An Outstanding Personality: A Unique Career and a Kind Man

Interview by Nicola Doll, Senior Editor,
Finance, Economics and Travel
June 2023, Vancouver BC
(shortened and edited for clarity)

EARLY INFLUENCES

N.D.: David, let's start with your youth. Where did your parents come from, and where did you grow up?

David: My father was born in Southampton, England, and moved to Canada with his mother when he was an infant. His father was killed in the First World War when he was just six months old. My grandmother then married her deceased husband's brother—which was quite common at that time—and they had fourteen children. My step-grandfather became a judge in Brantford, Ontario. My mother was from London, Ontario; her parents were both English.

N.D.: What was your family life like?

David: I had a happy childhood. After my father completed his medical degree and specialized in radiology, we moved to Haileybury, Ontario, where he became the head of a tuberculosis sanatorium.

Growing up, I spent all my summers at our cottage on a beautiful island in Northern Ontario. Living on the island had a profound impact on me. My parents insisted that my brother and I become strong swimmers and learn to operate a boat. I attended a camp run by Jesuit priests, where I learned canoeing and sailing, which made me tougher and more resilient. I particularly loved sailing. After two years at the camp, I asked my father if I could have a sailboat of my own. He agreed, and we built one together during the following winter.

My father also gave me significant responsibilities around the cottage. He taught me woodworking, plumbing, electrical work, and construction. By the time I was eight or nine, I was handling tasks like rewiring the boathouse or installing plumbing without hesitation. These experiences helped me develop a lot of skills and confidence.

N.D.: What was your favourite sport?

David: In my teens I played junior hockey in a team that was owned by the Chicago Blackhawks. I almost became a professional hockey player. But I soon realized I wouldn’t do anything to win. So, I decided to quit and pursue other hobbies.

N.D.: Tell us about your siblings.

David: I have an older brother and a sister. My brother was more independent and outgoing, while I was more of a homebody. My sister and I were very close growing up.

N.D.: How did these early experiences shape your outlook?

David: They instilled in me the idea that I could accomplish anything I set my mind to. For example, when I was fifteen, I decided to learn how to fly. While my father and brother took about a year and a half to get their pilot's licenses, I thought, "That's too long. I'll do it in a month." And I did. That intensity and determination have always been characteristic of how I live.

N.D.: Did this drive carry over into your academic pursuits?

David: Absolutely. When I pursued my Ph.D., I completed all my coursework in two years and told my thesis advisor I wanted a full draft after one year. He was skeptical but supportive. We both worked very hard, and I achieved my goal.

N.D.: Your parents seem to have played significant roles in nurturing your skills.

David: Yes, they were incredibly supportive. Building that first sailboat with my father was a pivotal experience. It combined my love for sailing with the practical skills he taught me. This hands-on approach gave me the confidence to take on ambitious projects throughout my life.

N.D.: Can you share more about your mother's influence?

David: My mother was a gifted pianist with a master's degree in music. She was highly skilled and self-sufficient—she could knit, sew, and was adept at canning and preserving food. Growing up during the Great Depression made her careful, frugal, and resourceful. She managed my father's medical clinic's finances with great acumen and even started an investment club. Her example taught me the importance of being prudent with resources and making informed decisions.

N.D.: I heard you built your own airplane. Can you tell us about that?

David: In my early thirties, I decided to build an airplane from scratch—not from a kit, but entirely of my own design. It took about four years and roughly 2,000 hours of work. The skills I had learned from building boats and working on the cottage were invaluable. Flying something I'd built with my own hands was incredibly rewarding.

N.D.: How did your academic journey unfold?

David: After high school, my path wasn't entirely clear. I stumbled upon economics because it fit my timetable and discovered I had a natural aptitude for it. I didn't plan to become a teacher, but I found myself helping classmates understand the material, effectively teaching the course to a group of students every night. This revealed a talent for teaching that I hadn't recognized before.

N.D.: What led you to pursue advanced degrees?

David: I enjoyed research and had an inquisitive mind, so I pursued a master's and then a Ph.D. in economics. I chose programs that aligned with my interests and offered financial support.

N.D.: How did your teaching career begin?

David: Near the end of my Ph.D. studies, I received a call from the University of Alberta offering me a position. I accepted and began my teaching career at the age of 27. I spent seven years there, enjoying great colleagues and professional growth.

N.D.: What prompted your move to the University of Waterloo?

