Fiscal Paradise: Foreign Tax Havens and American Business

The offshore tax haven affiliates of American corporations account for more than a quarter of US foreign investment, an nearly a third of the foreign profits of US firms. This paper analyzes the origins of this tax haven activity and its implications for the US and foreign governments. Based on the behavior of US fins in 1982, it appears that American companies report extraordinarily high profit rates on both their real and their financial investments in tax havens. We calculate from this behavior that the tax rate that maximizes tax revenue for a typical haven is around 6%. The revenue implications for the US are more complicated, since tax havens may ultimately enhance the ability of the US government to tax the foreign earnings of American companies.

Vortices in self-gravitating disks

Vortices are believed to greatly help the formation of km sized planetesimals by collecting dust particles in their centers. However, vortex dynamics is commonly studied in non-self-gravitating disks. The main goal here is to examine the effects of disk self-gravity on the vortex dynamics via numerical simulations. In the self-gravitating case, when quasi-steady gravitoturbulent state is reached, vortices appear as transient structures undergoing recurring phases of formation, growth to sizes comparable to a local Jeans scale, and eventual shearing and destruction due to gravitational instability. Each phase lasts over 2-3 orbital periods. Vortices and density waves appear to be coupled implying that, in general, one should consider both vortex and density wave modes for a proper understanding of self-gravitating disk dynamics. Our results imply that given such an irregular and rapidly changing, transient character of vortex evolution in self-gravitating disks it may be difficult for such vortices to effectively trap dust particles in their centers that is a necessary process towards planet formation.Comment: to appear in the proceedings of Cool Stars, Stellar Systems and The Sun, 15th Cambridge Workshop, St. Andrews, Scotland, July 21-25, 200

Analysis of permanent magnets as elasmobranch bycatch reduction devices in hook-and-line and longline trials

Previous studies indicate that elasmobranch fishes (sharks, skates and rays) detect the Earth’s geomagnetic field by indirect magnetoreception through electromagnetic induction, using their ampullae of Lorenzini. Applying this concept, we evaluated the capture of elasmobranchs in the presence of permanent magnets in hook-and-line and inshore longline fishing experiments. Hooks with neodymium-iron-boron magnets significantly reduced the capture of elasmobranchs overall in comparison with control and procedural control hooks in the hook-and-line experiment. Catches of Atlantic sharpnose shark (Rhizoprionodon terraenovae) and smooth dogfish (Mustelus canis) were signif icantly reduced with magnetic hook-and-line treatments, whereas catches of spiny dogfish (Squalus acanthias) and clearnose skate (Raja eglanteria) were not. Longline hooks with barium-ferrite magnets significantly reduced total elasmobranch capture when compared with control hooks. In the longline study, capture of blacktip sharks (Carcharhinus limbatus) and southern stingrays (Dasyatis americana) was reduced on magnetic hooks, whereas capture of sandbar shark (Carcharhinus plumbeus) was not affected. Teleosts, such as red drum (Sciaenops ocellatus), Atlantic croaker (Micropogonias undulatus), oyster toadfish (Opsanus tau), black sea bass (Centropristis striata), and the bluefish (Pomatomas saltatrix), showed no hook preference in either hook-and-line or longline studies. These results indicate that permanent magnets, although eliciting species-specific capture trends, warrant further investigation in commercial longline and recreational fisheries, where bycatch mortality is a leading contributor to declines in elasmobranch populations

Earthquake Slip Between Dissimilar Poroelastic Materials

A mismatch of elastic properties across a fault induces normal stress changes during spatially nonuniform in-plane slip. Recently, Rudnicki and Rice showed that similar effects follow from a mismatch of poroelastic properties (e.g., permeability) within fluid-saturated fringes of damaged material along the fault walls; in this case, it is pore pressure on the slip plane and hence effective normal stress that is altered during slip. The sign of both changes can be either positive or negative, and they need not agree. Both signs reverse when rupture propagates in the opposite direction. When both elastic and poroelastic properties are discontinuous across the fault, steady sliding at a constant friction coefficient, f, is unstable for arbitrarily small f if the elastic mismatch permits the existence of a generalized Rayleigh wave. Spontaneous earthquake rupture simulations on regularized slip-weakening faults confirm that the two effects have comparable magnitudes and that the sign of the effective normal stress change cannot always be predicted solely from the contrast in elastic properties across the fault. For opposing effects, the sign of effective normal stress change reverses from that predicted by the poroelastic mismatch to that predicted by the elastic mismatch as the rupture accelerates, provided that the wave speed contrast exceeds about 5–10% (the precise value depends on the poroelastic contrast and Skempton's coefficient). For faults separating more elastically similar materials, there exists a minimum poroelastic contrast above which the poroelastic effect always determines the sign of the effective normal stress change, no matter the rupture speed.Earth and Planetary SciencesEngineering and Applied Science

