “flow” variable.
[2] Most industrialized economies of the world have experienced persistently low interest rates at least since the 1980’s, until the aftermath of the COVID-19 pandemic.
AACSB International — The Association to Advance Collegiate Schools of Business (AACSB) — accreditation is the highest seal of quality business schools can receive.
Towson University’s College of Business & Economics (CBE) has earned extension of accreditation for its business and accounting programs from AACSB International — The Association to Advance Collegiate Schools of Business (AACSB).
This accreditation is the highest seal of quality business schools can receive and recognizes continuous improvement. TU is part of the less than six percent of schools that are AACSB International-accredited and the less than one percent that are accredited in both academic programs. CBE is one of only four schools in Maryland to hold both accreditations.
AACSB accreditation is the longest-standing, most-recognized form of specialized accreditation business programs can receive worldwide, yet only 949 business schools in 59 countries and territories currently have AACSB accreditation. Of those institutions, only 192 hold the additional, specialized AACSB accreditation for their accounting programs.
TU is part of the less than six percent of schools that are AACSB International-accredited and the less than one percent that are accredited in both academic programs.
Earning this dual distinction requires schools to meet rigorous standards for academic programs, as well as faculty qualifications and scholarship that are designed to challenge educators to pursue excellence. To maintain accreditation, schools must demonstrate how they meet the standards, and strive for continuous improvement, every five years through a peer review process.
In the most recent accreditation maintenance cycle, a team of outside reviewers commended TU for its emphasis on experiential learning, academic advising and career services for its students, and engagement of its advisory groups.
CBE Interim Dean, Dr. Judy Harris
“This extension of accreditation from AACSB is confirmation of CBE’s commitment to excellence and of the high-quality education we provide,” said Interim Dean Judy Harris. “In particular, the peer-review team commended CBE for the depth and quality of faculty engagement and of student-faculty interactions, the dedication of CBE’s Student Academic and Career Advising unit, the strength of our assurance of learning processes, and the college’s significant social impact as measured by faculty intellectual contributions. I am so proud of the hard work of CBE faculty and staff that made this achievement possible.”
AACSB-accredited schools are recognized worldwide by top employers, and many top, global corporations only recruit from AACSB-accredited schools. Achieving AACSB accreditation is a rigorous process that assesses a school’s ability to perform in critical areas — such as teaching, research, curricula development and student learning— and ensures the programs are challenging and teach skills that give a distinct advantage in the real world.
The mission of the College of Business and Economics is to develop high-quality, innovative, and inclusive programs and resources, connect individuals to opportunities by applying theory to practice in curricular, co- curricular and scholarship activities, and transform students into professionals who will have a positive societal impact within Maryland and beyond.
The peer-review team commended CBE for the depth and quality of faculty engagement and of student-faculty interactions, the dedication of CBE’s Student Academic and Career Advising unit, the strength of our assurance of learning processes, and the college’s significant social impact as measured by faculty intellectual contributions.
Over the review period of the last five years, CBE has seen several accomplishments in program creation/revision, faculty research/participation and student impact. Highlights include:
Launching new combined B.S./M.S. programs in BSAP/Supply Chain Management and Business Administration/Marketing Intelligence
Launching new minors in Accounting, Business Analytics, and Business Law
Launching a certificate in Entrepreneurship, the first undergraduate certificate at TU
Faculty publishing 264 peer-reviewed journal articles with 47% in A* or A outlets
Providing six case-competitions in which 5,066 students participated
Mentoring CBE students in the completion of 3,558 credit-based internships
TU first received AACSB accreditation for its business administration program in 1992. In 1994, the accounting department also received AACSB accreditation. In 2008, the business administration program received its maintenance of accreditation. The accounting department followed suit in 2010. In 2013, 2018 and 2023, both programs received five-year extensions.
This past December, ten teams and 48 students participated in the Department of Management’s Fall 2022 Live Strategy Case Competition sponsored by McCormick & Company. The McCormick & Co. judges named three winning teams. Students from the winning teams received monetary scholarships for their innovative strategies.
