The impact of public guarantees on bank risk taking: evidence from a natural experiment

In 2001, government guarantees for savings banks in Germany were removed following a law suit. We use this natural experiment to examine the effect of government guarantees on bank risk taking, using a large data set of matched bank/borrower information. The results suggest that banks whose government guarantee was removed reduced credit risk by cutting off the riskiest borrowers from credit. At the same time, the banks also increased interest rates on their remaining borrowers. The effects are economically large: the Z-Score of average borrowers increased by 7.5% and the average loan size declined by 17.2%. Remaining borrowers paid 46 basis points higher interest rates, despite their higher quality. Using a difference-in-differences approach we show that the effect is larger for banks that ex ante benefited more from the guarantee and that none of these effects are present in a control group of German banks to whom the guarantee was not applicable. Furthermore, savings banks adjusted their liabilities away from risk-sensitive debt instruments after the removal of the guarantee, while we do not observe this for the control group. We also document in an event study that yield spreads of savings banks’ bonds increased significantly right after the announcement of the decision to remove guarantees, while the yield spread of a sample of bonds issued by the control group remained unchanged. The results suggest that public guarantees may be associated with substantial moral hazard effects. JEL Classification: G21, G28, G32banking, Credit risk, market discipline, Moral Hazard, public guarantees

She leads business education: a phenomenological study on the career development of female deans leading AACSB-accredited business schools in America

As women advance into leadership roles in America, there is a demand for career development research to deepen understanding of strategies for overcoming obstacles and maximizing opportunities. This study investigated 13.4% of the population of female Deans of AACSB-accredited business schools in America through qualitative inquiry. During this study, 157 of 540 American business schools with AACSB accreditation were led by female Deans. A female perspective was interpreted through the framework of Career Development Theory revealing the internal and external forces impacting career development chronology, experiences, contexts, behavioral patterns, beliefs, and leadership of women who have become Deans. Gender-related and industry-related experiences illustrate how the investigated Deans must strategize professionally. The research participants have become business school Deans by being resilient and service-oriented as they lead innovation in business education with a keen sense of collaboration, relationship-building, and decisiveness. The research participants achieved a deanship by responding to challenges and opportunities mindfully as experienced experts who strategically ask, say yes to the right career advancement opportunities, and are proactive when they know it is time to make a move, take a break, or leave. This study reveals insight for career advancement among various positions in academia with some roles offering more relevant experience than others. Additionally, this research uncovers how motherhood can offer a rewarding and grounding identity for leaders in academia. Finally, the women deans investigated in this study value relationships and leverage support networks while maintaining a continuum of life-long learning, self-care, and self-belief

IT Induced Health Care Reconfiguration: German Hospitals in Transition

This paper presents the results of an exploratory study undertaken in conjunction with managing directors and medical chiefs of staff in German hospitals. Following the framework of a model developed by Venkatraman, it analyzes how information technology permeates this type of organization, how it changes its focus during evolution towards higher levels of sophistication, and which determinants affect the evolution

Satellite Attitude Control Using Atmopheric Drag

Attitude control is a requirement for most satellites. Many schemes have been devised over the years including control moment gyros, reaction wheels, spin stabilization and gravity gradient stabilization. For low Earth orbits, the Earth\u27s atmosphere can have an affect on a satellite\u27s orbit and attitude. This research effort examines the feasibility of using the atmosphere to actively control a spacecraft\u27s attitude using drag panels. Using the atmosphere to control spacecraft attitude has been researched in the past however very little research has been done using an active feedback control system to maintain spacecraft attitude. A linear computer model was created using a proportional controller. This model was used to evaluate the effectiveness of using drag panels for attitude control. Results from the simulation show that the spacecraft can recover from disturbance torques that may cause a change in attitude very effectively especially at low altitudes (200-300km). Settling time increases as altitude increases and varies from minutes to weeks

AXIN Shapes Tankyrase ARChitecture.

The poly(ADP-ribose)polymerase (PARP) Tankyrase uses ankyrin repeat modules to capture substrates via Tankyrase-binding peptide motifs. In this issue of Structure, Eisemann et al. (2016) describe how the signaling protein AXIN can access and conformationally adapt the multivalent ankyrin repeat region of Tankyrase and discuss potential implications for enzymatic substrate modification

