in turn respond to you. You may ask any question (or give any answer) that you believe to be appropriate. You are a resident of a small agricultural village that is almost completely self-sufficient. The major crop is wheat, grown by the villagers both for their own consumption and to sell in a nearby market. The villagers sell the wheat that is left over after they have provided themselves with a sufficiency. They use the money that they get from the sale of wheat to provide the village with things they do not themselves produce. You have been selected by the village to act as its trader in the market where wheat is bought and sold. (This selection is an honor, since the trader does no other job for the village.) In order to continue as trader, however, you must be a good one, or you will be replaced. You begin your trip to the market with 1,700 bushels of wheat to sell. Upon your arrival, you find that the market place is well organized and you learn the following rules that apply to all participants. Rule 1. Buyers (there are four of them) are required to stay in a fixed location; they may talk only to sellers and must answer seller's questions truthfully. Rule 2. Sellers (and there are a lot of them) may roam freely and may talk to anyone, but may not conspire. Rule 3. There is a brief initial period of 1 hour during which no sales may be consummated (called the Nodding period). At the end of this period final sales are made and the market is closed. NOTE. This does not mean that you need work at the terminal for 1 hour. Since the computer is simulating the world, it will tell you just before the "hour" is up. You have arrived a few minutes before the Nodding period. You see to it that your 1,700 bushels of wheat are safe and begin to walk around the market square just as the bell signals the beginning to the Nodding period-you're on your own now. What would you like to know? Instructor's comments: The main advantage of the computer's use in introductory courses is in the organized feedback to the instructor. In addition, the computer provides a modifiability not present in other methods of program organization-courses can be readily changed or adapted as the need arises. APPENDIX K STATEMENTS CONCERNING VALUE OF JAMES F. OATes, Jr., Chairman of the Board, The Equitable Life Assurance Society The business of life insurance was among the first to recognize the possibilities of electronic computers and has made extensive use of these powerful modern aids. Although much of our work has been of the "cost displacement" category involving routine business operations, we are increasingly engaged in a growing number of management-oriented applications. Our business utilizes the services, among others, of actuaries, doctors, lawyers, investment analysts, economists, and sociologists, and we know from the work we have done that the capabilities, and limitations, of the computer will increasingly have to be understood and appreciated, not only as to their effects in the respective disciplines, but on overall operations. It will become increasingly valuable for young men and young women who enter any phase of the life insurance business to understand how computers can be used in handling and analyzing data. I sincerely hope that American colleges will be able to meet this challenge. Few are likely to question the vital need for computing facilities in the study of subjects such as physics, mathematics, and astronomy. But beyond that it seems to me that the uses and advantages of computers have a direct place in such courses as business administration, social science, and teaching, and have some place in the total education of many other students. David ROCKEFELLER, President, The Chase Manhattan Bank, N.Y. Although electronic computers have dramatically modified the handling of banking transactions in recent years, allowing us to service more effectively the growing needs of our customers, we have only begun to realize the true value of computers. In the years ahead, they will provide bank management with timelier and broader information on a whole range of problems requiring managerial decisions. Proper use of this new electronic tool presents a challenge to the educational community to train men and women to design and use the new systems. This training must go beyond instructing future managers in the use of computers as accounting tools, and must develop managers who can take full advantage of all aspects of the new information sciences. While some of our universities have made significant strides in this area, there is an urgent and continuing need to expand the development of this new breed of manager. RALPH LAZARUS, Federated Department Stores, Inc., Cincinnati, Ohio The digital computer has already proved to be of great value in recording, controlling, and analyzing the masses of merchandise information which we require to run our increasingly complex business. It is also used more and more effectively in our analysis of current operations and seasonal budgeting. It will become even more valuable as we learn to use its qualitative potentials for longer range knowledge, and decisions which we have to make. We should be using this tool to identify not only future needs of consumers, but also in what kind of environment and with what kind of services they will wish to make their purchases. As we develop our organization for the future, we will be searching for men and women not only knowledgeable in the principles of management, but in the techniques of applying these principles as well. We will be looking to the universities to produce graduates with a broad spectrum of knowledge, including an understanding of the use of