David: While I appreciated my time at Alberta, I wasn't fond of the harsh winters. In 1980, I received an offer from the University of Waterloo to develop their research program. The opportunity to shape a new program was exciting, so I made the move.

N.D.: How did your time at Berkeley come about?

David: In 1990, I applied for a sabbatical at the University of California, Berkeley, and was fortunate to be accepted. I spent a year there working with talented individuals. They eventually offered me a position, which I accepted. I was part of the Department of Civil and Environmental Engineering, focusing on transportation research.

N.D.: Did you find the environment at Berkeley different?

David: It was highly competitive, which was both stimulating and challenging. The atmosphere pushed me to elevate my work. However, after some time, I decided to return to Canada to balance my personal and professional life.

N.D.: Talking about your personal life, how did you meet Heidi?

David: A consulting project analyzing the impact of European airline deregulation and airport privatization brought me to Germany. Heidi and I ended up organizing a conference, bringing together academia, industry, and government. Over the years, our professional relationship grew stronger, and eventually, we became a couple. When I accepted the position at the University of British Columbia, we decided to relocate to Vancouver together, embracing the opportunity to build a new life.

N.D.: Reflecting on your journey, what do you think contributed most to your success?

David: The skills and confidence instilled by my parents played a significant role. My mother's financial savvy and my father's encouragement of practical skills empowered me to tackle challenges confidently. The mindset that I could accomplish anything I set my mind to carried over into every aspect of my life.

N.D.: Tell us about your most influential publications and achievements.

David: Applying economic models to public policy has been significant in my career. I'm a proponent of using strong analytical frameworks. If you don't like the solution a model provides, you can adjust the parameters to find a better outcome. At least you have a structured framework for thinking through the problem.

ADVICE FOR STUDENTS

N.D.: Thinking about your students, what advice would you give to young people regarding their education?

David: I'd highlight three key areas:

1.       Mathematics: It teaches logical thinking and discipline.

2.       Music: It helps you become multi-dimensional and encourages a better work-life balance.

3.       Communication Skills: Being able to convey your ideas effectively is crucial.

Build your academic activities around these pillars. And always try to avoid putting yourself in a position where you wake up in the morning and don't want to go to work.

N.D.: Do you believe in maintaining a work-life balance?

David: Certainly. Even though I worked very hard early in my career, I made sure to balance it with activities I loved, like sailing. Once summer arrived, I felt no guilt taking time off because I had already put in the effort. It's something I learned during my time at Berkeley: "Work hard, play hard."

EARLY CASES

N.D.: You have many interesting cases where you were a consultant. Can you give us some examples?

David: One case was intriguingly titled "What Is the Price of a Thumb?" It involved a young individual who had severed his thumb at work. We needed to determine the economic value and utility he lost due to the accident. Medical journals helped quantify the monetary value of losing a thumb in terms of occupational limitations and quality of life. At that time, the estimated value amounted to tens of millions of dollars.

Another case involved a cheese factory. The new buyers argued the building held no value due to mold contamination, while the seller claimed the ingrained molds made it more valuable for cheese production. Determining the value required industrial analysis and considering the potential for future cheese production.

N.D.: The economics of fairness is one of your favourite topics?

David: Yes, it's always fascinated me. Economists often argue that distribution is a normative problem, but I believe deciding what's fair requires considering what reasonable people think. For example, some question whether high earners deserve their incomes and should be heavily taxed. I think we need a clear analytical basis for determining what's right or wrong.

N.D.: Do you have a model?

David: Not yet, but I'm working on it. It's a complex issue, and I'm heavily empirically driven. About 80 percent of my papers involve trying to extract as much truth as possible from the data.

LAST CHAPTER

N.D.: Starting at UBC and Vancouver—how did it all begin?

David: In 2003, UBC approached me with an offer that I accepted. One of the main reasons was that I had developed friendships there, and I valued Heidi's judgment on the decision. We decided it was the right time for a change. Vancouver is an incredible city, and UBC is an outstanding university with exceptional colleagues.

N.D.: How do you feel today?

Many people envy my lifestyle. A gentleman at the marina where we keep our sailboat often tells me, "You know, Gillen, you come here, go sailing for three months, you have a beautiful boat. Then you return home to Vancouver and spend nine months there, travelling the world. If I had your life, I would be perfectly happy."

N.D.: Thank you for sharing your remarkable story with us.

David: You're welcome. It's been a pleasure reflecting on these experiences.