Regulation of the SRF cofactor MAL by actin

Serum Response Factor (SRF) is controlled by actin dynamics at many of its target genes: Rho-induced depletion of G-actin is sensed by MAL, a member of the myocardin family of SRF coactivators. MAL binds G-actin via its N-terminus, the "RPEL domain", containing three RPEL motifs. MAL rapidly circulates between nucleus and cytoplasm in resting NIH3T3 fibroblasts. It accumulates in the nucleus and activates SRF upon serum stimulation, which alters interactions between G-actin and the RPEL domain. In contrast, myocardin (MC) itself is constitutively nuclear and active when expressed in fibroblasts, suggesting that it is not controlled through Rho. This thesis addresses the mode and functions of actin binding by myocardin-family proteins. Actin binding targets MAL for efficient CRM1-mediated nuclear export. Nuclear accumulation of MAL is not sufficient for activation of SRF-mediated transcription unless an inhibitory MAL-actin interaction in the nucleus is released. Actin therefore fulfils a dual role in MAL regulation by controlling MAL localisation as well as activity. The MAL RPEL domain is sufficient to confer actin-regulated nucleocytoplasmic trafficking and binds multiple actin molecules, efficiently sequestering them from polymerisation. Actin-binding toxins directly interfere with the MAL-actin complex. The RPEL motif represents an actin-binding unit: affinities of MAL RPEL motifs 1 and 2 for actin are relatively high while RPEL3 binds actin weakly. RPEL motifs cooperate to regulate MAL. The regulatory contribution of an RPEL3-actin interaction depends on actin binding by the RPEL 1-2 unit, differences in which account for differential regulation of MAL and MC, which binds actin weakly. A model of MAL regulation by differential actin occupancy of multiple RPEL motifs is proposed. Crystal structures of MAL RPEL motifs 1 and 2 bound to G-actin were obtained. RPEL motifs maintain hydrophobic interactions with a hydrophobic cleft at the subdomain 1-3 interface of actin and a "platform" on subdomain 3, both at the "base" of the actin molecule in its conventional view (Kabsch et al., 1990). The RPEL motif also establishes critical polar interactions with actin. Conservation of the RPEL motif reflects actin binding. The structures rationalise RPEL-actin affinities and competition of actin-binding toxins and profilin with MAL. A crystal structure of the MAL RPEL domain bound to three actin molecules revealed an additional actin-binding site within the RPEL 1-2 linker and actin-actin contacts in the RPEL domain-actin complex

Numerical and Experimental Investigations on rotary Bell Atomizers with predominant Air Flow Rates

[EN] For high-quality spray painting of small parts, a rotary bell atomizer with a narrow spray pattern is used in the automotive industry. The required unusual high shaping air flow rate yields in an atomization process predominated by a pneumatic atomization and rather than by a rotary atomization, called hybrid bell atomizer in this article. Numerical and experimental investigation on typical high-speed rotary bell atomizers, with rotation type of high rotational speed 40000-60000 rpm of the bell, were already successful demonstrated. For these high-speed rotary bell atomizer for painting bigger areas the ratio between tangential velocity at the bell edge and axial shaping air velocity at the bell edge is in the range of 0.8 and 4, depending on the process parameter. At the hybrid bell atomizer (10000-20000 rpm), this ratio is between 0.2 and 0.4. The first step of the present study includes the theoretical characterization of spray cone velocity profile using two definitions of swirl-number compared to experimental measurements of particle velocities using Laser-DopplerVelocimetry (LDV). This study was carried out on varying shaping air settings and rotational speeds. The results show that the the swirl of the main airflow field is dominated by the secondary airflow, which is induced coaxial in an angle of 45°. The influence of the circumferential speed of the bell cup on the swirl of the main airflow field plays a subordinate role, so the resulting spray pattern is only weakly influenced by the number of revolutions of the bell-cup. In the second step, the hybrid bell atomizer was examined numerically. In order to implement the hybrid atomization concept in the simulation correctly, methods for creating droplet initial conditions in the trajectory calculation was developed. The simulation results were verified through comparisons of calculated and measured velocity profiles inside the spray cone and calculated and measured film thickness distributions on the work piece. In the present investigations of the atomizer, it has been demonstrated numerically and experimentally that the airflow field of this hybrid bell atomizer is strongly impacted by the secondary shaping air and both the circumferential speed of the bell cup and the direct electrostatic charge on the bell have only a minor effect on the generated spray pattern and the resulting transfer efficiency.This research was supported within the project »SelfPaint« by Fraunhofer-Gesellschaft zur Förderung der angewandten Forschung e.V.Guettler, N.; Paustian, S.; Ye, Q.; Tiedje, O. (2017). Numerical and Experimental Investigations on rotary Bell Atomizers with predominant Air Flow Rates. En Ilass Europe. 28th european conference on Liquid Atomization and Spray Systems. Editorial Universitat Politècnica de València. 114-121. https://doi.org/10.4995/ILASS2017.2017.465011412