Famous Alumni: Celebrities Who Attended Yale University with Me

As a graduate student at Yale University, I entered the economics Ph.D. program in the fall of 1974 and graduated in December 1980. Among the numerous notable individuals who attended Yale during that era, there were undoubtedly future celebrities, though many were too distant from my social circle during my graduate studies.

Key Alumni: Ernesto Zedillo and David Swensen

Of my fellow economics graduate students two became bona fide celebrities: Ernesto Zedillo and David Swensen. Both made significant contributions to their fields, earning renowned recognition and commendation within their sectors.

Ernesto Zedillo: The Political and Economic Scene

One of them is Ernesto Zedillo, a good friend I developed a deep connection with. After receiving his degree, Zedillo returned to Mexico where he assumed the position of Secretary of Education under President Carlos Salinas. He later resigned to become the campaign manager for the presidential candidate of the Institutional Revolutionary Party (PRI), Luis Donaldo Colosio. Colosio’s tragic assassination in March 1994 paved the way for Zedillo to replace him as the PRI’s presidential candidate.

Although his political skills were perhaps not the most natural, Zedillo’s election was virtually assured given the PRI’s strong grip on Mexican politics at the time. I had the honor to attend his inauguration on December 4, 1994, but his tenure as president was marked by significant challenges. The Tequila Crisis began just 16 days after his inauguration, which forced the new government to abandon the long-standing peg of the Mexican peso against the US dollar. The decision to allow the exchange rate to float was a rational response to the situation, but it inadvertently encouraged further capital flight, necessitating a second round of floating.

While Zedillo faced criticism for his handling of the macroeconomic crisis, the blame should be more heavily levied on his predecessor, President Carlos Salinas. Salinas failed to address the macroeconomic imbalances before leaving office, leaving Zedillo with an unfinished economic time bomb. Nonetheless, Zedillo deserves significant credit for his efforts in reforming Mexico's welfare programs. During his tenure, he recruited Santiago Levy, a Boston University professor, to serve as the deputy Minister of Treasury. Levy was instrumental in designing and implementing the Programa para el Reducir la Pobreza (Progresa), a landmark national-scale conditional cash transfer program. This program provided cash benefits to poor mothers contingent on their children's health checkups and school attendance, ensuring the program's impact was well-documented and effective.

The program eventually evolved into Oportunidades and later Prospera, inspiring similar programs across Latin America and beyond, a testament to Zedillo's visionary approach.

David Swensen: Investment Genius

The second notable classmate is David Swensen, who achieved equal fame in the investment community. Unlike many academic economists, Swensen brought practical insights derived from his research on financial economics, which proved invaluable when he returned to Yale as the Chief Investment Officer in 1985. Since then, Swensen has consistently delivered an average return of 13.5% on Yale's endowment, significantly outperforming other Ivy League institutions.

The realization of this transformative performance was marked by the term "17 Billion Man," reflecting the substantial increase in Yale’s endowment under Swensen's leadership. Over the years, this number has continued to rise, with Yale's response being characteristic: renaming a dormitory in his honor, the David Swensen Hall of Graduate Studies. Swensen's success has also made him a household name in the investment world, cementing Yale's reputation for rigorous and innovative financial management.

Conclusion

Of the many talented individuals I encountered at Yale, Andrew Warner's fellow classmates, Ernesto Zedillo and David Swensen, have achieved remarkable recognition in their respective fields. Zedillo’s political and economic acumen, combined with his reformist initiatives, and Swensen’s investment expertise and strategic vision have both left indelible marks in their professional fields. It is fascinating to reflect on the paths these classmates have forged and the impact they have had on their industries, underscoring the importance of education and mentorship in nurturing future leaders and visionaries.

Throughout my academic journey at Yale, these two classmates exemplified the diverse talents and contributions our institution can foster. Their success stories serve as a testament to the transformative power of education and the power of visionary leadership.