New York State Education Department Bureau of Doctoral Program Review SITE VISIT REPORT DOCTORAL PROGRAM REGISTRATION-INSTITUTIONS OUTSIDE OF THE U.S.A. Institution: CERGE-EI, Prague, Czech Republic Program Title: Doctoral Program in Economics Doctoral Degree: Ph.D. (in process M.A. sought) Evaluators Dr. Anne P. Carter Acting Dean of Arts and Sciences and Fred C. Hecht Professor of Economics Brandeis University Dr. Michael Grossman Distinguished Professor of Economics City University of New York Graduate Center Dr. Michael S. McPherson President and Professor of Economics Macalester College Dr. Sherwin Rosen Edwin A. and Betty L. Bergman Distinguished Service Professor of Economics University of Chicago President-elect, American Economic Association Dr. Michael Rothschild Dean of the Woodrow Wilson School of International and Public Affairs and Professor of Economics Princeton University Date of Evaluation: January 27-28, 2000
Introduction This is a site visit report on the doctoral program in economics at the Center for Economic Research and Graduate Education (CERGE) and the Economics Institute (EI). It is a joint program of Charles University and the Czech Academy of Sciences. CERGE was founded in 1991 as a unit of Charles University, founded in 1348. In 1992 the Academy of Sciences of the Czech Republic established the Economics Institute (EI). The founding documents of EI stipulate that it will coordinate its activities with CERGE, including making joint appointments, operating common support facilities such as library and computer center, and cooperating in teaching. This partnership is known as CERGE-EI. The site visitors spent January 27 and 28 at CERGE-EI. We toured the facilities and met with faculty, students, administrators, and support staff. We also reviewed course reading lists, core examinations and completed Ph.D. dissertations. The section below contains responses to the five areas requested by the New York State Education Department Bureau of Doctoral Faculty Review: program, faculty, students, resources and facilities, and comments. This is followed by a section with an administrative note and a section with a recommendation. Areas Requested by New York State Education Department Bureau of Doctoral Faculty Review 1.Program 1.1. Assess program purpose, structure, and requirements as well as formal mechanism for administrative oversight and monitoring of the program. 1.1.1. Purpose CERGE-EI offers an American Style Ph.D. Program in Economics mainly for students from Central Europe. Since essentially no economists in the former Soviet Union received relevant training for more than 50 years, the need is great. At present CERGE-EI has no serious competition. It fills an important and singular niche. 1.1.2. Structure standard U.S. program appropriately modified for the backgrounds of students (strong math, little English and economics). 1.1.2.1. Screening summer program (see 3.2 below) 1.1.2.2. English Program (see 2.6 below) 1.1.2.3. Students allowed/encouraged to study abroad after second year provisions for financing this. 1.1.3. Requirements 1.1.3.1. Two years of coursework (general qualifying exam after first year and two field exams after second year of work). Courses in difficulty and coverage are equivalent to a first rate American Ph.D. Program. 1.1.3.2. Thesis seminar and formal defense of topic. 1.1.3.3. Thesis must be approved by two outside (examiners generally internationally known experts) as well as internal committee of three. 1.1.4. Administrative Oversight and Monitoring. 1.1.4.1. A joint program of Charles University and the Academy of Sciences of the Czech Republic. Singular in several respects. The Center for Economic Research and Graduate Education (CERGE) was founded in 1991 as a unit of Charles University, founded in 1348. In 1992 the Academy of Sciences of the Czech Republic established the Economics Institute (EI). The founding documents of EI stipulate that it will coordinate its activities with CERGE, including making joint appointments, operating common support facilities such as library and computer center, and cooperating in teaching. This partnership is known as CERGE-EI. 1.1.4.2. In Czech Republic Academy of Sciences does research. Charles University teaching. Formal collaboration is rare. 1.1.4.3. Administrative independence of both these bodies. General oversight by Executive and Supervisory Committee (ESC) composed of leading economists and 1
representatives from Charles University and Academy of Sciences. This is appointed by Rector and the director of the Academy and operates to assure the high quality of appointments, research and teaching. 1.2. Comment on the special focus of this program as it relates to the discipline. What are plans and expectations for continuing program development and self-assessment? 1.2. 1. Special focus is to be a high quality; U.S. style research and training center. As such it is singular in Eastern Europe. Special focus and expertise is on transition economics, particularly the industrial organization and development of formerly Communist countries. CERGE-EI is constantly under informal review by the ESC. 1. 3. Assess the breadth and depth of coverage in terms of faculty availability and expertise, regular course offerings and directed study, and available support from related programs. What evidence is there of program flexibility and innovation? 