Multi-winding flux tubes in CFL quark matter

Color-flavor locked quark matter can be described as a three-component superconductor and thus shows unconventional behavior in the transition regime from type-I to type-II superconductivity. We discuss this behavior by studying magnetic line defects in a Ginzburg-Landau approach, taking into account all possible values of the three winding numbers. After a brief discussion of the defects that include baryon circulation we focus on pure magnetic flux tubes. We show that at strong coupling, relevant for neutron stars, type-II behavior is conceivable and the most preferred configuration has minimal total winding. Only at weak coupling we find a regime where multi-winding flux tubes are preferred, although this regime most likely requires an unrealistically large superconducting gap.Comment: 12 pages, 3 figures, proceedings contribution to "XIIIth Quark Confinement and the Hadron Spectrum", 31 July - 6 August 2018, Maynooth University, Irelan

Regimes in CDS Spreads: A Markov Switching Model of iTraxx Europe Indices

This paper investigates the determinants of the iTraxx CDS Europe indices, finding strong evidence that they are regime dependent. During volatile periods credit spreads become highly sensitive to stock volatility and more sensitive to this than to stock returns. They are also almost immune to interest rates changes. During tranquil periods credit spreads are more sensitive to stock returns than to volatility and most indices are sensitive to interest rate moves. However for companies in the financial sector interest rates have no significant influence in either regime. We also found some evidence that raising interest rates can decrease the probability of credit spreads entering a volatile period. Our findings are useful for policy makers and, since equity hedge ratios based on single-state models cannot capture the regime dependent behaviour of credit spreads, our results may also help traders to improve the efficiency of hedging credit default swaps. Finally, the volatility clustering and autocorrelation that we have identified in the price dynamics of iTraxx indices should prove useful for pricing the iTraxx options that are now being actively traded over-the-counter.iTraxx, Credit Default Swap Index, Markov Switching, Credit Spreads

Low-Wage Jobs - Stepping Stone or Poverty Trap?

We examine whether low-paid jobs have an effect on the occupational advancement probability of unemployed persons to obtain better-paid jobs in the future (stepping-stone effect). We make use of data from the German Socio-Economic Panel (SOEP) and apply a dynamic random-effects probit model. Our results suggest that low-wage jobs can act as stepping stones to better-paid work. The improvement of the chance to obtain a high-wage job by accepting low-paid work is particularly large for less-skilled persons and for individuals with longer unemployment experiences. Low-paid work is less beneficial if the job is also associated with a low social status.low pay dynamics, unemployment dynamics, dynamic random effects models, state dependence