Earthquake ruptures with thermal weakening and the operation of major faults at low overall stress levels

We model ruptures on faults that weaken in response to flash heating of microscopic asperity contacts (within a rate-and-state framework) and thermal pressurization of pore fluid. These are arguably the primary weakening mechanisms on mature faults at coseismic slip rates, at least prior to large slip accumulation. Ruptures on strongly rate-weakening faults take the form of slip pulses or cracks, depending on the background stress. Self-sustaining slip pulses exist within a narrow range of stresses: below this range, artificially nucleated ruptures arrest; above this range, ruptures are crack-like. Natural earthquakes will occur as slip pulses if faults operate at the minimum stress required for propagation. Using laboratory-based flash heating parameters, propagation is permitted when the ratio of shear to effective normal stress on the fault is 0.2–0.3; this is mildly influenced by reasonable choices of hydrothermal properties. The San Andreas and other major faults are thought to operate at such stress levels. While the overall stress level is quite small, the peak stress at the rupture front is consistent with static friction coefficients of 0.6–0.9. Growing slip pulses have stress drops of ∼3 MPa; slip and the length of the slip pulse increase linearly with propagation distance at ∼0.14 and ∼30 m/km, respectively. These values are consistent with seismic and geologic observations. In contrast, cracks on faults of the same rheology have stress drops exceeding 20 MPa, and slip at the hypocenter increases with distance at ∼1 m/km

Thermo- and Hydro-mechanical Processes along Faults during Rapid Slip

Field observations of maturely slipped faults show a generally broad zone of damage by cracking and granulation. Nevertheless, large shear deformation, and therefore heat generation, in individual earthquakes takes place with extreme localization to a zone <1–5 mm wide within a finely granulated fault core. Relevant fault weakening processes during large crustal events are therefore likely to be thermal. Further, given the porosity of the damage zones, it seems reasonable to assume groundwater presence. It is suggested that the two primary dynamic weak- ening mechanisms during seismic slip, both of which are expected to be active in at least the early phases of nearly all crustal events, are then as follows: (1) Flash heating at highly stressed frictional micro-contacts, and (2) Thermal pressurization of fault-zone pore fluid. Both have characteristics which promote extreme localization of shear. Macroscopic fault melting will occur only in cases for which those processes, or others which may sometimes become active at large enough slip (e.g., thermal decomposition, silica gelation), have not sufficiently reduced heat generation and thus limited temperature rise. Spontaneous dynamic rupture modeling, using procedures that embody mechanisms (1) and (2), shows how faults can be statically strong yet dynamically weak, and oper- ate under low overall driving stress, in a manner that generates negligible heat and meets major seismic constraints on slip, stress drop, and self-healing rupture mode.Earth and Planetary SciencesEngineering and Applied Science

Earthquake Ruptures with Thermal Weakening and the Operation of Major Faults at Low Overall Stress Levels

We model ruptures on faults that weaken in response to flash heating of microscopic asperity contacts (within a rate-and-state framework) and thermal pressurization of pore fluid. These are arguably the primary weakening mechanisms on mature faults at coseismic slip rates, at least prior to large slip accumulation. Ruptures on strongly rate-weakening faults take the form of slip pulses or cracks, depending on the background stress. Self-sustaining slip pulses exist within a narrow range of stresses: below this range, artificially nucleated ruptures arrest; above this range, ruptures are crack-like. Natural quakes will occur as slip pulses if faults operate at the minimum stress required for propagation. Using laboratory-based flash heating parameters, propagation is permitted when the ratio of shear to effective normal stress on the fault is 0.2–0.3; this is mildly influenced by reasonable choices of hydrothermal properties. The San Andreas and other major faults are thought to operate at such stress levels. While the overall stress level is quite small, the peak stress at the rupture front is consistent with static friction coefficients of 0.6–0.9. Growing slip pulses have stress drops of ~3 MPa; slip and the length of the slip pulse increase linearly with propagation distance at ~0.14 and ~30 m/km, respectively. These values are consistent with seismic and geologic observations. In contrast, cracks on faults of the same rheology have stress drops exceeding 20 MPa, and slip at the hypocenter increases with distance at ~1 m/km.Earth and Planetary SciencesEngineering and Applied Science

Efficacy of Female Rat Models in Translational Cardiovascular Aging Research

Cardiovascular disease is the leading cause of death in women in the United States. Aging is a primary risk factor for the development of cardiovascular disease as well as cardiovascular-related morbidity and mortality. Aging is a universal process that all humans undergo; however, research in aging is limited by cost and time constraints. Therefore, most research in aging has been done in primates and rodents; however it is unknown how well the effects of aging in rat models translate into humans. To compound the complication of aging gender has also been indicated as a risk factor for various cardiovascular diseases. This review addresses the systemic pathophysiology of the cardiovascular system associated with aging and gender for aging research with regard to the applicability of rat derived data for translational application to human aging