Ethan C. Rouen
Terrie F. and Bradley M. Bloom Associate Professor of Business Administration
Terrie F. and Bradley M. Bloom Associate Professor of Business Administration
Ethan Rouen is an associate professor of business administration in the Accounting and Management Unit at Harvard Business School, where he teaches the elective course Reimagining Capitalism. From 2020 to 2022, he served as the faculty co-chair of the Impact-Weighted Accounts Project.
His research focuses on the measurement, disclosure, and management of human capital, with a particular interest in improving engagement of and outcomes for low-wage workers. He has been recognized by the American Accounting Association with the Competitive Manuscript Award, the Deloitte Foundation Wildman Medal, the Best Dissertation Award, and the Innovation in Accounting Research Award. His research has been published in The Journal of Financial Economics, The Accounting Review, Management Science, and The Review of Accounting Studies, among others. He serves on the Design Team of the Aspen Institute Economic Mobility Accelerator Program and appears frequently in national and international media outlets.
Professor Rouen earned a BA in history and English from the University of Wisconsin-Madison, and an MS in journalism at Columbia University Graduate School of Journalism. From Columbia Business School, he received an MBA in finance and accounting, an M.Phil. in accounting, and a PhD in accounting.
- Journal Articles
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- Rouen, Ethan, and Matthias Regier. "The Stock Market Valuation of Human Capital Creation." Art. 102384. Journal of Corporate Finance 79 (April 2023). View Details
- Kobilov, Botir, Ethan Rouen, and George Serafeim. "Predictable Country-level Bias in the Reporting of COVID-19 Deaths." Journal of Government and Economics 2 (Summer 2021). View Details
- Rouen, Ethan, and George Serafeim. "Impact-Weighted Financial Accounts: A Paradigm Shift." CESifo Forum 22, no. 3 (May 2021): 20–25. View Details
- Dudley, Thomas, and Ethan Rouen. "The Big Benefits of Employee Ownership." Harvard Business Review (website) (May 13, 2021). View Details
- Rouen, Ethan, Eric C. So, and Charles C.Y. Wang. "Core Earnings: New Data and Evidence." Journal of Financial Economics 142, no. 3 (December 2021): 1068–1091. View Details
- Khan, Urooj, Suresh Nallareddy, and Ethan Rouen. "The Role of Taxes in the Disconnect Between Corporate Performance and Economic Growth." Management Science 66, no. 11 (November 2020): 5427–5447. View Details
- Rouen, Ethan. "Rethinking Measurement of Pay Disparity and Its Relation to Firm Performance." Accounting Review 95, no. 1 (January 2020): 343–378. View Details
- Rouen, Ethan. "Continue the Revolt that CEOs Launched." Boston Globe (August 19, 2017). View Details
- Amiram, Dan, Zahn Bozanic, and Ethan Rouen. "Financial Statement Errors: Evidence from the Distributional Properties of Financial Statement Numbers." Review of Accounting Studies 20, no. 4 (December 2015): 1540–1593. View Details
- Working Papers
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- Rouen, Ethan, Kunal Sachdeva, and Aaron Yoon. "The Evolution of ESG Reports and the Role of Voluntary Standards." Harvard Business School Working Paper, No. 23-024, October 2022. View Details
- Cai, Wei, Ethan Rouen, and Yuan Zou. "Passing the Mic: Career and Firm Outcomes of Executive Interactions." Harvard Business School Working Paper, No. 22-069, May 2022. View Details
- Dudley, Thomas, and Ethan Rouen. "Employee Ownership and Wealth Inequality: A Path to Reducing Wealth Concentration." Harvard Business School Working Paper, No. 22-021, September 2021. View Details
- Fadhel, Adel, Katie Panella, Ethan Rouen, and George Serafeim. "Accounting for Employment Impact at Scale." Harvard Business School Working Paper, No. 22-018, December 2021. View Details
- Lester, Rebecca, Ethan Rouen, and Braden Williams. "Financial Flexibility and Corporate Employment." Harvard Business School Series in Accounting and Control, No. 21-119, April 2021. View Details