The sponsoring company presented students with a case study about digital engagement, popular culture and social media trends. The case challenged students to “capitalize on consumer trends and develop a digital engagement strategy that further engages the consumers and enhances McCormick’s brand presence and engagement.”
Taking first place in the competition was Team CASIS, a five-member team including Amanda Lien, Clarence Smalley, Ian Harvey-Thomas, Sierra Silkman and Samantha DeLeon.
Members from the first place team, Team Casis, pose with McCormick & Co. executives and CBE faculty.
In second place came The McCormick Club, a five-member team including Carly DiGiacomo, Noah Hagan, Hamza Mushtaq, Richard Slemaker and Taran Thielmann.
Digital Enablers won third place with members Dylan Mayer, Sam Ray and Nicholas Wynn.
The first-place team, Team CASIS, was made up of students from a variety of majors allowing them to draw insight from several disciplines. When asked about the team’s winning strategy, Sierra Silkman their professor, Dr. Koushikee Dutta, for her help with preparing the team for success. “Dr. Dutta [taught us how] to do a comprehensive analysis of the company including internal, external and financial analysis. We used that information to come up with a strategy that we thought would be representative of the company… making sure we hit on all their key strengths.”
Members from the second place team, Team, pose with McCormick & Co. executives and CBE faculty.
Each semester, the upper-level MNGT 481 Strategic Management course offers students the opportunity to compete in the Live Strategy Case Competition to test the knowledge and skills they have gained during the class and throughout their academic careers. It is an excellent opportunity for students to practice presentation skills in a real-world environment, as well as allowing students to network with businesses local to the Towson area.
“This event is not only high impact, experiential, and an amazing learning experience for our graduating students, but it also highlights the best and the brightest in our college marking the beginning of the journey into their professional careers,” Dr. Filiz Tabak said. “None of this could have been possible without the participation of McCormick. We are very grateful to McCormick top executives for their time throughout the semester.”
In total, 310 students across 10 sections of the MNGT 481 capstone course worked on the McCormick case. Students across all sections are divided into teams and given the duration of the semester to research and prepare a written report and presentation. Teams present to their classes and the winning team from each class section goes on to present their case to executives from the sponsoring company.
Members from the third place team, Digital Enablers, pose with McCormick & Co. executives and CBE faculty.
Three McCormick & Co. executives participated in the competition as judges and provided students with invaluable feedback and a plethora of thoughtful questions. “We valued and enjoyed our time supporting TU’s Live Strategy Case Competition,” said Ryan Charlier, McCormick & Company’s Vice President of Finance. “The energy and the thought the students brought to their recommendations was evident in their presentations and provided a great perspective into the minds of one our important and growing consumer bases.”
Senior Genevieve Tchoubfong, a Business Administration major with a concentration in Human Resource Management, presents her team’s case to the McCormick & Co. judges.
When asked what advice they would give to future participants of the Live Strategy Case Competition, members from the first-place team shared two key tips: know your material and have fun.
“You’re here for a reason,” Ian Harvey-Thomas said. “They value you as much as you value them. Knowing your material is all you need. This is your strategy, your research. You know it.”
“The key is having fun,” Sierra added. “We’re very diverse, which helped our team. We had all different majors that came together so we came at it with different perspectives. We have diverse backgrounds as individuals–athletes, people working full time, different personalities. We were able to mesh well, and we worked hard. It was a lot of fun.”
Interested in learning more about or becoming a sponsor for the Department of Management’s Live Strategy Case Competition? Visit our website for more information.
On November 18, 2022, the Department of Marketing at Towson University held its 8th Annual Strategic Sales Competition. Nearly 60 students and 44 representatives from 13 corporate partners gathered to participate in the competition. Advance Business Systems, the platinum corporate sponsor for this year’s event, tasked the students with selling a package of various IT services offered by their company and served as “buyers” for the competition.
