Quantitative relations between corruption and economic factors

We report quantitative relations between corruption level and economic factors, such as country wealth and foreign investment per capita, which are characterized by a power law spanning multiple scales of wealth and investments per capita. These relations hold for diverse countries, and also remain stable over different time periods. We also observe a negative correlation between level of corruption and long-term economic growth. We find similar results for two independent indices of corruption, suggesting that the relation between corruption and wealth does not depend on the specific measure of corruption. The functional relations we report have implications when assessing the relative level of corruption for two countries with comparable wealth, and for quantifying the impact of corruption on economic growth and foreign investments.Comment: 10 pages, 9 figure

Radical Financial Innovation

Radical financial innovation is the development of new institutions and methods that permit risk management to be extended far beyond its former realm, covering important new classes of risks. This paper compares past such innovation with potential future innovation, looking at the process that produced past success and the possibilities for future financial innovation.Risk management, Institutions, Incomplete markets, Livelihood insurance, Behavioral finance, Livelihood risks, Home equity insurance, Country risks

Distance-two labelings of digraphs

For positive integers $j\ge k$, an $L(j,k)$-labeling of a digraph $D$ is a function $f$ from $V(D)$ into the set of nonnegative integers such that $|f(x)-f(y)|\ge j$ if $x$ is adjacent to $y$ in $D$ and $|f(x)-f(y)|\ge k$ if $x$ is of distant two to $y$ in $D$. Elements of the image of $f$ are called labels. The $L(j,k)$-labeling problem is to determine the $\vec{\lambda}_{j,k}$-number $\vec{\lambda}_{j,k}(D)$ of a digraph $D$, which is the minimum of the maximum label used in an $L(j,k)$-labeling of $D$. This paper studies $\vec{\lambda}_{j,k}$- numbers of digraphs. In particular, we determine $\vec{\lambda}_{j,k}$- numbers of digraphs whose longest dipath is of length at most 2, and $\vec{\lambda}_{j,k}$-numbers of ditrees having dipaths of length 4. We also give bounds for $\vec{\lambda}_{j,k}$-numbers of bipartite digraphs whose longest dipath is of length 3. Finally, we present a linear-time algorithm for determining $\vec{\lambda}_{j,1}$-numbers of ditrees whose longest dipath is of length 3.Comment: 12 pages; presented in SIAM Coference on Discrete Mathematics, June 13-16, 2004, Loews Vanderbilt Plaza Hotel, Nashville, TN, US

Heavy-Quarkonia in the Star Experiment

Heavy Quarkonium states modifications in relativistic heavy ion collisions have been of great interest since the proposal by Matsui and Satz of J/psi suppression as a signature of Quark-Gluon Plasma (QGP) formation. Recent studies suggest that the excited states chi_c, psi(2S) and Upsilon(3S) melt sequentially[1,2] and the amount of observed suppression depends on the state and medium conditions. Therefore, this suppression pattern may be used as a probe of the medium temperature. In this work we present preliminary results on the charmonium and bottomnium measurements performed by the STAR experiment at RHIC for p+p and Cu+Cu collisions at sqrt(s_{NN})=200GeVComment: Proceedings of X Hadron Physics, submitted to Int. Journal of Mod. Phys.

Quarkonia Measurements with STAR

We report results on quarkonium production from the STAR experiment at the Relativistic Heavy-Ion Collider (RHIC). J/psi spectra in p+p and Cu+Cu collisions at sqrt(s) = 200 GeV with transverse momenta in the range of 0.5-14 GeV/c and 5-8 GeV/c, respectively, are presented. We find that for p_T > 5 GeV/c yields in p+p collisions are consistent with those in minimum-bias Cu+Cu collisions scaled with the respective number of binary nucleon-nucleon collisions. In this range the nuclear modification factor, R_AA, is measured to be 0.9+-0.2(stat). For the first time at RHIC, high-p_T J/psi-hadron correlations were studied in p+p collisions. Implications from our measurements on J/psi production mechanisms, constraints on open bottom yields, and J/psi dissociation mechanisms at high-p_T are discussed. In addition, we give a brief status of measurements of Upsilon production in p+p and Au+Au collisions and present projections of future quarkonia measurements based on an upgrades to the STAR detector and increased luminosity achieved through stochastic cooling of RHIC.Comment: 5 pages, 5 figures. Prepared for 3rd International Conference on Hard and Electromagnetic Probes of High-Energy Nuclear Collisions (Hard Probes 2008), A Toxa, Spain, June 8-14, 200

The Case for Trills: Giving the People and Their Pension Funds a Stake in the Wealth of the Nation

We make the case for the U.S. government to issue a new security with a coupon tied to the United States’ current dollar GDP. This security might pay, for example, a coupon of one-trillionth of the GDP, and we propose the name "Trill" be used to refer to this new security. This new debt instrument should be of great interest to the Government for its stabilizing influence on the budget (as coupon payments fall in a recession with declining tax revenues) and for its yield, based on our valuation. Standard asset pricing analysis also suggests that Trills would enable important new portfolio diversification strategies and, in contrast to available assets that protect relative standards of living in retirement, Trills would have virtually no counterparty risk. We believe there would be a lively appetite for the Trill from institutional investors, public and private pension funds, as well as the individual investor.GDP-linked bonds, Aggregate risk, Income risk, Inflation-indexed bonds, MacroShares, U.S. Treasury, Treasury Inflation Protection Securities (TIPS), Intergenerational risk sharing, International risk sharing, Hedging, Portfolio diversification, Market portfolio