Below is an excerpt from Andrew Yang‘s new book, Smart People Should Build Things: How to Restore Our Culture of Achievement, Build a Path for Entrepreneurs, and Create New Jobs in America, which comes out in February 2014. Andrew was named Managing Director of Manhattan GMAT in 2006, Chief Executive Officer in 2007, and President in 2010. He left Manhattan GMAT in 2010 to start Venture for America, where he now serves as Founder and CEO. 

The Prestige Pathways Part II.  

You could ask, so what if our talented young people all march off to become lawyers, doctors, bankers, and consultants? Isn’t that what smart people are supposed to do?

There are a few problems with this stance. First, the degree to which the recruitment infrastructure exists is a relatively recent phenomenon. Bain and Company, a premier management consulting firm, wasn’t founded until 1973—now it employs over 5,000 talented people and recruits hundreds per year. The financial services industry has mushroomed in size, with Wall Street firms employing 191,800 at their peak in 2008, up from only 65,300 in 1975. The growth in professional services has given rise to an accompanying set of recruitment pipelines only in the past several decades.

Yet the allocation of talent is a zero-sum game. If the academically gifted are funneled in higher numbers toward finance and consulting, then lesser numbers are going into other areas, such as the operation of companies, startups, and early-stage enterprises. In the United States, companies with fewer than 500 employees account for almost two-thirds of net new jobs and generate thirteen times more new patents per employee than do large firms. If the US economy had generated as many startups each year for 2009–12 as it had in 2007, the country would have produced almost 2.5 million new jobs by 2013. If we’re interested in spurring long-term job growth, we want as much talent as possible heading to new firms so that more of them can succeed, expand, and hire more people.
Read more

Below is an excerpt from Andrew Yang‘s new book, Smart People Should Build Things: How to Restore Our Culture of Achievement, Build a Path for Entrepreneurs, and Create New Jobs in America, which comes out in February 2014. Andrew was named Managing Director of Manhattan GMAT in 2006, Chief Executive Officer in 2007, and President in 2010. He left Manhattan GMAT in 2010 to start Venture for America, where he now serves as Founder and CEO. 

The Prestige Pathways.  

Let’s imagine a very large company. It is a leader in its industry and much admired by its peers. It invests a tremendous amount of money—literally billions of dollars a year—in identifying, screening, and training its many employees. Those employees who are considered to have high potential are sent to special training programs at substantial additional cost. Happily, these top training programs are considered to be among the best in the world. After these employees complete their training, the company encourages them to choose for themselves the division in which they’d like to work. Employee preferences are deemed to be the most efficient way of deciding who works where.

This seems like a good system, and it works well for a long time. However, perhaps predictably, many of its most highly rated employees eventually become drawn to the finance and legal divisions because these divisions have very effective recruitment arms, are more visible, pay better, and are thought of as providing a more intellectual level of work.  Over time, proportionally fewer of the top recruits go toward the management of the company or the company’s operations.  The company’s basic training division is considered a backwater, with low pay and low recognition. And only a relative handful of employees go toward research and development or the launching of any new products.

Take a second to think about the company described above. What do you think will happen to this company as time passes? And if you think that it’s not set on a path to success, what would you do to fix it? This company reflects, in essence, the economy of the United States of America.

If you are a smart college student and you want to become a lawyer and go to law school, what you must do has been well established. You must go to a good school, get good grades (already accomplished, for many), and take the LSAT (a four-hour skill test). There is no anxiety in divining the requirements, as they are clearly spelled out. Most undergrads, even those with little interest in law school, know what it takes to get in. The path location costs are low.

The same is true if you want to become a doctor. Becoming a doctor is hard, right? Sort of. It is arduous and time-consuming, but it is not hard if you have certain academic abilities. You must take a battery of college courses (organic chemistry being the most infamous and rigorous of them) and do well, study for the MCAT (an eight-hour exam), and spend a summer or even a year caddying for a reseNavigator, doctor, or hospital. These are time-consuming hoop-jumping tasks, to be sure, but anyone with a very high level of academic aptitude can complete them.

If you attend an Ivy League university or similar national institution, legions of suit-wearing representatives from the big-name investment banks and consulting firms will show up at your campus and conduct first-round interviews to fill their ranks each year, even in a down period (as with the recent years following the financial crisis). They will spend millions of dollars enlisting interns and educating the market annually. Most freshmen have no idea what management consulting is, yet seniors can rattle off the distinctions of different firms with little difficulty. All undergraduates have friends in the classes above them who have gone through this process and gained analyst or associate positions at major investment banks and consulting firms.
Read more

Here are the free GMAT events we’re holding this week. All times are local unless otherwise specified.

