Policy lessons from a simple open - economy model

The authors show how two-sector models can be used to derive policy lessons about adjustment in developing economies. In the past two decades, changes in the external environment and in economic policies have been the key factors in the performance of developing economies. By and large the shocks have involved the external sector: terms-of-trade shocks or cutbacks in foreign capital. The policy responses most commonly proposed have targeted the external sector: depreciating the real exchange rate or reducing distortionary taxes to make the economy more competitive. The authors provide a starting point for analyzing the relation between external shocks and policy responses. Starting from a small, one-country, two-sector, three-good (1-2-3) model, the authors outline how the effects of a foreign capital inflow and terms-of-trade shock can be analyzed. They derive the assumptions underlying the conventional policy recommendation of real exchange rate depreciation in response to adverse shocks. The implications of such trade and fiscal policy instruments as export subsidies, import tariffs, and domestic indirect taxes can also be studied in this framework. The authors show that the standard advice to depreciate the real exchange rate in the wake of an adverse terms-of-trade shock rests on the condition that the income effect of the external shock dominates its substitution effect. But, depending on the characteristics of the economy (for example, the trade elasticities), policy results may run counter to received wisdom. For example, when the substitution effect ofan adverse external shock dominates, real depreciation is inappropriate. An infusion of foreign capital does not necessarily benefit the nontradable sector, as the results of"Dutch disease"models suggest (for example, in the extreme case of nearly infinite substitution elasticity between imports and domestic goods). When import tariffs are significant sources of public revenue, potential revenue losses from tariff cuts must be offset by other revenue sources to maintain the external current account balance. The paper shows a simple way to calculate the necessary tax adjustment. A major advantage of small models is their simplicity. The example in this paper can be solved analytically - either graphically or algebraically. It also can be solved numerically, using such widely available PC-based spreadsheet programs as Excel. The numerical implementation involves only modest data requirements. The data that governments normally release on national income, fiscal, and balance of payments accounts are sufficient.Environmental Economics&Policies,Economic Theory&Research,Economic Stabilization,TF054105-DONOR FUNDED OPERATION ADMINISTRATION FEE INCOME AND EXPENSE ACCOUNT,Markets and Market Access

Deciphering Genetic Diversity in Spathodea campanulata Beauv. from South India Based On Randomly Amplified Polymorphic DNA Markers

The African tulip (Spathodea campanulata) is a monophyletic species native to tropical forests of sub-Saharan Africa belonging to family Bignoniaceae. Although its endemism in sub-Saharan Africa, it is listed as potential alien invasive species in Pacific, Indian and Caribbean, but also Singapore, Papua New Guinea and Australia. The expansion of its range from ornamental to invasive is being observed in South India. In this study, RAPD based DNA markers have been used to determine genetic diversity of the monophyletic species. About 14 populations were studied from 6 states of South India using 41 random decamer primers. The total number of 517 bands were scored which are generated by 41 primers producing 12.6 bands on an average per primer, of these 517 bands produced 379 were polymorphic showing 73% polymorphism revealing higher level of genetic polymorphism in the study population. The similarity coefficient ranged from 0.312 to 0.837 and the dendrogram constructed by the UPGMA based on Jaccard\u27s similarity matrix farmed two clusters. In the present study, results showed the high degree of genetic diversity within the populations of S. campanulata supporting high degree of adaptation and its range expansion from ornamental to possible invasive species in South India

An early developmental vertebrate model for nanomaterial safety:Bridging cell-based and mammalian toxicity assessment

Background. With the rise in production of nanoparticles for an ever-increasing number of applications, there is an urgent need to efficiently assess their potential toxicity. We propose a nanoparticle hazard assessment protocol that combines mammalian cytotoxicity data with embryonic vertebrate abnormality scoring to determine an overall toxicity index. Results. We observed that, after exposure to a range of nanoparticles, Xenopus phenotypic scoring showed a strong correlation with cell based in vitro assays. Magnetite-cored nanoparticles, negative for toxicity in vitro and Xenopus, were further confirmed as non-toxic in mice. Conclusion. The results highlight the potential of Xenopus embryo analysis as a fast screening approach for toxicity assessment of nanoparticles, which could be introduced for the routine testing of nanomaterials

Climate and southern Africa's water-energy-food nexus

In southern Africa, the connections between climate and the water-energy-food nexus are strong. Physical and socioeconomic exposure to climate is high in many areas and in crucial economic sectors. Spatial interdependence is also high, driven for example, by the regional extent of many climate anomalies and river basins and aquifers that span national boundaries. There is now strong evidence of the effects of individual climate anomalies, but associations between national rainfall and Gross Domestic Product and crop production remain relatively weak. The majority of climate models project decreases in annual precipitation for southern Africa, typically by as much as 20% by the 2080s. Impact models suggest these changes would propagate into reduced water availability and crop yields. Recognition of spatial and sectoral interdependencies should inform policies, institutions and investments for enhancing water, energy and food security. Three key political and economic instruments could be strengthened for this purpose; the Southern African Development Community, the Southern African Power Pool, and trade of agricultural products amounting to significant transfers of embedded water

