S Corp ESOP Legislation Benefits and Costs: Public Policy and Tax Analysis

Samuel Zell’s acquisition of the Tribune Company in December 2007 using an S corporation employee stock ownership plan (S ESOP) brought S ESOPs to national attention. An S ESOP is a trust that holds shares of an S corporation (a closely held corporation whose shareholders are taxed on a pass-through basis similarly to partners in a partnership) for the benefit of the corporation’s employees. S ESOPs, which have only existed since 1998 are not as well known as C ESOPs, an ESOP that holds shares of a C corporation (a separately taxed corporation). Enron, Polaroid and United Airlines, all of which had ESOPs when they went bankrupt, were C corporations. Perhaps because they have only existed for ten years, little academic attention has focused on S ESOPs. In this paper we draw on the extensive existing employee ownership literature to describe the benefits and costs to employees, to firms and to society at large from the legislation that authorizes S ESOPs, and, where possible, we quantify these costs and benefits. We estimate that annual contributions to S ESOPs on behalf of employees total $14 billion, which represent additional compensation that would not have been paid without an ESOP. Annual gains attributable to increased job stability also save employees approximately$3 billion annually. Accumulated stakes, which are essentially forced savings and usually do not displace other savings, lead to additional annual accruals of $34 billion. Employers pay for ESOP contributions out of firm-level productivity and sales gains of$33 billion annually attributable to employee ownership. We estimate that one quarter of the annual gain, $8 billion ultimately goes to the federal treasury, which thereby also benefits from the adoption of S ESOPs

Wiskott-Aldrich Syndrome (WAS) and Dedicator of Cytokinesis 8- (DOCK8) Deficiency

Both Wiskott-Aldrich syndrome (WAS) and dedicator of cytokinesis 8 (DOCK8) deficiency are primary immunodeficiency diseases caused by mutations in genes that result in defective organization of the cytoskeleton in hematopoietic tissues. They share some overlapping features such as a combined immunodeficiency, eczema and a predisposition to autoimmunity and malignancy, but also have some unique features that make them relatively easy to diagnose by clinical means. Both diseases can be cured by HSCT in a large proportion of patients. In WAS it is sometimes difficult to establish an indication for HSCT due to the large variability of disease severity, while HSCT is probably indicated in all patients affected by DOCK8 deficiency. There is considerably more published HSCT experience for WAS than for DOCK8 deficiency, but many open questions remain, which will be discussed in this review

Diverse Structural Evolution at z > 1 in Cosmologically Simulated Galaxies

From mock Hubble Space Telescope images, we quantify non-parametric statistics of galaxy morphology, thereby predicting the emergence of relationships among stellar mass, star formation, and observed rest-frame optical structure at 1 < z < 3. We measure automated diagnostics of galaxy morphology in cosmological simulations of the formation of 22 central galaxies with 9.3 < log10 M_*/M_sun < 10.7. These high-spatial-resolution zoom-in calculations enable accurate modeling of the rest-frame UV and optical morphology. Even with small numbers of galaxies, we find that structural evolution is neither universal nor monotonic: galaxy interactions can trigger either bulge or disc formation, and optically bulge-dominated galaxies at this mass may not remain so forever. Simulated galaxies with M_* > 10^10 M_sun contain relatively more disc-dominated light profiles than those with lower mass, reflecting significant disc brightening in some haloes at 1 < z < 2. By this epoch, simulated galaxies with specific star formation rates below 10^-9.7 yr^-1 are more likely than normal star-formers to have a broader mix of structural types, especially at M_* > 10^10 M_sun. We analyze a cosmological major merger at z ~ 1.5 and find that the newly proposed MID morphology diagnostics trace later merger stages while G-M20 trace earlier ones. MID is sensitive also to clumpy star-forming discs. The observability time of typical MID-enhanced events in our simulation sample is less than 100 Myr. A larger sample of cosmological assembly histories may be required to calibrate such diagnostics in the face of their sensitivity to viewing angle, segmentation algorithm, and various phenomena such as clumpy star formation and minor mergers.Comment: 23 pages, 16 figures, MNRAS accepted versio

Modularity and community detection in bipartite networks

The modularity of a network quantifies the extent, relative to a null model network, to which vertices cluster into community groups. We define a null model appropriate for bipartite networks, and use it to define a bipartite modularity. The bipartite modularity is presented in terms of a modularity matrix B; some key properties of the eigenspectrum of B are identified and used to describe an algorithm for identifying modules in bipartite networks. The algorithm is based on the idea that the modules in the two parts of the network are dependent, with each part mutually being used to induce the vertices for the other part into the modules. We apply the algorithm to real-world network data, showing that the algorithm successfully identifies the modular structure of bipartite networks.Comment: RevTex 4, 11 pages, 3 figures, 1 table; modest extensions to conten

Observing---and Imaging---Active Galactic Nuclei with the Event Horizon Telescope

Originally developed to image the shadow region of the central black hole in Sagittarius A* and in the nearby galaxy M87, the Event Horizon Telescope (EHT) provides deep, very high angular resolution data on other AGN sources too. The challenges of working with EHT data have spurred the development of new image reconstruction algorithms. This work briefly reviews the status of the EHT and its utility for observing AGN sources, with emphasis on novel imaging techniques that offer the promise of better reconstructions at 1.3 mm and other wavelengths.Comment: 10 pages, proceedings contribution for Blazars through Sharp Multi-Wavelength Eyes, submitted to Galaxie

Ethanol Induced Disordering of Pancreatic Acinar Cell Endoplasmic Reticulum: An ER Stress/Defective Unfolded Protein Response Model.