12/15/13– Online – Essay Writing Workshop presented by mbaMission-  8:00AM- 9:30PM (EST)

12/15/13- Online- Free Trial Class- 7:00AM- 10:00AM (EST)

12/16/13-New York, NY-MBA Admissions Myths Destroyed presented by mbaMission– 7:30PM- 9:00PM

12/19/13–  Online – MBA Admissions Myths Destroyed presented by mbaMission– 12:00PM- 1:30PM (EST)

Looking for more free events? Check out our Free Events Listings Page.

Today wraps up our “Oh What Fun!” celebration! Manhattan Prep’s first-ever 12-day holiday celebration was a great success and we hope that everyone got the chance to enjoy all of our exclusive promos, contests, and free study materials.

If you’ve missed any of this year’s celebration, not to worry, we still have a few promotions going on. Our Black Friday Sale for $150 off all December GMAT classes ends December 15, 2013, with code “BLACKFRIDAY150.” There are still some spots open in our two December online classes, which you can sign up for here and here. Located in NYC? Come join us in-person for our classes beginning on Dec. 14th and Dec. 15th.

We’re also still offering a free download to our 1-year access GRE Challenge Problem Archive. Remember to enter the code “OWFGRECHALLENGE” at checkout.

To keep the giving going and the holiday spirit alive, we are very excited to share today’s final celebration! We will be collecting non-perishable food to be donated to New York’s City Harvest now through Dec. 20th. Our goal is to collect a minimum of 200 food items including but not limited to: canned goods, peanut butter, mac-n-cheese, cereal, soups, pastas, etc. We will also be collecting children’s toys to be donated to the Marine Toys for Tots Foundation. Our goal is to collect a minimum of 50 new/unwrapped toysto be distributed to needy children in NYC. Finally, we are also collecting warm clothing to be donated to New York Cares Coat Drive. Our goal is to collect a minimum of 50 new or gently used coats, sweaters and blankets to be distributed to New Yorkers in need. Donations may be made at 138 West 25th St, 7th Fl. New York, NY 10001. Let’s make this season brighter for our community and those in need.

Lastly, be sure to check our Facebook page tomorrow, where we will officially announce this year’s “Oh What Fun!” winners of the free GMAT course and the $250 Amazon Gift Card.

A big thank you to everyone in our social community who participated in this year’s “Oh What Fun!” festivities! Enjoy the remainder of the holiday season and best of luck with your studies!

Last Friday, I attended the biannual GMAC Summit, a special conference that the makers of the GMAT put on for test prep companies. I want to share various tidbits that you should know!

Integrated Reasoning (IR) has existed long enough now that GMAC is starting to be able to draw some conclusions about the efficacy of the section. Dr. Lawrence Rudner, chief psychometrician of GMAC, is quite pleased with the section’s performance to date.

Though they still need to collect more data to be sure, early results indicate that IR is actually a little bit better of a predictor of grades in business school than are the quant and verbal scores. It will still be a while before they can collect as solid / extensive data as they have for quant and verbal, but perhaps it will be the case that, eventually, IR will become the most important section! (Don’t worry: if you are applying right now, nothing has changed. Even if you aren’t planning to apply until next year, it’s unlikely that the importance of IR will change extensively by then.)

There were no admissions officers in attendance, but we did hear from GMAC that they have heard that admissions consultants are starting to consider using IR as a tiebreak for borderline cases. For example, let’s say a school considers 680+ a strong score and 630 to 670 an average score. For the pool of 630 to 670 candidates (only a few of whom are likely to be admitted), one potential tiebreak is the IR score.

If IR is not your thing, don’t worry: it’s unlikely that any school is making this tiebreak decision based solely on the IR score. After all, many different variables go into an application; they might also decide to use number of years of work experience, under-represented industries, or some other factor. If you do tend to perform well on IR, though, then bonus: that’s an extra mark in the plus column for you.

Interestingly, US students are tending to do a bit better on IR than all other students. (This is also true for the Verbal section of the test, while non-US students tend to do better than US students on the quant section of the test.) A lot of people consider IR more of a quant section, but verbal is just as important. If quant is your strength, then you’ll feel that IR is testing verbal more, and vice versa.

Scoring and Timing

I have only one piece of info for you here, but it’s quite an important piece of data. As we were discussing the scoring algorithm, someone asked the age-old question: whether certain questions were “worth more” than others. Dr. Rudner indicated (as he always has in the past) that the earlier questions are not worth more than the later ones. He did, though, indicate something that we suspected but had never heard officially confirmed: “outlier” questions ultimately count less towards your score.

What’s an outlier? Briefly, an outlier is a question for which your performance was unexpected. Read on to understand what this means.

