How Useful are Regime-Switching Models in Banking Crises Identification?

We employ a regime-switching approach to the identification of banking crises. This approach reduces the arbitrariness in crisis identification by endogenizing the choices of crisis threshold and crisis duration. Using a sample of 47 countries, we show that this approach also subject to several same problems as the common procedures. The method is sample-dependent, tends to invent much more crises, and is less robust to different model specifications. We conclude that a bind application of regime switching model to crisis identification is questionableMarkov-switching model, choice of crisis threshold, banking crises identification

Money market pressure and the determinants of baning crises

Identifying banking crises is the first step in the research on determinants of banking crises. The prevailing practice is to employ market events to identify a banking crisis. Researchers justify the usage of this method on the grounds that either direct and reliable indicators of banks’ assets quality are not available, or that withdrawals of bank deposits are no longer a part of financial crises in a modern financial system with deposits insurance. Meanwhile, most researchers also admit that there are inherent inconsistency and arbitrariness associated with the events method. This paper develops an index of money market pressure to identify banking crises. We define banking crises as periods in which there is excessive demand for liquidity in the money market. We begin with the theoretical foundation of this new method and show that it is desirable, and also possible, to depend on a more objective index of money market pressure rather than market events to identify banking crises. This approach allows one to employ high frequency data in regression, and avoid the ambiguity problem in interpreting the direction of causality that most banking literature suffers. Comparing the crises dates with existing research indicates that the new method is able to identify banking crises more accurately than the events method. The two components of the index, changes in central bank funds to bank deposits ratio and changes in short-term real interest rate, are equally important in the identification of banking crises. Bank deposits, combined with central bank funds, provide valuable information on banking distress. With the newly defined crisis episodes, we examine the determinants of banking crises using data complied from 47 countries. We estimate conditional logit models that include macroeconomic, financial, and institutional variables in the explanatory variables. The results display similarities to and differences with existing research. We find that slowdown of real GDP, lower real interest rates, extremely high inflation, large fiscal deficits, and over-valued exchange rates tend to precede banking crises. The effects of monetary base growth on the probability of banking crises are negligible. --

A Monolithically Fabricated Combinatorial Mixer for Microchip-Based High-Throughput Cell Culturing Assays

We present an integrated method to fabricate 3- D microfluidic networks and fabricated the first on-chip cell culture device with an integrated combinatorial mixer. The combinatorial mixer is designed for screening the combinatorial effects of different compounds on cells. The monolithic fabrication method with parylene C as the basic structural material allows us to avoid wafer bonding and achieves precise alignment between microfluidic channels. As a proof-of-concept, we fabricated a device with a three-input combinatorial mixer and demonstrated that the mixer can produce all the possible combinations. Also, we demonstrated the ability to culture cells on-chip and performed a simple cell assay on-chip using trypan blue to stain dead cells

E1E_1-degeneration and d′d′′d'd''-lemma

For a double complex $(A, d', d'')$, we show that if it satisfies the $d'd''$-lemma and the spectral sequence $\{E^{p, q}_r\}$ induced by $A$ does not degenerate at $E_0$, then it degenerates at $E_1$. We apply this result to prove the degeneration at $E_1$ of a Hodge-de Rham spectral sequence on compact bi-generalized Hermitian manifolds that satisfy a version of $d'd''$-lemma

A Density-Based General Greedy Channel Routing Algorithm in VLSI Design Automation.

One of the most important forms of routing strategies is called channel routing . This approach allows us to reduce the extremely difficult VLSI layout problem to a collection of simpler subproblems. For channel routing problems, most frequently mentioned heuristic algorithms use parameters derived from experiments to approach the routing solution without carefully considering the effect of each selected wire segment to the final routing solution. In this dissertation, we propose a new channel routing algorithm in the two-layer restricted-Manhattan routing model (2-RM) in detail. There are three phases involved in developing the new routing algorithm. In the first phase, we distinguish one type of wire from the others using some optimality criteria, which makes the selection of a set of best horizontal wire segments for a track more effective so that good performance of the generated routing solutions can be achieved. In the second phase, we develop a theoretical framework related to two major data structures, column density and vertical constraint graph, which effectively improves search efficiency and routing performance. Finally in the third phase, we develop an efficient powerful heuristic channel routing algorithm based on the concepts shown in phase one and the theoretical framework proposed in phase two. We highlight the application of our algorithm to the channel routing problems in the three-layer restricted-Manhattan overlap (3-RM-O) and three-layer Manhattan overlay (3-M-O) routing models. On many tests we have conducted on the examples known in the literature, our algorithm has performed as well or better than the existing algorithms in both 2-RM and 3-M-O routing models. Our experiments show that our approach has the potential to outperform other algorithms in other routing models