Just a few cents each day: can fixed regular deposits overcome savings constraints?

Empirical evidence suggests that there is a high demand for informal savings mechanisms even though these often feature negative returns - such as deposit collectors, ROSCAs, microloans, and informal borrowing. This paper argues that individuals may face even higher negative returns to saving at home due to hyperbolic discounting and claims on savings by relatives. I outline a model that shows why hyperbolic discounters cannot reach their welfare-maximising level of savings, and why a commitment savings product with fixed period contributions can increase their achievable savings level. Using a novel dataset obtained from a small microfinance institution in Bangladesh, the paper then presents some first empirical evidence on the effects of a commitment savings product with fixed regular instalments. I find that the introduction of the regular saver product was associated with an increase in individuals’ savings contributions of 180 percent after a periods of five months. The paper concludes that the provision of commitment savings products with fixed contributions may reduce savings constraints and increase individuals’ welfare, providing a substitute for costly informal mechanisms. However, since the data originates from a field study with self-selection problems rather than a randomized controlled experiment, further studies are needed to confirm this effect

Flexible Microcredit: Effects on Loan Repayment and Social Pressure

Flexible repayment schedules allow borrowers to invest in profitable yet risky projects, but practitioners fear they erode repayment morale. We study repayment choices in rigid and flexible loan contracts that allow discretion in repayment timing. To separate strategic repayment choices from repayment capacity given income shocks, we conduct a lab-in-the-field experiment with microcredit borrowers in the Philippines. Our design allows us to observe social pressure, which is considered both central to group lending, and excessive in practice. In our rigid benchmark contract, repayment is much higher than predicted under simple payoff maximization. Flexibility reduces high social pressure, but comes at the cost of reduced loan repayment. We present theoretical and empirical evidence consistent with a strong social norm for repayment, which is weakened by the introduction of flexibility. Our results imply that cooperative behavior determined by social norms may erode if the applicability of these norms is not straightforward

The pre-breakup stratigraphy and petroleum system of the Southern Jan Mayen Ridge revealed by seafloor sampling

The authors would like to acknowledge the contribution from the vessel’s crew (captain I. Rasmussen) and operator (Thor Ltd), the two surveyors (K. Høysæth and H.B. Bortne), and two sampling assistants (F. Gausepohl and A.-M. Voelsch). Sverre Planke and Dougal Jerram are partly funded through a Norwegian Research Council Centers of Excellence project (project number 223272, CEED). Adriano Mazzini is funded by the European Research Council under the European Union's Seventh Framework Programme Grant agreement n° 308126 (LUSI LAB project, PI A. Mazzini). TGS and VBPR funded the cruise and allowed the publication of the data and interpretation. Steve Killops from APT refined our interpretation of the biomarker data. The reviewers and the editor are also thanked for their constructive comments. Finally, this article is dedicated to the biostratigrapher Haavard Selnes who sadly passed away in 2015.Peer reviewedPostprin

Large-scale, high-density (up to 512 channels) recording of local circuits in behaving animals

Monitoring representative fractions of neurons from multiple brain circuits in behaving animals is necessary for understanding neuronal computation. Here we describe a system that allows high channel count recordings from a small volume of neuronal tissue using a lightweight signal multiplexing head-stage that permits free behavior of small rodents. The system integrates multi-shank, high-density recording silicon probes, ultra-flexible interconnects and a miniaturized microdrive. These improvements allowed for simultaneous recordings of local field potentials and unit activity from hundreds of sites without confining free movements of the animal. The advantages of large-scale recordings are illustrated by determining the electro-anatomical boundaries of layers and regions in the hippocampus and neocortex and constructing a circuit diagram of functional connections among neurons in real anatomical space. These methods will allow the investigation of circuit operations and behavior-dependent inter-regional interactions for testing hypotheses of neural networks and brain function

Sub-surface geology and velocity structure of the Krafla high temperature geothermal field, Iceland : Integrated ditch cuttings, wireline and zero offset vertical seismic profile analysis

The research leading to these results has received funding from the European Community's Seventh Framework Programme under grant agreement No. 608553 (Project IMAGE). The VMAPP project run by VBPR, DougalEARTH Ltd. and TGS also contributed funding to the borehole characterization of the K-18 borehole. Landsvirkun is acknowledged for their effort and assistance in this work and in particular for allowing the use of the data from well K-18. We further acknowledge the support from the Research Council of Norway through its Centres of Excellence funding scheme, project 22372 (SP and DAJ).Peer reviewedPostprin

Regional distribution of volcanism within the North Atlantic Igneous Province

An overview of the distribution of volcanic facies units was compiled over the North Atlantic region. The new maps establish the pattern of volcanism associated with breakup and the initiation of seafloor spreading over the main part of the North Atlantic Igneous Province (NAIP). The maps include new analysis of the Faroe–Shetlands region that allows for a consistent volcanic facies map to be constructed over the entire eastern margin of the North Atlantic for the first time. A key result is that the various conjugate margin segments show a number of asymmetric patterns that are interpreted to result in part from pre-existing crustal and lithospheric structures. The compilation further shows that while the lateral extent of volcanism extends equally far to the south of the Iceland hot spot as it does to the north, the volume of material emplaced to the south is nearly double of that to the north. This suggests that a possible southward deflection of the Iceland mantle plume is a long-lived phenomenon originating during or shortly after impact of the plume