An outlier is always relative to your own performance. (Note: we’re also talking only about the questions that count towards your score; the experimentals don’t matter here.) Most of the questions you answer will be within a certain range of difficulty. As a general rule, you’ll answer more of the easier questions in your range correctly and you’ll answer more of the harder questions incorrectly. This is the expected behavior.
Read more

Here are the free GMAT events we’re holding this week. All times are local unless otherwise specified.

Remember, our Black Friday GMAT special ends on December 15th. Receive $150 off all December GMAT courses will the code BLACKFRIDAY150.

12/8/13– Online – Free Trial Class-  7:00AM- 10:30AM (EST)

12/8/13- Washington, DC- Free Trial Class– 10:30PM- 1:30PM

12/8/13-New York, NY- Free Trial Class– 5:30PM- 8:30PM

12/8/13–  Irvine, CA- Free Trial Class– 5:30PM- 8:30PM

12/8/13– San Francisco, CA- Free Trial Class – 2:00PM- 5:00PM

12/8/13– Santa Monica, CA- Free Trial Class– 10:00AM- 1:00PM

12/8/13– San Diego, CA – Free Trial Class-  11:00AM- 2:00PM

12/8/13– London-Free Trial Class- 10:00AM- 1:00PM

12/8/13– Online- Free Trial Class– 8:30AM- 11:30PM (EST)

12/8/13- Boston, MA- Free Trial Class– 5:30PM- 8:30PM

12/8/13-Toronto, ON-  Free Trial Class– 2:00PM- 5:00PM

12/9/13 –  Bellaire, TX- Free Trial Class– 6:30PM- 9:30PM

12/10/13– Online- The Last-Minute MBA Application presented by mbaMission – 3:00PM- 4:30PM (EST)

12/10/13– Santa Clara, CA- Free Trial Class– 6:30AM- 9:30PM

12/10/13– Online – Free Trial Class-  3:00PM- 6:00PM (EST)

12/11/13– Philadelphia, PA-Free Trial Class- 6:30PM- 9:30PM

12/14/13– Online- Free Trial Class- 2:30PM- 5:30PM

Looking for more free events? Check out our Free Events Listings Page.

We are very excited to announce that our new book, The Official Guide Companion for Sentence Correction, will hit bookshelve today, December 3^rd!

What is the OGSC (for short)?

It’s one of the best GMAT study guides you could have (if we do say so ourselves)!

Here’s the deal: nearly everyone studies from The Official Guide for GMATÒ Review, 13^th Edition (or OG13). This book contains about 900 real GMAT questions that appeared on the exam in the past. OG13 does contain explanations, but those explanations are “textbook” explanations: reading them is like reading a grammar book. The answers are completely accurate but a bit hard to follow if you’re not a grammar teacher (and some of them are hard to follow even when you are a grammar teacher… ahem).

So we decided to remedy that problem by writing our own explanations for every single one of the 159 Sentence Correction problems contained in OG13. We’ll tell you the SC Process for getting through any SC question efficiently and effectively. We’ll also discuss how to eliminate each wrong answer in terms that are easy for students (not just teachers) to understand. The book includes an extra section on sentence structure and a glossary of common grammar terms. Finally, you’ll gain access to our online GMAT Navigator program which lets you track your OG work, time yourself, and view your performance data so that you can better determine your strengths and weaknesses.

Who should use the OGSC?

Are you struggling to improve your SC performance? Do you love studying official problems but hate trying to decipher the sometimes-mystifying official explanations? Do you want to throw your OG13 across the room when you read yet another explanation that says an answer choice is “wordy” or “awkward”?

If something is “awkward,” there is a real reason why—and we explain that specific reason to you so that you can start to pick out similar faulty constructions on other problems in future. (Did you know that, most of the time, “wordy” and “awkward” are code words for an ambiguous or illogical meaning? The OGSC will help you learn how to decipher these for yourself!)

How can I get the most out of the OGSC?

First, read the introduction chapter, where you’ll learn all about how to work through an SC problem in an efficient manner.

Next, if you have already started studying Sentence Correction problems from the OG, begin with the problems that you’ve tried recently. Try to articulate to yourself why each of the four wrong answers is wrong. Try to find all of the errors in each answer (though, on the real test, just one error is enough to eliminate an answer!).

Note: You don’t need to use grammar terminology when you’re trying to articulate why something’s wrong, but do try to go beyond “this one sounds bad.” That’s a good starting point but which part, specifically, sounds bad? What sounds so bad about that part?

Then, check yourself against the explanations. If you didn’t spot a particular error, go back to the problem and ask yourself what clues (in the form of differences in the answer choices) will alert you the next time this particular topic is being tested. If you didn’t know how to handle the issue but now understand from the explanation, make yourself a flashcard to help you remember whatever that is for future. If the explanation seems like Greek to you, then maybe this particular issue is too hard and your take-away is to skip something like this in future and make a guess!