Representatives from Northwestern Mutual, United Electric Supply, Sherwin-Williams, Lower, MDP, Insight Global, Contour Mortgage, Enterprise, ADP, Chesapeake Plywood, Cvent, memoryBlue, and Stanley Black & Decker served as judges for the competition. Among the group of judges were several alumni including Kevin Carr ’87 (Cvent), Hailey Hardesty ‘19 (Enterprise), Alex Parker ’20 (Northwestern Mutual) and Joe Richardson ’98 (Stanley Black & Decker).
The Sales Competition is a great experience for students to gain hands on sales experience, as well as providing them with the opportunity to network with business professionals from the Towson area. Students from any major and class are welcome to participate, but students in MKTG 452 participate as part of their course.
“The Strategic Sales Competition provides the perfect environment to gather our best students and a large group of representatives of the regional business community. It is the perfect setting – the companies are looking to hire fresh talent and the students are looking for their first job after college,” Dr. Plamen Peev, professor of marketing and organizer of the competition, said. “The event grows every year and hopefully it will help elevate our sales program to where in the next few years we should be able to offer a sales certificate to TU students and establish a sales center within the College of Business and Economics,” he added.
In preparation for the competition, students were asked to develop a sales pitch for a potential buyer. During the competition, students enter a room with one buyer, introduce themselves, and then have 15 minutes to deliver their sales pitch.
When asked about how she prepared for the competition, first place winner Carly Lobus emphasized preparation and rehearsal. “You never know when you’re prepared enough, you never know when to stop,” she said. “My best advice is to practice with somebody, but don’t be too rehearsed.”
The top three competition winners. From left to right: Haley Haggerty (3rd place), Ayden Schnitzer (2nd place), and Carly Lobus (1st place).
To replicate a “real-world” environment, the judges view the performances from a live stream in another room. From there they can evaluate students’ performances based on their delivery, tactics and ability to address the buyers’ concerns.
Olivia Bushong, Towson University Class of 2015. Photo: LinkedIn.Hayley Beddard, Towson University Class of 2020. Photo: LinkedIn.
Advance is home to several Towson University alumni who represented the company during the competition as buyers. Hayley Beddard ’20, an account sales representative for Advance since June 2022, praised the students for their tenacity and hard work. “I think [the competition] just gives them good real-world experience and helps build some confidence, she said. “I know when I did it myself it was really nerve-wracking, and it took a lot of courage to do it.” Hayley graduated from Towson University in 2020 with a degree in business administration. Olivia Bushong ’15 joined Advance’s marketing and communications team immediately after graduating from Towson University with a degree in mass communications.
The judges selected eight winning students:
Carly Lobus, Senior, Mass Communications
Ayden Schnitzer, Senior, Business Administration, Management Concentration (Leadership & Management)
Haley Haggerty, Senior, Business Administration, Marketing Concentration
Ryan Hashim, Senior, Mass Communications, Marketing Minor
Alicia Anthony, Junior, Mass Communications, Marketing Minor
Josh Munley, Senior, Business Administration, Marketing Concentration
Hannah Herman, Junior, Business Administration, Marketing Concentration
Ellie Pikulsky, Senior, Business Administration, Marketing Concentration
The eight winning students pose (from left to right) with Jeff Elkin, President of Advance Business Systems; Dr. Erin Steffes, Chair of the Department of Marketing; Dr. Judy Harris, Interim Dean of the College of Business and Economics; and Professor Plamen Peev, professor of marketing. The winning students featured center (from left to right) include: Ellie Pikulsky (8th place), Hannah Herman (7th place), Alicia Anthony (5th place), Ryan Hashim (4th place), Haley Haggerty (3rd place), Ayden Schnitzer (2nd place), and Carly Lobus (1st place).
Jeff Elkin, president of Advance, commended the students for their preparation and the quality of their pitches. “We thought the presentations were terrific. Students were clearly very prepared for it and had great training. We were very impressed,” he said. “My advice for future students is to prepare. Know the product. And be yourself.”
All eight winning students received scholarships up to $1,500 for their success in the competition. The top 5 students were also invited to represent Towson University at the National Shore Sales Challenge to be held at Salisbury University this spring.
For more information about the TU Strategic Sales Competition, please visit our website.
