Summa Breakfast Returns
Members of the University community heard some valuable—and sobering—insights about the US economy from alumnus Ken Taubes at the annual Summa Breakfast. Taubes shared his thoughts on inflation, the Federal Reserve, and a possible recession.
“Excess reserves in the banking system are declining,” he explained. “So banks have to work harder to lend because they have fewer and fewer reserves. The availability of liquidity is going down and the price of money is going up. And that's not good for the economy.”
Taubes was speaking to members of Suffolk’s Summa Society at the group’s annual breakfast meeting. The first in-person gathering since 2020 gave members a chance to network and catch up with fellow alumni. Before Taubes’ remarks, President Marisa Kelly welcomed members of the Suffolk community and recounted how the University has fared since the last in-person gathering just before the pandemic hit.
“I'm very happy to say that there is just an incredible amount of positive momentum at Suffolk,” she said in her welcome. “Much of that positive momentum ties back to the decisions that we made to continue to invest in those priorities that I was talking to all of you about back in January of 2020.”
A Suffolk trustee, Taubes is executive vice president and chief investment officer at Amundi Pioneer and, along with his wife Wendy, has established an endowed financial aid scholarship at Suffolk. The current recipient of the scholarship, Ana-Luiza Alvarenga, Class of 2023, introduced Taubes.
“Financial aid is an essential for first-generation students like me,” said Alvarenga, “and I would like to take this time to thank Mr. Taubes and his wife for establishing and funding the scholarship, which has helped make my far-off dreams reachable and attainable, and will help many other students in the future.”
“When I tell someone I went to Suffolk, I want it to mean something to the person with whom I'm speaking. I want the eyebrows to go up like, ‘Hey, oh, you went to Suffolk? That's a great school.’”
Three more insights about the economy from Taubes
>>"No banker wants to be the next Silicon Valley Bank or Signature Bank or even the next First Republic, frankly. Banks are going to maintain more liquidity than they might have otherwise. They're going to be very careful. I think all of this, as a consequence, is going to tighten credit conditions even further."
>>"Inflation has peaked in this cycle. How do I know that? Because the conditions that created all the inflation are behind us."
>>"The window of when I would expect a slowdown—a really severe slowdown if not a recession—is going be starting this summer into Christmas or early next year. I think that's where we're headed frankly."
Summa Society member and Suffolk Law graduate Tamela Bailey, JD ’04, concluded the morning by explaining why she supports the University.
“The number one reason that I give back is because of college reputation. You want your degree to mean something,” she said. “When I tell someone I went to Suffolk, I want it to mean something to the person with whom I'm speaking. I want the eyebrows to go up like, ‘Hey, oh, you went to Suffolk? That's a great school.’”
The Summa Society honors those donors who step forward as philanthropic leaders and play a vital role in ensuring that the University continues to excel and grow each year. Alumni and friends who contribute $1,000 or more annually to any area of the University in the current fiscal year (July 1 to June 30) are eligible for Summa membership. Learn more.