The local economic forecasting firm Evans Economics Inc. has been acquired by McMahan, Brafman, Morgan & Co., a government securities brokerage located in New York.
Michael K. Evans will remain as president of Evans Economics. He will also serve as chief economist of the Wall Street firm.
Evans said his firm will concentrate on transmitting its monthly econometric analyses "through computers and on the screen."
Evans said he first became connected with the New York firm when general partner and chief executive officer Bruce McMahon "raised some money for Evans Economics through a tax shelter." The two later discussed the potential for use of computers in stock trading, Evans said.
"I think the bigger picture we both see down the road is economic information combined with real-time trading capabilities," said Evans. "Most traders have some sort of screen that gives them some sort of economic information, but it's not integrated with trading capabilities.
"Technology is now being developed that will enable you to have a microcomputer on your desk, actually trade through the computer and receive all the economic information you need as background."
Evans added that he plans to add about 30 economists to his present staff of 28.
McMahan said Evans Economics will play a part in the expansion of the institutional government securities and corporate financing divisions of McMahan, Brafman, Morgan & Co.
Evans opened Evans Economics in 1979 after his earlier firm, MKE Associates, was acquired by Chase Manhattan Bank and renamed Chase Econometrics. He started his career by teaching at the Wharton School, where he worked with Nobel Prize winner Lawrence R. Klein on the Wharton econometric model. graphics /photo: Michael K. Evans