Rate My Professor David Johnstone

Johnstone's research specializations include finance, Bayesian decision theory, the cost of capital, corporate bankruptcy prediction, credit ratings changes, trading behavior in futures markets, market liquidity, probability scoring rules, and statistical tests in financial contexts. His key publications encompass 'Predicting corporate bankruptcy: An evaluation of alternative statistical frameworks' with S. Jones and R. Wilson (Journal of Business Finance & Accounting, 2017), 'An empirical evaluation of the performance of binary classifiers in the prediction of credit ratings changes' (Journal of Banking & Finance, 2015), 'The effect of information on uncertainty and the cost of capital' (Contemporary Accounting Research, 2016), 'The propensity for local traders in futures markets to ride losses: Evidence of irrational or rational behavior?' with A. Frino and H. Zheng (Journal of Banking & Finance, 2004), 'Mean-variance and expected utility: The Borch paradox' with D. Lindley (Statistical Science, 2013), and 'Tailored scoring rules for probabilities' with V. R. R. Jose and R. L. Winkler (Decision Analysis, 2011). These works have received hundreds of citations and advanced understanding in financial decision-making and risk assessment. Johnstone has also undertaken consulting for various Australian regulatory agencies and served on the Australian Energy Regulator’s Panel of Experts for reviews of electricity pricing and rate of return guidelines. His academic influence extends through editorial contributions and participation in expert panels shaping regulatory policy in finance.