- Regier, Matthias, and Ethan Rouen. "The Stock Market Value of Human Capital Creation." Harvard Business School Working Paper, No. 21-047, October 2020. (Revised March 2022.) View Details
- Nallareddy, Suresh, Ethan Rouen, and Juan Carlos Suárez Serrato. "Corporate Tax Cuts Increase Income Inequality." Harvard Business School Working Paper, No. 18-101, May 2018. View Details
- Rouen, Ethan. "The Accounting Rookie Job Market: A Practitioner's Guide." Harvard Business School Working Paper, No. 18-008, July 2017. View Details
- Khan, Urooj, Suresh Nallareddy, and Ethan Rouen. "The Role of Taxes in the Disconnect Between Corporate Performance and Economic Growth." Harvard Business School Working Paper, No. 18-006, July 2017. View Details
- Rouen, Ethan. "Rethinking Measurement of Pay Disparity and its Relation to Firm Performance." Harvard Business School Working Paper, No. 18-007, July 2017. View Details
- Cases and Teaching Materials
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- Rouen, Ethan, and Antonio Manuel Oftelie. "Driving Sustainability at AB InBev." Harvard Business School Case 124-037, October 2023. View Details
- Rouen, Ethan, Dennis Campbell, and Andrew Robinson. "Ownership Works: Scaling a Profitable Social Mission." Harvard Business School Case 123-079, March 2023. View Details
- Campbell, Dennis W., and Ethan Rouen. "KKR at CHI Overhead Doors (B)." Harvard Business School Supplement 123-020, December 2022. (Revised October 2023.) View Details
- Campbell, Dennis, and Ethan Rouen. "KKR at CHI Overhead Doors (A)." Harvard Business School Case 123-018, December 2022. (Revised June 2023.) View Details
- Rouen, Ethan, and Suraj Srinivasan. "Creating and Measuring Purpose at Viega." Harvard Business School Teaching Note 123-035, October 2022. View Details
- Rouen, Ethan, Suraj Srinivasan, and James Barnett. "Creating and Measuring Purpose at Viega." Harvard Business School Case 122-028, February 2022. (Revised January 2023.) View Details
- Rouen, Ethan, and Carolyn Liu. "Education Partners: Becoming Actively Anti-Racist (B)." Harvard Business School Supplement 122-049, November 2021. View Details
- Rouen, Ethan, and Carolyn Liu. "Education Partners: Becoming Actively Anti-Racist (A)." Harvard Business School Case 122-048, November 2021. View Details
- Wang, Charles C.Y., and Ethan Rouen. "Measuring Impact at JUST Capital." Harvard Business School Multimedia/Video Case 121-703, February 2021. View Details
- Serafeim, George, Ethan Rouen, and Katie Panella. "Valuing Employment Teaching Plan Spreadsheet Supplement." Harvard Business School Spreadsheet Supplement 121-092, May 2021. View Details
- Serafeim, George, Ethan Rouen, and Katie Panella. "Valuing Employment Exercise." Harvard Business School Exercise 121-086, April 2021. View Details
- Serafeim, George, and Ethan Rouen. "Valuing Employment." Harvard Business School Teaching Plan 121-087, April 2021. View Details
- Rouen, Ethan C., and Charles C.Y. Wang. "Measuring Impact at JUST Capital." Harvard Business School Teaching Note 121-037, February 2021. (Revised March 2022.) View Details
- Serafeim, George, and Ethan Rouen. "Redefining Mogul." Harvard Business School Teaching Note 121-030, October 2020. View Details
- Rouen, Ethan. "Employee Activism (A) and (B)." Harvard Business School Teaching Note 121-031, September 2020. View Details
- Rouen, Ethan. "TJX Instructor Exercise." Harvard Business School Spreadsheet Supplement 120-117, June 2020. View Details
- Rouen, Ethan. "Income Inequality and the CEO Pay Ratio at TJX Cos." Harvard Business School Teaching Note 120-116, May 2020. View Details
- Serafeim, George, Ethan Rouen, and Sarah Gazzaniga. "Redefining Mogul." Harvard Business School Case 120-043, March 2020. (Revised May 2020.) View Details
- Serafeim, George, Ethan Rouen, and David Freiberg. "SK Group: Social Progress Credits." Harvard Business School Teaching Plan 120-112, May 2020. View Details
