Constrained efficiency in the neoclassical growth model with uninsurable idiosyncratic shocks

We investigate the welfare properties of the one-sector neoclassic growth model with uninsurable idiosyncratic shocks. We focus on the constrained efficiency notion of the general equilibrium literature, and we demonstrate constrained inefficiency for our model. We provide a characterization of constrained efficiency that uses the first-order condition of a constrained planner's problem that points to the margins of relevance for whether capital is too high or too low: the income composition of the (consumption-)poor. We calibrate our benchmark model parameters governing idiosyncratic risks to the U.S. earnings and wealth distribution, and for this distribution the income of the poor is mainly composed of labor earnings. We compute the constrained-efficient allocations - including transition dynamics - for our model economy, and we conclude that the long-run capital stock in a laissez-faire world is not only too low, but much too low. We also show that one can find parameterizations with different qualitative features: in one case, the steady-state capital stock is too high, and in another case no steady state exists.Constrained efficiency, idiosyncratic risks, neoclassical growth model

The First Ground Level Enhancement Event of Solar Cycle 24: Direct Observation of Shock Formation and Particle Release Heights

We report on the 2012 May 17 Ground Level Enhancement (GLE) event, which is the first of its kind in Solar Cycle 24. This is the first GLE event to be fully observed close to the surface by the Solar Terrestrial Relations Observatory (STEREO) mission. We determine the coronal mass ejection (CME) height at the start of the associated metric type II radio burst (i.e., shock formation height) as 1.38 Rs (from the Sun center). The CME height at the time of GLE particle release was directly measured from a STEREO image as 2.32 Rs, which agrees well with the estimation from CME kinematics. These heights are consistent with those obtained for cycle-23 GLEs using back-extrapolation. By contrasting the 2012 May 17 GLE with six other non-GLE eruptions from well-connected regions with similar or larger flare size and CME speed, we find that the latitudinal distance from the ecliptic is rather large for the non-GLE events due to a combination of non-radial CME motion and unfavorable solar B0 angle, making the connectivity to Earth poorer. We also find that the coronal environment may play a role in deciding the shock strength.Comment: 16 pages, 4 figures, 1 tabl

Ground Level Enhancement in the 2014 January 6 Solar Energetic Particle Event

We present a study of the 2014 January 6 solar energetic particle (SEP) event, which produced a small ground level enhancement (GLE), making it the second GLE of this unusual solar cycle 24. This event was primarily observed by the South Pole neutron monitors (increase of ~2.5%) whereas a few other neutron monitors recorded smaller increases. The associated coronal mass ejection (CME) originated behind the western limb and had the speed of 1960 km/s. The height of the CME at the start of the associated metric type II radio burst, which indicates the formation of a strong shock, was measured to be 1.61 Rs using a direct image from STEREO-A/EUVI. The CME height at the time of GLE particle release (determined using the South Pole neutron monitor data) was directly measured as 2.96 Rs, from the STEREO-A/COR1 white-light observations. These CME heights are consistent with those obtained for the GLE71, the only other GLE of the current cycle as well as cycle-23 GLEs derived using back-extrapolation. GLE72 is of special interest because it is one of the only two GLEs of cycle 24, one of the two behind-the-limb GLEs and one of the two smallest GLEs of cycles 23 and 24

Organizing the innovation process : complementarities in innovation networking

This paper contributes to the developing literature on complementarities in organizational design. We test for the existence of complementarities in the use of external networking between stages of the innovation process in a sample of UK and German manufacturing plants. Our evidence suggests some differences between the UK and Germany in terms of the optimal combination of innovation activities in which to implement external networking. Broadly, there is more evidence of complementarities in the case of Germany, with the exception of the product engineering stage. By contrast, the UK exhibits generally strong evidence of substitutability in external networking in different stages, except between the identification of new products and product design and development stages. These findings suggest that previous studies indicating strong complementarity between internal and external knowledge sources have provided only part of the picture of the strategic dilemmas facing firms

The importance of accounting for large deformation in continuum damage models in predicting matrix failure of composites

The work presented in this paper investigates the ability of continuum damage models to accurately predict matrix failure and ply splitting. Two continuum damage model approaches are implemented that use different stress–strain measures. The first approach is based on small-strain increments and the Cauchy stress, while the second approach account for large deformation kinematics through the use of the Green–Lagrange strain and the 2nd Piola–Kirchhoff stress. The investigation consists of numerical benchmarks at three different levels: (1) single element; (2) unidirectional single ply open-hole specimen and (3) open-hole composite laminate coupon. Finally, the numerically predicted failure modes are compared to experimental failure modes at the coupon level. It is shown that it is important to account for large deformation kinematics in the constitutive model, especially when predicting matrix splitting failure modes. It is also shown that continuum damage models that do not account for large deformation kinematics can easily be adapted to ensure that the damage modes and failure strength are predicted accurately

Structural Analysis of the Right Rear Lug of American Airlines Flight 587

A detailed finite element analysis of the right rear lug of the American Airlines Flight 587 - Airbus A300-600R was performed as part of the National Transportation Safety Board s failure investigation of the accident that occurred on November 12, 2001. The loads experienced by the right rear lug are evaluated using global models of the vertical tail, local models near the right rear lug, and a global-local analysis procedure. The right rear lug was analyzed using two modeling approaches. In the first approach, solid-shell type modeling is used, and in the second approach, layered-shell type modeling is used. The solid-shell and the layered-shell modeling approaches were used in progressive failure analyses (PFA) to determine the load, mode, and location of failure in the right rear lug under loading representative of an Airbus certification test conducted in 1985 (the 1985-certification test). Both analyses were in excellent agreement with each other on the predicted failure loads, failure mode, and location of failure. The solid-shell type modeling was then used to analyze both a subcomponent test conducted by Airbus in 2003 (the 2003-subcomponent test) and the accident condition. Excellent agreement was observed between the analyses and the observed failures in both cases. The moment, Mx (moment about the fuselage longitudinal axis), has significant effect on the failure load of the lugs. Higher absolute values of Mx give lower failure loads. The predicted load, mode, and location of the failure of the 1985- certification test, 2003-subcomponent test, and the accident condition are in very good agreement. This agreement suggests that the 1985-certification and 2003-subcomponent tests represent the accident condition accurately. The failure mode of the right rear lug for the 1985-certification test, 2003-subcomponent test, and the accident load case is identified as a cleavage-type failure. For the accident case, the predicted failure load for the right rear lug from the PFA is greater than 1.98 times the limit load of the lugs

Theory of the "honeycomb chain-channel" reconstruction of Si(111)3x1

First-principles electronic-structure methods are used to study a structural model for Ag/Si(111)3x1 recently proposed on the basis of transmission electron diffraction data. The fully relaxed geometry for this model is far more energetically favorable than any previously proposed, partly due to the unusual formation of a Si double bond in the surface layer. The calculated electronic properties of this model are in complete agreement with data from angle-resolved photoemission and scanning tunneling microscopy.Comment: 4 pages, 4 figures, submitted to Phys. Rev. Lett (the ugly postscript error on page 4 has now been repaired