1.3.1.. In breadth and coverage this looks like a good U.S. Ph.D. program. Core courses of micro, macro, and econometrics are always offered as are most fields. The faculty structure is unusual. Given the dearth of senior scholars trained in modern economics in Central Europe, most of the senior faculty have some sort of visiting arrangement. CERGE has been bold and innovative in trying to meet this gap. Students both receive modern training and appropriate research training. Flexibility is furnished by rotating faculty, by having many seminars and visitors, and by allowing outsiders to serve on dissertation committees. Innovation is high as demonstrated by training in writing and in special preparatory/winnowing summer session. 1.4. Discuss the relationship of this program to undergraduate, master s and other doctoral programs of the institution. Consider interdisciplinary programs, service function, joint research projects, support programs, inter-institutional arrangements, etc. 1.4.1. NA but they want to award an in process M.A. which they should, as it is standard in US. 1. 5. How adequate are institutional mechanisms for financial suppoort of the program? 1.5.1. Financial support would be the envy of most U.S. Ph.D. programs. 1. 6. What evidence is there of need and demand for the program within the discipline and by society at large? What is the extent of occupational demand for graduates, both now and in the foreseeable future? 2. Faculty 1.6.1. The need for well-trained economists in Central Europe is great. Students and recent graduates fill high positions in Czech governmental institutions. We expect this demand to continue. The region needs good economists as teachers, researchers, scholars, and bureaucrats as none were trained for 45 years. 2.1. What is the calibre of the faculty, individually and collectively, in regard to training, experience, research and publication, professional service, and recognition in the field? 2.2.1. Wide range and high quality given no locally trained senior faculty. Junior faculty have good training (from best U.S. Ph.D. programs). They vary in quality and promise but the average quality is 2
high. Filer, Kmenta, Roland, Shaked, and Svejnar are very, very high quality and provide leadership, mentoring and dissertation advising that puts this program on a par with very good U.S. Ph.D. programs. Although their association with CERGE-EI is unusual it is both persistent and vital. One of the most encouraging signs is the quality and entrepreneurship of the director, Hanousek, a young associate professor whose star is clearly rising. 2.2. What are the faculty members primary areas of interest and expertise? How important to the field is the work being done? Discuss any critical gaps. 2.2.1.There are four areas of strength: transition and development, industrial organization, labor economics, and theory. The quality and depth in theory and econometrics, the vital core of any Ph.D. Program is more than adequate. No single program can hope to cover all areas of economic research; CERGE-EI has made good choices. 2. 3. Assess the composition of faculty in terms of diversity (gender, seniority, ethnicity, etc.) and stability (instruction, mentoring, guiding dissertation research, etc.). 2.3. 1. The faculty is diverse in every respect except seniority and age which goes with the territory; many races are represented. They seek to increase the number of female economists. 2.4. Evaluate faculty activity in generating funds for research, training, facilities, equipment etc. 2.4. 1. Faculty have been very productive in generating research grants from a wide variety of resources ranging from NSF and the World Bank to the Czech Republic and the Soros Foundation. Funding is both ample and secure. Facilities space, library, computers, seminars, visitors and opportunities to travel exceed all but the very wealthiest and most successful U.S. departments. 2.5. Assess the faculty in terms of size and qualification for the areas of specialization offered. Evaluate faculty workload, taking into consideration responsibility for undergraduate, master s, and other doctoral programs. Are plans for future staffing adequate and feasible? 2.5.1.Faculty is more than adequate in terms of size and qualification to put on the Ph.D. program. Classes are small, teaching loads low (1.5 courses per year), and there is more than ample time for research. We were envious. Their plans for growth and increasing seniority are well founded. 2.6. Discuss credentials and involvement of adjunct and support faculty. If there are any postdoctoral fellows, evaluate their contribution to the program. 2.6.1. Well-qualified adjuncts are used when necessary (not too frequently) to fill occasional gaps and to provide breadth. Most students are not native English speakers. The well-thought out English program is a vital part of the program and provides support to both students and faculty. The English faculty teach not only ESL but also academic expository writing. They are dedicated, well qualified and would provide considerable value to any Ph.D. program as they do this one. There are no post doctoral fellows. 3.Students 3.1. Comment on the student clientele which the program seeks to serve, and assess plans and projections for student recruitment and enrollment. 3.1.1. Student clientele is would-be economists in former Communist countries. The supply of potential students from these areas with good training in mathematics and computer skills is large. The need for trained economists in these areas in academia, government and business is huge, unsatisfied and growing. 3