- Serafeim, George, Ethan Rouen, and David Freiberg. "SK Group: Social Progress Credits." Harvard Business School Case 120-071, January 2020. View Details
- Rouen, Ethan, and Akari Furukawa. "Employee Activism (B)." Harvard Business School Supplement 120-105, March 2020. View Details
- Rouen, Ethan, and Akari Furukawa. "Employee Activism." Harvard Business School Case 120-104, March 2020. (Revised May 2021.) View Details
- Di Maggio, Marco, Ethan Rouen, and George Serafeim. "Facebook's Libra: The Privatization of Money?" Harvard Business School Teaching Note 220-048, December 2019. (Revised February 2022.) View Details
- Di Maggio, Marco, Ethan Rouen, George Serafeim, and Aldo Sesia. "Facebook's Libra: The Privatization of Money?" Harvard Business School Case 120-021, October 2019. (Revised February 2021.) View Details
- Rouen, Ethan, and Akari Furukawa. "Income Inequity and Income Inequality." Harvard Business School Background Note 120-062, December 2019. (Revised October 2020.) View Details
- Rouen, Ethan, and Akari Furukawa. "Income Inequality and the CEO Pay Ratio at TJX Cos." Harvard Business School Case 120-063, December 2019. (Revised May 2020.) View Details
- Rouen, Ethan, and Susanna Gallani. "Tapping Growth at Lord Hobo PowerPoint Supplement." Harvard Business School PowerPoint Supplement 120-708, October 2019. View Details
- Rouen, Ethan, and Susanna Gallani. "Tapping Growth at Lord Hobo Brewing Company Spreadsheet Supplement (Instructor)." Harvard Business School Spreadsheet Supplement 120-707, October 2019. View Details
- Rouen, Ethan, and Susanna Gallani. "Tapping Growth at Lord Hobo Brewing Company Spreadsheet Supplement (Student)." Harvard Business School Spreadsheet Supplement 120-706, October 2019. View Details
- Rouen, Ethan, and Susanna Gallani. "Tapping Growth at Lord Hobo Brewing Company." Harvard Business School Teaching Note 120-023, September 2019. View Details
- Rouen, Ethan C., and Charles C.Y. Wang. "Measuring Impact at JUST Capital." Harvard Business School Case 119-092, March 2019. (Revised April 2019.) View Details
- Rouen, Ethan. "Time-Driven Activity-Based Costing at Voray." Harvard Business School Teaching Note 119-077, February 2019. View Details
- Rouen, Ethan, and Susanna Gallani. "Tapping Growth at Lord Hobo Brewing Company." Harvard Business School Case 119-028, August 2018. View Details
- Rouen, Ethan, and Suraj Srinivasan. "JOE & THE JUICE Crosses the Atlantic (with video links)." Harvard Business School Teaching Note 118-075, March 2018. View Details
- Rouen, Ethan, and Suraj Srinivasan. "JOE & THE JUICE Crosses the Atlantic (with video link)." Harvard Business School Multimedia/Video Case 118-039, November 2017. (Revised June 2019.) View Details
- Other Publications and Materials
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- Rouen, Ethan, Georgios Serafeim, and Ronald Cohen. "Les questions sociétales et environnementales sont pressantes et les entreprises doivent se transformer si elles entendent rester compétitives: [Societal and Environmental Issues Are Urgent and Companies Must Transform if They Intend to Remain Competitive]." Le Monde (April 13, 2021). View Details
- Research Summary
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Relying on empirical archival methodologies—as well as techniques in data science—to develop and structure new sources of data by which to approach questions of looming disclosure changes, Professor Rouen has focused on one of the Securities and Exchange Commission’s most controversial recent disclosure requirements, the CEO pay ratio. In his research, he examines the ratio of CEO compensation to mean employee compensation, and its relation to future firm performance. Professor Rouen’s results are among the first to provide evidence that differing types of pay disparity can have differing effects on employees and firms, a finding that is important to politicians, regulators, and investors preparing to understand a radical new disclosure. Professor Rouen has also studied financial