Fiscal Adjustment and the Costs of Public Debt Service: Evidence from OECD Countries

We use a panel of 21 OECD countries from 1970 to 2009 to investigate the effects of different fiscal adjustment strategies on long-term interest rates – a key fiscal indicator reflecting the costs of government debt service. A government confronted with high deficits and rising debt will sooner or later need to enact fiscal adjustments in order to avoid solvency problems. Over the last four decades, such measures taken by governments in OECD countries have varied in duration, size, composition and in their success to re-establish fiscal sustainability. Controlling for various economic, fiscal and political factors, we find that the size and the composition of a fiscal adjustment significantly affect interest rates as well as yield spreads. Adjustments that are relatively large and those that primarily depend on expenditure cuts lead to substantially lower long-term interest rates. However, periods of fiscal adjustments do not generally have an influence on interest rates, even if they were successful and led to lower deficits and debt levels. Instead, financial markets only seem to value strict and decisive measures – a clear sign that the government’s pledge to cut the deficit is credible.fiscal adjustment, consolidation policy, government debt, deficit, interest rates

Fiskalpolitik als antizyklisches Instrument? Eine Betrachtung der Schweiz

This paper examines the stabilizing effects of Swiss fiscal policy. First, we find that the federation adopted a countercyclical fiscal policy in approximately 60% of all periods observed. During recessions, fiscal policy was always countercyclical and therefore helped to stabilize the economy. In case of the cantons, fiscal policy was countercyclical in 55% of all recessions. In recent years, there has been a trend for both the federation and the cantons toward stronger stabilization. Second, the two stabilizing instruments of fiscal policy, automatic stabilizers and discretionary fiscal policy are compared with each other. Over the last 50 years, automatic stabilizers have been expanded continuously, particularly on the federal level. We find that the impulse of automatic stabilizers is about twice as large as the one of discretionary fiscal policy. Third, macroeconomic effects of Switzerland's fiscal policy during recessions are examined. Automatic stabilizers have been particularly effective in the cantons whereas the effects of discretionary fiscal policy on economic growth have tended to be weake

Stimuli responsive nanocomposites based on cellulose nanocrystals

Cellulose nanocrystals (CNCs) are high-aspect ratio, mechanically stiff fibers which can serve as both a bio-renewable reinforcing agent in nanocomposites, as well as a handle for adding stimuli responsiveness. CNCs can be extracted from a wide range of natural cellulosic materials, with characteristics such as crystal structure, crystallinity and aspect ratio fluctuate widely between sources. Here, we report small molecule functionalized cellulose prepared for sustained delivery in a variety of environments. Moieties attached to the surface of cellulose nanocrystals show that both irreversible and reversible changes can be induced by application of an external stimuli. Moreover, we present the case of articular cartilage, which serves as a low-friction cushion in synovial joints and is vital for mam­malian skeletal movements. Due to its avascular nature and the low cell density, the tissue has a limited ability to regenerate, and damage due to injury, wear and tear, or disease usually requires surgical intervention. While articular cartilage had been predicted to be one of the first tissues to be successfully engineered, it proved to be challenging to reproduce the complex architecture and biomechanical properties of the native tissue. Here we report the fabrication of multi-layer polymer nanocomposite scaffolds that mimic the structural design, chemical cues, and mechanical characteristics of mature articular cartilage. These scaffolds guide the morphology, orientation, and phenotypic state of cultured chondrocytes in a spatially controlled manner, support the growth of tissue with features that are reminiscent of the natural analogue, and promote localized hydroxyapatite formation to permit integration with the subchondral bone

Tuning the thermo- and mechanoresponsive behavior of luminescent cyclophanes

Many cyclophanes have been investigated in dilute solution, where their internal cavities are accessible for supramolecular interactions. However, their photophysical properties in the solid state remain largely unexplored. We here report a new mechano- and thermoresponsive luminescent cyclophane that is comprised of two 9,10-bis(phenylethynyl)anthracene moieties and features two hexaethylene glycol bridges. The compound was found to exhibit a nematic liquid-crystalline phase at elevated temperature. X-ray diffraction patterns confirm that thermal and mechanical treatments induce changes in the molecular assembly, which are the basis for the observed photoluminescent color variations. The stimuli-responsive behavior of the new compound is quite different from that of a previously reported cyclophane with similar structure but shorter bridges. Thus, merely changing the ring size is an effective tool to tailor the stimuli-responsiveness and the phase behaviour of luminescent cyclophanes

A mechano- and thermoresponsive luminescent cyclophane

The first fluorescent cyclophane with mechano- and thermoresponsive solid-state fluorescence characteristics is reported. The new cyclophane comprises two 9,10-bis(phenylethynyl)anthracene moieties that are bridged by tetraethylene glycol spacers. The stimuli-responsiveness is based on molecular assembly changes

The influence of supplemental alfalfa quality on the intake and utilization of low-quality roughages by beef cattle

Three experiments were conducted to evaluate the influence of quality of supplemental alfalfa quality on beef cattle consuming low-quality meadow grass (MG) roughages. Fifteen steers (250 kg) were assigned randomly to one of three treatments: 1) meadow grass (5.2% CP), no supplement (MNS); 2) meadow grass plus high quality alfalfa hay (AHS) (18.8% CP); and 3) meadow grass plus low quality alfalfa hay (ALS) (15.2% CP). Supplements were fed at 0.45% BW and 0.55 % BW respectively. Total DM intake was greater (P<.01) for alfalfa supplemented steers. Likewise intake of digestible DM, DM digestibility and ruminal ammonia levels were greater for alfalfa supplemented steers (P<.01). In Exp. 2; 96 gestating Hereford x Simmental cows (537 kg; body condition 4.86) were assigned to the same treatments as in Exp. 1. For d-0 to d-42 cows grazed on 19.1 ha of stockpiled MG (4539 kg/ha; 6.8% CP) whereas d-43 to d-84, cows received MG hay (5.2% CP). Results for the 84-d study indicated that supplemented cows gained more BW (P<.01), body condition (P<.01) and had heavier (P<.01) calf birth weights than MNS cows. In the first 42-d period supplemented cows gained 16.2 kg more BW than MNS cows (P<.01). Likewise, supplemented cows increased .24 BC more (P<.01) than MNS cows. The same trend was observed from d-42 to d-84, though ALS cows lost more BC (P<.01) than the AHS cows. In Exp. 3; 90 gestating Angus x Hereford cows (475 kg; body condition 4.59) were assigned to one of three supplemental treatments: 1) 16.1% CP alfalfa; 2) 17.8% CP alfalfa; 3) 20.0% CP alfalfa. The level of supplementation was 0.63%, 0.55%, and 0.50% of BW, respectively. The basal diet was baled MG hay (5.6% CP). Weight gain and BC change for the 84-d study displayed a quadratic response (P<.10). In conclusion, alfalfa hay is an effective way of increasing low-quality roughage DM intake and digestibility. However, alfalfa hay quality did not appear to dramatically effect BW, BC, and (or) calf birth weights, when fed on a isonitrogenous basis. (KEY WORDS: Beef cattle, Supplementation, Meadow Hay, Alfalfa Hay