Edward Tower

Edward Tower

Professor with Tenure

External Address: 
228C Social Sciences Bldg, Box 90097, Durham, NC 27708
Internal Office Address: 
Box 90097, Durham, NC 27708-0097
(919) 660-1818

Professor Tower specializes in finance, computable general equilibrium modeling, macroeconomics, development economics, microeconomics, and managerial economics. He conducts a majority of his research within the study of trade and development, exploring a variety of variables from tariffs, quotas, and time zone arbitrage, to equities, mutual funds, and index mutual funds. Since he began publishing his work in 1965, he has contributed over 130 articles to leading academic journals and has had several books, chapters, and papers appear in print. Some of his more recent writings include, “School Choice: Money, Race, and Congressional Voting on Vouchers,” completed in collaboration with O. Gokcekus and J. Phillips; “Rational Pessimism: Predicting Equity Returns by Tobin’s q and Price/Earnings Ratio” with M. Harney; and “Predicting Equity Returns for 37 Countries: Tweaking the Gordon Formula” with K. Reinker. Much of his work pertaining to U.S. trade policy has been used to determine congressional voting on protectionist issues based on campaign contributions. His work on financial issues has also played an important role in determining the value of the U.S. stock market. His latest studies involved an investigation of congressional voting on importation of ethical drugs and predicting returns on both foreign and U.S. equity.


  • Ph.D., Harvard University 1971
  • M.A., Harvard University 1967
  • B.A., Harvard University 1964

DEAN, J. W., and E. TOWER. “MORE ON INTERNAL AND EXTERNAL BALANCE IN AN “ALMOST CLASSICAL” WORLD.” Economic Inquiry 11, no. 2 (January 1, 1973): 232–37. https://doi.org/10.1111/j.1465-7295.1973.tb02007.x. Full Text

Tower, E. “Monetary and Fiscal Policy under Fixed and Flexible Exchange Rates in the Inter-Run.” Journal of Money, Credit and Banking 877–96 (November 1972).

Tower, E. “Monetary and Fiscal Policy in a World of Capital Mobility: A Respecification.” Review of Economic Studies 39, no. 3 (January 1, 1972): 251–62. https://doi.org/10.2307/2296357. Full Text

Tower, E. “More on the Welfare Cost of Inflationary Finance.” Journal of Money, Credit and Banking, November 1971, 850–60.

Willett, T. O., and E. Tower. “THE WELFARE ECONOMICS OF INTERNATIONAL ADJUSTMENT.” The Journal of Finance 26, no. 2 (January 1, 1971): 287–302. https://doi.org/10.1111/j.1540-6261.1971.tb00897.x. Full Text

Willett, T. D., and E. Tower. “Currency areas and exchange-rate flexibility.” Weltwirtschaftliches Archiv 105, no. 1 (September 1, 1970): 48–65. https://doi.org/10.1007/BF02708673. Full Text

Stein, J. L., and E. Tower. “The Short-Run Stability of the Foreign Exchange Market.” Review of Economics and Statistics, May 1967, 173–85. Open Access Copy

Leontief, W. W., A. Morgan, K. Polenske, D. Simpson, and E. Tower. “The Economic Impact - Industrial and Regional - of an Arms Cut.” Review of Economics and Statistics, August 1965, 217–41. Open Access Copy