statement errors. His research shows that reported financial statement numbers conform to the mathematical distribution defined by Benford’s Law (i.e., the law of first digits). After creating a measure of divergence from conformity to the law as a proxy for data quality, Professor Rouen has found evidence that this measure is associated with proxies for accruals-based accounting quality and earnings management. In addition, the measure is predictive of Accounting and Auditing Enforcement Releases. He has received several awards for his work in this area, and the measure of financial statement errors he and his co-authors developed has been used by the S.E.C., as well as data providers and investment banks. The impact of the corporate tax regime in the United States on the relation between the performance of U.S. corporations and the overall economy is another of Professor Rouen’s interests. This examination is timely as world leaders debate how to discourage corporate tax shifting, and U.S. multinationals wrestle with managing the more than $2 trillion in cash they hold abroad. Professor Rouen has documented that as the domestic corporate tax rate rises relative to tax rates of other countries, fewer corporate profits flow into domestic investment. The results provide valuable evidence for policy makers examining how to tax the foreign profits of domestic companies.
- Teaching
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Professor Rouen teaches the Elective Curriculum course Reimaging Capitalism.
- Awards & Honors
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Winner of the 2024 Best Paper Award at the Fox and Haskayne Accounting Conference for "Sustainability Meets Substance: Evaluating ESG Reports in the Context of 10-Ks and Firm Performance” with Kunal Sachdeva and Aaron Yoon.Awarded Best Junior Contribution to the Theory and Practice of Intangibles, Intellectual Capital, and Sustainability by the European Institute for Advanced Studies in Management at the 2022 EIASM Interdisciplinary Conference for “Regulated Human Capital Disclosures” with Thomas Bourveau, Maliha Chowdhury, and Anthony Le.Winner of the 2022 Innovation in Research Award from the Diversity Section of the American Accounting Association for “Inclusive Managers” with Wei Cai and Yuan Zou.Winner of the 2018 Best Dissertation Award from the Financial Accounting and Reporting Section of the American Accounting Association for "Rethinking Measurement of Pay Disparity and Its Relation to Firm Performance" (Ph.D. diss., Columbia Business School, 2017).Winner of the 2017 Deloitte Foundation Wildman Medal from the American Accounting Association for “Financial Statement Irregularities: Evidence from the Distributional Properties of Financial Statement Numbers” (Review of Accounting Studies, 2015) with Dan Amiram and Zahn Bozanic.Received a 2016 Werner L. and Adriana Chilton Doctoral Fellowship from Columbia Business School.Selected as a Finalist for the 2015 Columbia University Presidential Teaching Award.Received the 2015 Third-Year Best Student Award from Columbia Business School.Received a 2015 Institute of Management Accountants Doctoral Student Grant.Selected as a 2015 Doctoral Fellow by the W. Edwards Deming Center for Quality, Productivity, and Competitiveness at Columbia Business School.Selected as a 2015 AAA/Deloitte/J. Michael Cook Doctoral Consortium Fellow by the American Accounting Association.Received a 2015 Paul and Sandra Montrone Doctoral Fellowship from Columbia Business School.Received a 2015 Deloitte Foundation Doctoral Fellowship.Winner of the 2014 Midyear Meeting Best Paper Award from the American Accounting Association, Financial Accounting and Reporting Section for “Financial Statement Irregularities: Evidence from the Distributional Properties of Financial Statement Numbers” (Review of Accounting Studies, 2015) with Dan Amiram and Zahn Bozanic.
- Additional Information
- Areas of Interest
- In The News
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