Liquidity premia in German government bonds

There is strong evidence that on-the-run U.S. Treasury securities trade much more liquidly and at significantly higher prices than their off-the-run counterparts. We examine if the same phenomenon is present in the German government bond market whose market structure differ markedly from that of the U.S. Treasury market. In sharp contrast to the U.S. evidence, we find that on-the-run status has only a negligible effect on the liquidity and pricing once other factors have been controlled for. Instead, the highly liquid German bond futures market, whose turnover is many times larger than in the cash market, leads to significant liquidity spillovers. Specifically, we find that bonds which are deliverable into futures contracts are both trading more liquidly and commanding a significant price premium, and that this effect became more pronounced during the recent financial crisis. JEL Classification: E43, G12, H63futures market, Government bond, liquidity, Liquidity premium

The Janus-headed salvation: sovereign and bank credit risk premia during 2008-09

As the global banking crisis intensified in the fall of 2008, governments announced comprehensive rescue packages for financial institutions. In this paper, we put the joint response of euro area bank and sovereign CDS premia under the microscope. We find that the bank rescue packages led to a clear structural break in these premia's comovement, which had been rather tight and stable in the weeks preceding the in-tensification of the crisis. Firstly, the packages induced a decrease in risk spreads for banks at the expense of a marked increase in risk spreads for governments. Secondly, we show that in addition to this one-off jump in the levels of CDS spreads, the packages strongly increased the sensitivity of sovereign risk spreads to any further aggravation of the crisis. At the same time, the sensitivity of bank credit risk premia declined and became more sovereign-like, reflecting the extensive government guarantees of banking sector liabilities. JEL Classification: G15, G21credit default swaps, financial crisis, risk transfer

Unraveling the Role of Public Researcher Mobility for Industrial Innovation

We estimate the relative contribution of mobile scientists who leave academia for the private sector on the subsequent innovative performance of the firms they join. We use data on the population of Danish firms and their R&D workers for the period 1999-2004 and measure innovation performance by the (value-adjusted) number of patent applications at the European Patent Office. We compare the efficacy of mobile former university scientists to the effects of mobile workers hired from other firms as well as immobile workers on the innovation performance of their employer. Our main result is that mobile university scientists contribute substantially more to innovation than R&D workers hired from other firms who, in turn, contribute slightly less to industrial innovation than recent university graduates. By contrast, immobile workers add little to the innovative activity of their employer. We also find that the contribution of mobile R&D workers to innovation depreciates fairly rapidly. These findings provide us with three main managerial implications: Firstly, hiring scientists from universities is a way of boosting a firm's innovative activity. Secondly, because hires from academia receive lower wages on average than hires from private sector firms, this implies that hiring R&D workers from academia may be a cost-effective way of improving innovation performance. Thirdly, firms need to take measures in order to further public-private researcher interaction to prevent the depreciation of the knowledge stock of their employees.labor mobility, technology transfer, innovation, patents

Molecular characterization of the lipidome by mass spectrometry

Cells, whether bacterial, fungal or mammalian, are all equipped with metabolic pathways capable of producing an assortment of structurally and functionally distinct lipid species. Despite the structural diversity of lipids being recognized and correlated to specific cellular phenomena and disease states, the molecular mechanisms that underpin this structural diversity remain poorly understood. In part, this is due to the lack of adequate analytical techniques capable of measuring the structural details of lipid species in a direct, comprehensive and quantitative manner. The aim of my thesis study was to establish methodology for automated and quantitative analysis of molecular lipid species based on mass spectrometry. From this work a novel high-throughput methodology for lipidome analysis emerged. The main assets of the methodology were the structure-specific mass analysis by powerful hybrid mass spectrometers with high mass resolution, automated and sensitive infusion of total lipid extracts by a nanoelectrospray robot, and automated spectral deconvolution by dedicated Lipid Profiler software. The comprehensive characterization and quantification of molecular lipid species was achieved by spiking total lipid extracts with unique lipid standards, utilizing selective ionization conditions for sample infusion, and performing structure-specific mass analysis by hybrid quadrupole time-of-flight and ion trap mass spectrometry. The analytical routine allowed the comprehensive characterization and quantification of molecular glycerophospholipid species, molecular diacylglycerol species, molecular sphingolipid species including ceramides, glycosphingolipids and inositol-containing sphingolipids, and sterol lipids including cholesterol. The performance of the methodology was validated by comparing its dynamic quantification range to that of established methodology based on triple quandrupole mass spectrometry. Furthermore, its efficacy for lipidomics projects was demonstrated by the successful quantitative deciphering of the lipid composition of T cell receptor signaling domains, mammalian tissues including heart, brain and red blood cells, and the yeast Saccharomyces cerevisiae