Efficiency of Weather Derivatives as Primary Crop Insurance Instruments

This study analyzes efficiency of weather derivatives as primary insurance instruments for six crop reporting districts that are among the largest producers of corn, cotton, and soybeans in the United States. Specific weather derivatives are constructed for each crop/district combination based on analysis of several econometric models. The performance of the designed weather derivatives is then analyzed both in- and out-of-sample. The primary findings suggest that the optimal structure of weather derivatives varies widely across crops and regions, as does the risk-reducing performance of the optimally designed weather derivatives. Further, optimal weather derivatives required rather complicated combinations of weather variables to achieve reasonable fits between weather and yield.agricultural risk management, crop insurance, index insurance, weather derivatives, Risk and Uncertainty,

Anomalies in Quantum Mechanics: the 1/r^2 Potential

An anomaly is said to occur when a symmetry that is valid classically becomes broken as a result of quantization. Although most manifestations of this phenomenon are in the context of quantum field theory, there are at least two cases in quantum mechanics--the two dimensional delta function interaction and the 1/r^2 potential. The former has been treated in this journal; in this article we discuss the physics of the latter together with experimental consequences.Comment: 16 page latex file; to be published in Am. J. Phy

Designing Catastrophe Bonds to Securitize Systemic Risks in Agriculture: The Case of Georgia Cotton

This article makes an initial attempt to design catastrophe (CAT) bond products for agriculture and examines the potential of these instruments as mechanisms for transferring agricultural risks from insurance companies to investors/speculators in the global capital market. The case of Georgia cotton is considered as a specific example. The CAT bond contracts are based on percentage deviations of realized state average yields relative to the long-run average. The contracts are priced using historical state-level cotton yield data. The principal finding of the study is that the proposed CAT bonds demonstrate potential as risk transfer mechanisms for crop insurance companies.CAT bonds, catastrophe bond pricing, catastrophe insurance, disaster risk, reinsurance, risk securitization, Risk and Uncertainty,

Picosecond high-repetition-rate pulsed laser ablation of dielectrics: the effect of energy accumulation between pulses

We report experiments on the ablation of arsenic trisulphide and silicon using high-repetition-rate (megahertz) trains of picosecond pulses. In the case of arsenic trisulphide, the average single pulse fluence at ablation threshold is found to be >100 times lower when pulses are delivered as a 76-MHz train compared with the case of a solitary pulse. For silicon, however, the threshold for a 4.1-MHz train equals the value for a solitary pulse. A model of irradiation by high-repetition-rate pulse trains demonstrates that for arsenic trisulphide energy accumulates in the target surface from several hundred successive pulses, lowering the ablation threshold and causing a change from the laser-solid to laser-plasma mode as the surface temperature increases

Cluster formation through the action of a single picosecond laser pulse

We demonstrate experimentally and describe theoretically the formation of carbon nanoclusters created by single picosecond laser pulses. We show that the average size of a nanocluster is determined exclusively by single laser pulse parameters and is independent of the gas fill (He, Ar, Kr, Xe) and pressure in a range from 20mTorr to 200 Torr. Simple kinetic theory allows estimates to be made of the cluster size, which are in qualitative agreement with the experimental data. We conclude that the role of the buffer gas is to induce a transition between thin solid film formation on the substrate and foam formation by diffusing the clusters through the gas, with no significant effect upon the average cluster size

Advanced optimal extraction for the Spitzer/IRS

We present new advances in the spectral extraction of point-like sources adapted to the Infrared Spectrograph onboard the Spitzer Space Telescope. For the first time, we created a super-sampled point spread function of the low-resolution modules. We describe how to use the point spread function to perform optimal extraction of a single source and of multiple sources within the slit. We also examine the case of the optimal extraction of one or several sources with a complex background. The new algorithms are gathered in a plugin called Adopt which is part of the SMART data analysis software.Comment: Accepted for publication in PAS

Anatomical information science

The Foundational Model of Anatomy (FMA) is a map of the human body. Like maps of other sorts – including the map-like representations we find in familiar anatomical atlases – it is a representation of a certain portion of spatial reality as it exists at a certain (idealized) instant of time. But unlike other maps, the FMA comes in the form of a sophisticated ontology of its objectdomain, comprising some 1.5 million statements of anatomical relations among some 70,000 anatomical kinds. It is further distinguished from other maps in that it represents not some specific portion of spatial reality (say: Leeds in 1996), but rather the generalized or idealized spatial reality associated with a generalized or idealized human being at some generalized or idealized instant of time. It will be our concern in what follows to outline the approach to ontology that is represented by the FMA and to argue that it can serve as the basis for a new type of anatomical information science. We also draw some implications for our understanding of spatial reasoning and spatial ontologies in general

Distinct, developmental stage-specific activation mechanisms of trypanosome VSG genes

The metacyclic form of African trypanosomes is the first to express genes for the Variant Surface Glycoprotein (VSG) and it uses an unusually predictable subset of the VSG gene repertoire. We have developed a model system for the analysis of metacyclic VSG (M-VSG) gene expression and have used this to demonstrate that, for two M-VSG genes, different modes of expression operate in the insect and mammalian phases of the life-cycle. In metacyclic-derived clones, these genes are expressed in situ, whereas they are routinely activated by duplication in bloodstream trypanosomes. The expression loci for both M-VSG genes studied are structurally simple and we present a model, based on this, for the maintenance of a separate M-VSG repertoire and expression system