Background &amp; aimsHeavy alcohol drinking is associated with pancreatitis, whereas moderate intake lowers the risk. Mice fed ethanol long term show no pancreas damage unless adaptive/protective responses mediating proteostasis are disrupted. Pancreatic acini synthesize digestive enzymes (largely serine hydrolases) in the endoplasmic reticulum (ER), where perturbations (eg, alcohol consumption) activate adaptive unfolded protein responses orchestrated by spliced X-box binding protein 1 (XBP1). Here, we examined ethanol-induced early structural changes in pancreatic ER proteins.MethodsWild-type and Xbp1+/- mice were fed control and ethanol diets, then tissues were homogenized and fractionated. ER proteins were labeled with a cysteine-reactive probe, isotope-coded affinity tag to obtain a novel pancreatic redox ER proteome. Specific labeling of active serine hydrolases in ER with fluorophosphonate desthiobiotin also was characterized proteomically. Protein structural perturbation by redox changes was evaluated further in molecular dynamic simulations.ResultsEthanol feeding and Xbp1 genetic inhibition altered ER redox balance and destabilized key proteins. Proteomic data and molecular dynamic simulations of Carboxyl ester lipase (Cel), a unique serine hydrolase active within ER, showed an uncoupled disulfide bond involving Cel Cys266, Cel dimerization, ER retention, and complex formation in ethanol-fed, XBP1-deficient mice.ConclusionsResults documented in ethanol-fed mice lacking sufficient spliced XBP1 illustrate consequences of ER stress extended by preventing unfolded protein response from fully restoring pancreatic acinar cell proteostasis during ethanol-induced redox challenge. In this model, orderly protein folding and transport to the secretory pathway were disrupted, and abundant molecules including Cel with perturbed structures were retained in ER, promoting ER stress-related pancreas pathology

Beyond Spheroids and Discs: Classifications of CANDELS Galaxy Structure at 1.4 < z < 2 via Principal Component Analysis

Important but rare and subtle processes driving galaxy morphology and star-formation may be missed by traditional spiral, elliptical, irregular or S\'ersic bulge/disk classifications. To overcome this limitation, we use a principal component analysis of non-parametric morphological indicators (concentration, asymmetry, Gini coefficient, $M_{20}$, multi-mode, intensity and deviation) measured at rest-frame $B$-band (corresponding to HST/WFC3 F125W at 1.4 $10^{10} M_{\odot}$) galaxy morphologies. Principal component analysis (PCA) quantifies the correlations between these morphological indicators and determines the relative importance of each. The first three principal components (PCs) capture $\sim$75 per cent of the variance inherent to our sample. We interpret the first principal component (PC) as bulge strength, the second PC as dominated by concentration and the third PC as dominated by asymmetry. Both PC1 and PC2 correlate with the visual appearance of a central bulge and predict galaxy quiescence. PC1 is a better predictor of quenching than stellar mass, as as good as other structural indicators (S\'ersic-n or compactness). We divide the PCA results into groups using an agglomerative hierarchical clustering method. Unlike S\'ersic, this classification scheme separates compact galaxies from larger, smooth proto-elliptical systems, and star-forming disk-dominated clumpy galaxies from star-forming bulge-dominated asymmetric galaxies. Distinguishing between these galaxy structural types in a quantitative manner is an important step towards understanding the connections between morphology, galaxy assembly and star-formation.Comment: 31 pages, 24 figures, accepted for publication in MNRA

The HIPASS Catalogue - II. Completeness, Reliability, and Parameter Accuracy

The HI Parkes All Sky Survey (HIPASS) is a blind extragalactic HI 21-cm emission line survey covering the whole southern sky from declination -90 to +25. The HIPASS catalogue (HICAT), containing 4315 HI-selected galaxies from the region south of declination +2, is presented in Meyer et al. (2004a, Paper I). This paper describes in detail the completeness and reliability of HICAT, which are calculated from the recovery rate of synthetic sources and follow-up observations, respectively. HICAT is found to be 99 per cent complete at a peak flux of 84 mJy and an integrated flux of 9.4 Jy km/s. The overall reliability is 95 per cent, but rises to 99 per cent for sources with peak fluxes >58 mJy or integrated flux > 8.2 Jy km/s. Expressions are derived for the uncertainties on the most important HICAT parameters: peak flux, integrated flux, velocity width, and recessional velocity. The errors on HICAT parameters are dominated by the noise in the HIPASS data, rather than by the parametrization procedure.Comment: Accepted for publication in MNRAS. 12 pages, 11 figures. Paper with higher resolution figures can be downloaded from http://hipass.aus-vo.or