When you’re ready to try new OG problems, make sure to do them under timed conditions (try to average about 1 minute 20 seconds on SC). When you’re done, check the answer. If you guessed, go ahead straight to the explanation. If you got it right, try to articulate why each incorrect answer is wrong, then check the explanation. If you got it wrong, look at the problem again to see whether you might have made a careless mistake. Then go to the explanation.

Where can I get the OGSC?

You can find The Official Guide Companion for Sentence Correction on our website starting today!

Let us know what you think in the Comments section below. Good luck and happy studying!

Below is an excerpt from Andrew Yang‘s new book, Smart People Should Build Things: How to Restore Our Culture of Achievement, Build a Path for Entrepreneurs, and Create New Jobs in America, which comes out in February 2014. Andrew was named Managing Director of Manhattan GMAT in 2006, Chief Executive Officer in 2007, and President in 2010. He left Manhattan GMAT in 2010 to start Venture for America, where he now serves as Founder and CEO. 

Smart People Should Build Things. 

I believe there’s a basic solution to our country’s economic and social problems. We need to get our smart people building things (again). They’re not really doing it right now. They’d like to. But they’re being led down certain paths during and after college and told not to worry, they can figure it out later.

Take me, for instance. I wasn’t very enterprising when I graduated from Brown in 1996. I had a general desire to be smart, accomplished, and successful—whatever that meant. So I went to law school and became a corporate attorney in New York. I figured out I was in the wrong place after a number of months working at the law firm. I left in less than a year and cofounded a dot-com company, Stargiving, which helped raise money for celebrity-affiliated nonprofits. It was extraordinarily difficult. My company failed spectacularly, but I recovered. I went to work for a mobile software company, Crisp Wireless, and then a health care software company, MMF Systems, over the next five years, eventually becoming the CEO of a test-prep company, Manhattan GMAT, in 2006.

I spent five years running Manhattan GMAT, helping young people get into business school. I taught our corporate classes of investment banking analysts and consultants at Goldman Sachs, McKinsey and Company, JPMorgan Chase, Morgan Stanley, and Deloitte, as well as hundreds of individual students over the years. Some were exactly where they wanted to be. But there seemed to be just as many top-notch young people who wondered why they didn’t like their jobs more. They sought a higher sense of engagement with their work and their careers. Sometimes they would put words to what they were looking for; they’d say they wanted “something entrepreneurial” or “to be really excited about something.”
Read more

We are so excited today to announce the launch of “Oh What Fun!,” Manhattan Prep’s first-ever, 12-day holiday celebration! Everyday between today and December 12, 2013, we will be offering exciting promotions, gifts, and contests that are inspired by the spirit and joy of the holiday season.

“Oh What Fun!” deals include $150 off GMAT, LSAT, and GRE courses in the month of December, 50% off strategy guides, free workshops, and Amazon giftcards, offering you unbeatable prices and more ways to save throughout the holiday season.

Here’s how it works: Everyday beginning today and running through December 12, 2013, we will unlock one holiday offer per day for our social media communities. We invite you to come join the fun on Facebook and Twitter so that you don’t miss any of our student-focused holiday deals! You can also use the hashtag #ohwhatfun to connect with us and the entire Manhattan Prep community this holiday season.

The giveaway begins today and we’re offering 50% off our of our individual GMAT Strategy Guides as well as The Official Guide Companion for Sentence Correction, 13th Edition and The Official Guide Companion, 13th ed. Head on over to our GMAT Facebook page to redeem today’s code and to read the terms and conditions.

We hope you’re as excited as we are for this beautiful time of year. Oh what fun this is going to be! 

Here are the free GMAT events we’re holding this week. All times are local unless otherwise specified.

Remember, our Black Friday GMAT special ends on December 15th. Receive $150 off all December GMAT courses will the code BLACKFRIDAY150.

12/2/13– Chicago, IL – Free Trial Class-  6:30PM- 9:30PM

12/3/13- Washington, DC- Free Trial Class– 6:30PM- 9:30PM

12/3/13-Seattle, WA- Free Trial Class– 6:30PM- 9:30PM

12/3/13–  New York, NY- Free Trial Class– 6:30PM- 9:30PM

12/4/13– Online- Free Trial Class – 8:00PM- 11:00PM (EST)

12/4/13– Santa Monica, CA- Free Trial Class– 6:30PM- 9:30PM

12/4/13– Boston, MA – Free Trial Class-  6:30PM- 9:30PM

12/4/13– New York, NY-Free Trial Class-  6:30PM- 9:30PM

12/7/13– New York, NY- Free Trial Class– 2:00PM- 5:00PM (

Looking for more free events? Check out our Free Events Listings Page.