HOME | FACULTY AND RESEARCH | FACULTY DIRECTORY

Faculty & Research

John Parsons

  • Senior Lecturer / MBA Program Finance Track Head

John Parsons is a Senior Lecturer at the MIT Sloan School of Management and the Head of the MBA Finance Track. He is also the CoDirector of MIT’s CANES Low Carbon Energy Center which explores new avenues for nuclear fission, and a Research Affiliate at MIT’s Center for Energy and Environmental Policy Research.

Parsons is a financial economist specializing in risk management, corporate finance, and valuation. His research focuses on the problems of risk in energy and environment markets, the role of trading operations in energy companies, and the valuation and financing of investments in energy markets. For ten years Parsons worked in the finance practice at the economics consulting firm CRA International, where he was a vice president and principal. He worked with many major international oil companies, mining companies and commodity processors, electric utilities, and international pharmaceutical companies on a wide variety of risk management and valuation matters.

Parsons has taught on the finance faculty at MIT’s Sloan School of Management, the Zicklin School of Business at the City University of New York’s Baruch College, and the Columbia Business School.

He holds a BA in Economics from Princeton University and a PhD in Economics from Northwestern University.

  • "Black Gold & Fool's Gold: Speculation in the Oil Futures Market." Parsons, John, Working Paper. 2009.
  • "Nuclear Fuel Recycling - the Value of the Separated Transuranics and the Levelized Cost of Electricity." Parsons, John, Working Paper. 2009.
  • "Designing a U.S. Market for CO2." Parsons, John. Journal of Applied Corporate Finance Vol. 21, No. 1 (2009): 79-86.
  • "Do Trading and Power Operations Mix? The Case of Constellation Energy Group 2008. Center for Energy and Environmental Policy Research Working Paper #08-014, November 2008.." Parsons, John.
  • "Market Power and Electricity Market Reform in Northeast China. Center for Energy and Environmental Policy Research Working Paper #08-001, January 2008.." Parsons, John and Zhang, Xiochun.
  • ""Using Futures Prices to Filter Short-term Volatility and Recover a Latent, Long-term Price Series for Oil." With Miguel Herce and Robert C. Ready. Center for Energy and Environmental Policy Research Working Paper #06-005, April 2006.." Parsons, John.
  • "​Hedging and Liquidity." Mello, Antonio S. and John Parsons. Review of Financial Studies Vol. 13, No. 1 (2000): 127-153.
  • "Strategic Hedging." Mello, Antonio S. and John Parsons. Journal of Applied Corporate Finance Vol. 12, No. 3 (1999): 43-54.
  • "The Maturity Structure of a Hedge Matters: Lessons from the Metallgesellschaft Debacle." Mello, Antonio S. and John Parsons. In Corporate Hedging in Theory and Practice, London, UK: RISK Books, 1999.
  • "Alternative Models of Uncertain Commodity Prices for Use with Modern Asset Pricing Methods." Baker, Malcolm P., E. Scott Mayfield and John E. Parsons. The Energy Journal Vol. 19, No. 1 (1998): 115-148.
  • "An Integrated Model of Multinational Flexibility and Financial Hedging." Mello, Antonio S., John Parsons and Alexander J. Triantis. Journal of International Economics Vol. 39, No. 1-2 (1995): 27-51.
  • "Hedging a Flow of Commodity Deliveries with Futures: Problems with a Rolling Stack." Mello, Antonio S. and John Parsons. Derivatives Quarterly Vol. 1, No. 4 (1995): 1-2.
  • "The Maturity Structure of a Hedge Matters: Lessons from the Metallgesellschaft Debacle." Mello, Antonio S. and John Parsons. Journal of Applied Corporate Finance Vol. 8, No. 1 (1995): 106-120.