Financial crises and the attainment of the SDGs: an adjusted multidimensional poverty approach

This paper analyses the impact of financial crises on the Sustainable Development Goal of eradicating poverty. To do so, we develop an adjusted Multidimensional Poverty Framework (MPF) that includes 15 indicators that span across key poverty aspects related to income, basic needs, health, education and the environment. We then use an econometric model that allows us to examine the impact of financial crises on these indicators in 150 countries over the period 1980–2015. Our analysis produces new estimates on the impact of financial crises on poverty’s multiple social, economic and environmental aspects and equally important captures dynamic linkages between these aspects. Thus, we offer a better understanding of the potential impact of current debt dynamics on Multidimensional Poverty and demonstrate the need to move beyond the boundaries of SDG1, if we are to meet the target of eradicating poverty. Our results indicate that the current financial distress experienced by many low-income countries may reverse the progress that has been made hitherto in reducing poverty. We find that financial crises are associated with an approximately 10% increase of extreme poor in low-income countries. The impact is even stronger in some other poverty aspects. For instance, crises are associated with an average decrease of government spending in education by 17.72% in low-income countries. The dynamic linkages between most of the Multidimensional Poverty indicators, warn of a negative domino effect on a number of SDGs related to poverty, if there is a financial crisis shock. To pre-empt such a domino effect, the specific SDG target 17.4 on attaining long-term debt sustainability through coordinated policies plays a key role and requires urgent attention by the international community

TGF-β1 modulates microglial phenotype and promotes recovery after intracerebral hemorrhage

Intracerebral hemorrhage (ICH) is a devastating form of stroke that results from the rupture of a blood vessel in the brain, leading to a mass of blood within the brain parenchyma. The injury causes a rapid inflammatory reaction that includes activation of the tissue-resident microglia and recruitment of blood-derived macrophages and other leukocytes. In this work, we investigated the specific responses of microglia following ICH with the aim of identifying pathways that may aid in recovery after brain injury. We used longitudinal transcriptional profiling of microglia in a murine model to determine the phenotype of microglia during the acute and resolution phases of ICH in vivo and found increases in TGF-β1 pathway activation during the resolution phase. We then confirmed that TGF-β1 treatment modulated inflammatory profiles of microglia in vitro. Moreover, TGF-β1 treatment following ICH decreased microglial Il6 gene expression in vivo and improved functional outcomes in the murine model. Finally, we observed that patients with early increases in plasma TGF-β1 concentrations had better outcomes 90 days after ICH, confirming the role of TGF-β1 in functional recovery from ICH. Taken together, our data show that TGF-β1 modulates microglia-mediated neuroinflammation after ICH and promotes functional recovery, suggesting that TGF-β1 may be a therapeutic target for acute brain injury

Shape matching and object recognition using dissimilarity measures with Hungarian algorithm

Organized by School of Mechatronic Engineering (UniMAP) & co-organized by The Institution of Engineering Malaysia (IEM), 11th - 13th October 2009 at Batu Feringhi, Penang, Malaysia.The shape of an object is very important in object recognition. Shape matching is a challenging problem, especially when articulation and deformation of a part occur. These variations may be insignificant for human recognition but often cause a matching algorithm to give results that are inconsistent with our perception. In this paper, we propose an approach to measure similarity between shapes using dissimilarity measures with Hungarian algorithm. In our framework, the measurement of similarity is preceded by (1) forming the shapes from the images using canny edge detection (2) finding correspondence between shapes of the two images using Euclidean distance and cost matrix (3) reducing the cost by using bipartite graph matching with Hungarian algorithm. Corresponding points on two dissimilar shapes will have similar distance, enabling us to solve an optimal assignment problem using the correspondence points. Given the point correspondence, we estimate the transformation that best aligns the two shapes; regularized thin plate splines provide a flexible class of transformation maps for this purpose. The dissimilarity between the two shapes is computed as a sum of matching error between corresponding points, together with a term measuring the magnitude of the aligning transform. By using this matching error, we can classify different objects. Results are presented and compared with existing methods using MATLAB for MNIST hand written digits and MPEG7 images.Technical sponsored by IEEE Malaysia Sectio

Selective complexation of divalent cations by a cyclic α,β-peptoid hexamer: a spectroscopic and computational study

We describe the qualitative and quantitative analysis of the complexation properties towards cations of a cyclic peptoid hexamer composed of alternating α- and β-peptoid monomers, which bear exclusively chiral (S)-phenylethyl side chains (spe) that have no noticeable chelating properties. The binding of a series of monovalent and divalent cations was assessed by 1H NMR, circular dichroism, fluorescence and molecular modelling. In contrast to previous studies on cations binding by 18-membered α-cyclopeptoid hexamers, the 21-membered cyclopeptoid cP1 did not complex monovalent cations (Na+, K+, Ag+) but showed selectivity for divalent cations (Ca2+, Ba2+, Sr2+ and Mg2+). Hexacoordinated C-3 symmetrical complexes were demonstrated for divalent cations with ionic radii around 1 Å (Ca2+ and Ba2+), while 5-coordination is preferred for divalent cations with larger (Ba2+) or smaller ionic radii (Mg2+)