computers to manage a large business, both short and long range. DANIEL V. DE SIMONE, Director, Office of Invention and Innovation, U.S. Department of Commerce, National Bureau of Standards It is common to say that the computer has changed our lives, that it enables us not only to do things better, but to perform tasks never before feasible to man. What is not common is the realization that the computer has given man a new freedom, which is of enormous significance to the education and fulfillment of this generation and all those to come. It has released him from the drudgery of the past and given him new opportunities to utilize his creative powers, as the Greeks put it in another age, along lines of maximum excellence. It is of the greatest importance, therefore, that man be educated to harness this electronic servant, for only then will he more universally be free to develop and fulfill himself creatively. And we would hope, too, that with this new freedom, our educational system will then devote greater emphasis on stimulating the inventive and innovative potential of students, for it is APPENDIX K STATEMENTS CONCERNING VALUE OF JAMES F. OATes, Jr., Chairman of the Board, The Equitable Life Assurance Society The business of life insurance was among the first to recognize the possibilities of electronic computers and has made extensive use of these powerful modern aids. Although much of our work has been of the "cost displacement" category involving routine business operations, we are increasingly engaged in a growing number of management-oriented applications. Our business utilizes the services, among others, of actuaries, doctors, lawyers, investment analysts, economists, and sociologists, and we know from the work we have done that the capabilities, and limitations, of the computer will increasingly have to be understood and appreciated, not only as to their effects in the respective disciplines, but on overall operations. It will become increasingly valuable for young men and young women who enter any phase of the life insurance business to understand how computers can be used in handling and analyzing data. I sincerely hope that American colleges will be able to meet this challenge. Few are likely to question the vital need for computing facilities in the study of subjects such as physics, mathematics, and astronomy. But beyond that it seems to me that the uses and advantages of computers have a direct place in such courses as business administration, social science, and teaching, and have some place in the total education of many other students. David ROCKEFELLER, President, The Chase Manhattan Bank, N.Y. Although electronic computers have dramatically modified the handling of banking transactions in recent years, allowing us to service more effectively the growing needs of our customers, we have only begun to realize the true value of computers. In the years ahead, they will provide bank management with timelier and broader information on a whole range of problems requiring managerial decisions. Proper use of this new electronic tool presents a challenge to the educational community to train men and women to design and use the new systems. This training must go beyond instructing future managers in the use of computers as accounting tools, and must develop managers who can take full advantage of all aspects of the new information sciences. While some of our universities have made significant strides in this area, there is an urgent and continuing need to expand the development of this new breed of manager. RALPH LAZARUS, Federated Department Stores, Inc., Cincinnati, Ohio The digital computer has already proved to be of great value in recording, controlling, and analyzing the masses of merchandise information which we require to run our increasingly complex business. It is also used more and more effectively in our analysis of current operations and seasonal budgeting. It will become even more valuable as we learn to use its qualitative potentials for longer range knowledge, and decisions which we have to make. We should be using this tool to identify not only future needs of consumers, but also in what kind of environment and with what kind of services they will wish to make their purchases. As we develop our organization for the future, we will be searching for men and women not only knowledgeable in the principles of management, but in the techniques of applying these principles as well. We will be looking to the universities to produce graduates with a broad spectrum of knowledge, including an understanding of the use of computers to manage a large business, both short and long range. DANIEL V. DE SIMONE, Director, Office of Invention and Innovation, U.S. Department of Commerce, National Bureau of Standards It is common to say that the computer has changed our lives, that it enables us not only to do things better, but to perform tasks never before feasible to man. What is not common is the realization that the computer has given man a new freedom, which is of enormous significance to the education and fulfillment of this generation and all those to come. It has released him from the drudgery of the past and given him new opportunities to utilize his creative powers, as the Greeks put it in another age, along lines of maximum excellence. It is of the greatest importance, therefore, that man be educated to harness this electronic servant, for only then will he more universally be free to develop and fulfill himself creatively. And we would hope, too, that with this new freedom, our educational system will then devote greater emphasis on stimulating the inventive and innovative potential of students, for it is |