We formulate and disseminate optimal public policies for banking, finance, commerce, governance, international trade, and capital markets.  The objective is to promote such policies for long-run sustainable prosperity of individuals in a stable society.    Policies are based on research.  Dissemination of information about these policies is done through published materials via internet, e-mails, postal service and direct contact.  This site is administered by Dr. Sankarshan Acharya.

Dr. Sankarshan Acharya is a leading researcher of first-best policies for efficient resolution of financial moral hazard.  Significant first-best policies obtained in his research have been adopted by the U.S. for governance of banks:  (i) bank foreclosure rule, (ii) incentive compatible bank loan loss estimation model, (iii) minimum required capital on a consolidated basis for bank holding companies, and (iv) safe central banking. Dr. Acharya has pursued with the U.S. Congress since 2003 to adopt such first-best policies to preemptively avert a looming financial catastrophe presaged by his general equilibrium model on the game among leveraged firms and a not-for-profit government seeking to minimize its costs. 

Dr. Acharya has received Ph.D. degree in finance with an award for “excellent performance in doctoral program” from the Kellogg Graduate School of Management at Northwestern University, and Master of Technology in Industrial Management from the Indian Institute of Technology.  He has served as an Assistant Professor of Finance at the Stern School of Business of New York University, Financial Economist at the Board of Governors of the Federal Reserve System, Officer-in-Charge of Planning at an Indian Council of Scientific and Industrial Research Laboratory, Corporate Manager-cum-Adviser to Galgaocar Group of Industries in Goa and Lecturer at the National Institute for Industrial Engineering (Mumbai). 

Dr. Acharya has published major papers in top journals like the Journal of Finance, International Economic Review, Journal of Banking and Finance, Financial Analysts Journal and Journal of Risk Management in Financial Institutions.  One of his papers on optimal bank reorganization and pricing of federal deposit insurance has been on the required reading list of bank regulatory agencies and another on valuation of latent assets has been used in textbooks on econometric estimation of the value of latent information released by firms.  Dr. Acharya’s research has sparked a lot of excitement, resulting in invitations from the U.S. Congress to help draft the U.S. bank regulatory law. He has helped the Federal Reserve Board in establishing optimal bank capital standards, and advised the Federal Deposit Insurance Corporation on deposit insurance reforms.

Dr. Acharya’s current research includes arbitrage pricing, valuation of total risk of assets in general equilibrium models, capital structure, game theory and long-run dynamic equilibrium, economically efficient constitutional governance and first-best governance of banks and financial markets, no-subsidy mantra of governance to attain the most efficiently competitive economy, and a unifying philosophy of governance.  He currently teaches Options and Futures Markets and Fixed Income Securities.