The cost of banking panics in an age before “Too Big to Fail”

How costly were the banking panics of the National Banking Era (1861-1913)? I combine two hand-collected data sets - the weekly statements of the New York Clearing House banks and the monthly holding period return of every stock listed on the NYSE - to estimate the cost of banking panics in an era before “too big to fail.” The bank statements allow me to construct a hypothetical insurance contract which would have allowed investors to insure against sudden deposit withdrawals and the cross-section of stock returns allow us to draw inferences about the marginal utility during panic states. Panics were costly. The cross-section of gilded-age stock returns imply investors would have willingly paid a 14% annual premium above actuarial fair value to insure $100 against unexpected deposit withdrawals The implied consumption of stock investors suggests that the consumption loss associated with National Banking Era bank runs was far more costly than the consumption loss from stock market crashes.National Bank Act ; Financial crises

Did adhering to the gold standard reduce the cost of capital?

A commonly cited benefit of the pre-World War One gold standard is that it reduced the cost of international borrowing by signaling a country’s commitment to financial probity. Using a newly constructed data set that consists of more than 55,000 monthly sovereign bond returns, we test if gold-standard adherence was negatively correlated with the cost of capital. Conditional on UK risk factors, we find no evidence that the bonds issued by countries off gold earned systematically higher excess returns than the bonds issued by countries on gold. Our results are robust to allowing betas to differ across bonds issued by countries off- and on-gold; to including proxies that capture the effect of fiscal, monetary, and trade shocks on the commitment to gold; and to controlling for the effect of membership in the British Empire.Gold standard ; Bonds

Backtesting systemic risk measures during historical bank runs

The measurement of systemic risk is at the forefront of economists and policymakers concerns in the wake of the 2008 financial crisis. What exactly are we measuring and do any of the proposed measures perform well outside the context of the recent financial crisis? One way to address these questions is to take backtesting seriously and evaluate how useful the recently proposed measures are when applied to historical crises. Ideally, one would like to look at the pre-FDIC era for a broad enough sample of financial panics to confidently assess the robustness of systemic risk measures but pre-FDIC era balance sheet and bank stock price data were heretofore unavailable. We rectify this data shortcoming by employing a recently collected financial dataset spanning the 60 years before the introduction of deposit insurance. Our data includes many of the most severe financial panics in US history. Overall we find CoVaR and SRisk to be remarkably useful in alerting regulators of systemically risky financial institutions

Remove Debris Mission, From Concept to Orbit

The RemoveDebris mission will be the first European Active Debris Removal (ADR) missions to give an in orbit demonstration of the viability of a series of cost effective technologies that can be used to observe, capture and destroy space debris. RemoveDebris is a low cost mission performing key active debris removal (ADR) technology demonstrations including the use of a net, a harpoon, vision-based navigation (VBN) and a dragsail in a realistic space operational environment. For the purposes of the mission two CubeSats will be ejected and used as targets for experiments instead of real space debris, which is an important step towards a fully operational ADR mission. The craft has launched to the ISS on the 2nd of April 2018, on board a Dragon capsule (SpaceX CRS-14 ISS re-supply mission). From here the satellite is to be deployed via the NanoRacks Kaber system into an orbit of around 400 km. Aglietti 2 32nd Annual AIAA/USU Conference on Small Satellites This paper examines the design of the mission from initial concepts through to manufacture, AIT, testing and up to launch, and apart from a general consideration of the mission, will focus on the elements of design & testing that differ from a conventional mission

Science Opportunities offered by Mercury's Ice-Bearing Polar Deposits

n/

Life and the Technical Transformation of Différance: Stiegler and the Noopolitics of Becoming Non-Inhuman

Through a re-articulation of Derridean différance, Bernard Stiegler claims that the human is defined by an originary default that displaces all psychic and social life onto technical supplements. His philosophy of technics re-articulates the logic of the supplement as concerning both human reflexivity and its supports, and the history of the différance of life itself. This has been criticised for reducing Derrida’s work to a metaphysics of presence, and for instituting a humanism of the relation to the inorganic. By refuting these claims, this article will show that Stiegler’s doubling of différance enables him to articulate the human as constituted by both the individuation characteristic of ‘life’, and that of a technical, psychic and collective individuation. Putting forward a reading of the logic of the trace in life, and emphasising the aspects of Leroi-Gourhan, Simondon, and Canguilhem that Stiegler uses in his reading of Derrida, I will demonstrate that the political stakes of adaption and adoption in Noo-Politics require this re-articulation of différance. Technics shapes the human future, arising from this differential mutation; marking the invention of the human as the site of the political