Central Policies for Local Debt: The Case of Teacher Pensions

The recent debt crises in New York City and Cleveland, the deterioration of public infra-structures in certain of our states and larger cities, and the occasional bankruptcy of smaller pension plans suggest that not all of local finance stands on a sound fiscal base. This paper examines the trends in funding for one form of state and local government debt--teacher pensions underfundings -- and asks what a central government might do to check any unwanted growth in these liabilities. The analysis concludes (i) that this form of state-local debt is sizeable and growing, (ii) that state and local governments have an implicit pay-as-you-go bias in pension financing which encourages the growth of debt, but (iii) central government benefit and funding regulations or debt relief policies can slow, or even reverse, that growth.

The A.Q. Khan Illicit Nuclear Trade Network and Implications for Nonproliferation Efforts; Strategic Insights, v. 5, issue 6 July 2006

This article appeared in Strategic Insights, v.5, issue 6 July 2006Approved for public release; distribution is unlimited

Lepton Flavour Violation in a Class of Lopsided SO(10) Models

A class of predictive SO(10) grand unified theories with highly asymmetric mass matrices, known as lopsided textures, has been developed to accommodate the observed mixing in the neutrino sector. The model class effectively determines the rate for charged lepton flavour violation, and in particular the branching ratio for $\mu -> e \gamma$, assuming that the supersymmetric GUT breaks directly to the constrained minimal supersymmetric standard model (CMSSM). We find that in light of the combined constraints on the CMSSM parameters from direct searches and from the WMAP satellite observations, the resulting predicted rate for $\mu -> e \gamma$ in this model class can be within the current experimental bounds for low $\tan \beta$, but that the next generation of $\mu -> e \gamma$ experiments would effectively rule out this model class if LFV is not detected.Comment: 23 page