3.2. What are the prospects that recruitment efforts and admissions criteria will ensure a sufficient pool of highly qualified applicants and enrollees? 3.2.1. The recruitment efforts are energetic, intelligent, and effective. CERGE-EI s reputation will grow and so will the number of their potential applicants. It is very difficult to judge the credentials of potential applicants. CERGE-EI has responded to this problem imaginatively. CERGE-EI admits candidates on a probationary basis. Those who perform adequately in the summer program are admitted to the regular program. 3.3. Assess the system for monitoring students progress and performance and for advising students regarding academic and career matters. 3.3.1. Students follow a rigid schedule in taking qualifying exams in their first and second years. After passing exams students are required to enroll in a thesis seminar and get appropriate guidance in finding a thesis topic and in continuing. 3.4. If the program already has students enrolled or graduated, examine transcripts, exams, and dissertation research, and report on the quality of student work completed. What major contributions have graduates made to the field? 3.4.1.General written exams (and the quality of student s answers) are equivalent to good U.S. programs. The system of external examiners assures that dissertations are of high quality. The external examiners are of the highest quality. The program is too new to permit reliable assessment of its contributions, but we found dissertations to be interesting contributions to knowledge. 3.5. Discuss prospects for job placement or advancement. Comment on the employment record of program graduates, if any. 3.5.1.Placement is good and improving. Some of the best students hold high policy positions in Czech governmental institutions. Others have worked for good non-profits. Academic placements are small but improving. This year several students competed on the U.S. job markets and had several interviews results are not yet known. 4. Resources and Facilites 4.1. What is the institution s commitment to the program as demonstrated by the operating budget, faculty salaries and research support, the number of faculty lines relative to student numbers and workload, support for faculty by non-academic personnel, student financial assistance, and funds provided for faculty professional development and activites, colloquia, visiting lecturers, etc. 4.1.1.CERGE-EI is independent with its own building and funding. Roughly half their budget is covered by secure formulaic agreements with Charles University and the Czech Academy of Science. The rest comes from grant funding that is varied, strong and growing. The current budget covers a high level of support ranging from salaries and stipends to maintenance, computers and library. Colloquia, secretarial support and other support functions are well funded. All students are supported at a high level. Outside work is unnecessary. 4.2. Discuss the adequacy of physical resources and facilities, e.g., library, computer, and laboratory facilities, equipment, office and classroom space, internship sites, and other support services for the program, including use of resources outside the university, How responsive is the institution to the needs of persons with disabilities? 4.2.1.Physical resources are extraordinary. The library is the best in Central Europe. Computers are up to date;, offices are good. Students share offices. Classrooms are good. 4
Elevators and ramps provide access for the disabled. The stately and elegant building is well maintained. 5. Comments 5.1. Summarize the major strengths and weaknesses of the program with particular attention to the appropriateness of objectives and standards for the degree offered. 5.1.1.The program is demanding, innovative and responsive to the special needs of Central Europe. The major weaknesses the paucity of full-time senior faculty and the program s youth are the other side of this coin. 5.2. In what ways will this program make a unique contribution to the field? 5.2.1.The program s distinctive contribution lies in the needs and skills of its students and the concomitant demand for its students. 5.3. Include any further observations important to the evaluation of this program, and provide recommendations. 5.3.1.Administrative Note The evaluators feel that the special questions dealing with institutional readiness for doctoral education were not relevant to its evaluation. CERGE-EI is part of Charles University which has offered doctoral degrees as well as undergraduate degrees for a long time. CERGE-EI itself is only engaged in doctoral education and is not moving from the bachelors or masters level to the doctoral level. As the report indicates, the evaluators judge the CERGE-EI doctoral program to be of extremely high quality. 5.3.2.Recommendation The evaluators commend the CERGE-EI Doctoral Program in Economics for its flexibility and innovation and for the acuteness of its leaders in understanding its market niche and problems. As is befitting this program in a transitional economy its current organization the structure of governance and the age structure of its faculty are explicitly works in progress. The evaluators strongly recommend that the New York State Education Department Bureau of Doctoral Program Review register the CERGE-EI Doctoral Program in Economics. This recommendation is made with the highest level of enthusiasm. 5