A Restatement of the Case for Fiscal Autonomy (or: The Barnett Formula - a formula for Rake's Progress)

In this paper, we rebut the case that Ashcroft, Christie and Swales (2006) make in favour of the status quo fiscal settlement in Scotland that stems from the Scotland Act 1998. This Act in creating the Scottish Parliament and Executive effectively separated public spending by the Scottish government from the need to raise taxes to finance it; rather, financing comes from Westminster through the Barnett formula. We do not think that these arrangements provide a stable political solution in the UK, as is evidenced by the so-called West Lothian question - a matter that may be becoming of greater concern in England than hitherto. Scotland, therefore, should be forewarned that even if it does not move from the status quo, movement might anyway be forced on it.

Vortex Dynamics in Anisotropic Traps

We investigate the dynamics of linear vortex lattices in anisotropic traps in two-dimensions and show that the interplay between the rotation and the anisotropy leads to a rich but highly regular dynamics.Comment: 6 pages, 6 figure

Quantum-enhanced gyroscopy with rotating anisotropic Bose–Einstein condensates

High-precision gyroscopes are a key component of inertial navigation systems. By considering matter wave gyroscopes that make use of entanglement it should be possible to gain some advantages in terms of sensitivity, size, and resources used over unentangled optical systems. In this paper we consider the details of such a quantum-enhanced atom interferometry scheme based on atoms trapped in a carefully-chosen rotating trap. We consider all the steps: entanglement generation, phase imprinting, and read-out of the signal and show that quantum enhancement should be possible in principle. While the improvement in performance over equivalent unentangled schemes is small, our feasibility study opens the door to further developments and improvements

Target Zones in History and Theory: Lessons from an Austro-Hungarian Experiment (1896-1914)

The first known experiment with an exchange rate band took place in Austria- Hungary between 1896 and 1914. The rationale for introducing this policy rested on precisely those intuitions that the modern literature has emphasized: the band was designed to secure both exchange rate stability and monetary policy autonomy. However, unlike more recent experiences, such as the ERM, this policy was not undermined by credibility problems. The episode provides an ideal testing ground for some important ideas in modern macroeconomics: specifically, can formal rules, when faithfully adhered to, provide policy makers with some advantages such as short term autonomy? First, we find that a credible band has a "microeconomic" influence on exchange rate stability. By reducing uncertainty, a credible fluctuation band improves the quality of expectations, a channel that has been neglected in the modern literature. Second, we show that the standard test of the basic target zone model is flawed and develop an alternative methodology. We believe that these findings shed a new light on the economics of exchange rate bands

Macroscopic superposition states of ultracold bosons in a double-well potential

We present a thorough description of the physical regimes for ultracold bosons in double wells, with special attention paid to macroscopic superpositions (MSs). We use a generalization of the Lipkin-Meshkov-Glick Hamiltonian of up to eight single particle modes to study these MSs, solving the Hamiltonian with a combination of numerical exact diagonalization and high-order perturbation theory. The MS is between left and right potential wells; the extreme case with all atoms simultaneously located in both wells and in only two modes is the famous NOON state, but our approach encompasses much more general MSs. Use of more single particle modes brings dimensionality into the problem, allows us to set hard limits on the use of the original two-mode LMG model commonly treated in the literature, and also introduces a new mixed Josephson-Fock regime. Higher modes introduce angular degrees of freedom and MS states with different angular properties.Comment: 15 pages, 8 figures, 1 table. Mini-review prepared for the special issue of Frontiers of Physics "Recent Progresses on Quantum Dynamics of Ultracold Atoms and Future Quantum Technologies", edited by Profs. Lee, Ueda, and Drummon

Assessing relative spending needs of devolved government: the case of healthcare spending in the UK

The system used to allocate resources to the UK's devolved territories, known as the Barnett formula, takes no account of the relative expenditure needs of the territories. In this paper we investigate the prospects of developing a needs based model for allocating healthcare resources to Scotland, Wales and Northern Ireland. We compare the method used by the National Health Service in England to allocate resources geographically within England with the method used by the NHS in Scotland to allocate resources to territorial Health Boards. By applying both approaches to the UK's devolved territories, we are able to examine similarities and differences in the two methods, and explore implications for an assessment of the relative healthcare expenditure need of each territory. The implications for the way in which revenue is distributed to Wales, Scotland and Northern Ireland are discussed

‘Sub-Prime’ Water, Low-Security Entitlements and Policy Challenges in Over-Allocated River Basins: the Case of the Murray–Darling Basin

Environmental policy is often implemented using market instruments. In some cases, including carbon taxing, the links between financial products and the environmental objectives, are transparent. In other cases, including water markets, the links are less transparent. In Australia’s Murray–Darling Basin (MDB), financial water products are known as ‘entitlements’, and are similar to traditional financial products, such as shares. The Australian water market includes ‘Low Security’ entitlements, which are similar to ‘sub-prime’ mortgage bonds because they are unlikely to yield an amount equal to their financial worth. Nearly half the water purchased under the Murray–Darling Basin Plan for environmental purposes is ‘Low Security’. We suggest that the current portfolio of water held by the Australian Government for environmental purposes reflects the mortgage market in the lead-up to the global financial crisis. Banks assumed that the future value of the mortgage market would reflect past trends. Similarly, it is assumed that the future value of water products will reflect past trends, without considering climate change. Historic records of allocations to ‘Low Security’ entitlements in the MDB suggest that, in the context of climate change, the Basin Plan water portfolio may fall short of the target annual average yield of 2075 GL by 511 GL. We recommend adopting finance sector methods including ‘hedging’ ‘Low Security’ entitlements by purchasing an additional 322–2755 GL of ‘Low Security’, or 160–511 GL of ‘High Security’ entitlements. Securing reliable environmental water is a global problem. Finance economics present opportunities for increasing the reliability of environmental flows

Changing relationships between multinational companies and their host regions? A case study of Aberdeen and the international oil industry

There has been a revival of interest in recent years in the relationships between multinational corporations (hereafter MNCs) and the host regions in which they operate. The branch plant thesis which generally views inward investment by MNCs in a negative light - as reinforcing power relations between core and peripheral regions - has been challenged, with the suggestion that such developments can play a key role in linking up local economies to important flows of knowledge and information in a global economy. It has also been suggested that MNC branch plant activities are in practice often upgraded over time, leading to the development of important competitive advantage's for host regions. In this paper, such claims are investigated through a case study of the Aberdeen oil region in the north east of Scotland. The changing position of Aberdeen within the oil industry's corporate division of labour is evaluated in terms of the wider theoretical debate