When bigger isn’t better : bailouts and bank behaviour

Lending retail deposits to SMEs and household borrowers may be the traditional role of commercial banks: but banking in Britain has been transformed by increasing consolidation and by the lure of high returns available from wholesale Investment activities. With appropriate changes to the baseline model of commercial banking in Allen and Gale (2007), we show how market power enables banks to collect „seigniorage‟; and how „tail risk‟ investment allows losses to be shifted onto the taxpayer. In principle, the high franchise values associated with market power assist regulatory capital requirements to check risk-taking. But when big banks act strategically, bailout expectations can undermine these disciplining devices: and the taxpayer ends up „on the hook‟- as in the recent crisis. That structural change is needed to prevent a repeat seems clear from the Vickers report, which proposes to protect the taxpayer by a „ring fence‟separating commercial and investment banking

When bigger isn’t better: bailouts and bank behaviour

Lending retail deposits to SMEs and household borrowers may be the traditional role of commercial banks: but banking in Britain has been transformed by increasing consolidation and by the lure of high returns available from wholesale Investment activities. With appropriate changes to the baseline model of commercial banking in Allen and Gale (2007), we show how market power enables banks to collect „seigniorage?; and how „tail risk? investment allows losses to be shifted onto the taxpayer. In principle, the high franchise values associated with market power assist regulatory capital requirements to check risk-taking. But when big banks act strategically, bailout expectations can undermine these disciplining devices: and the taxpayer ends up „on the hook?- as in the recent crisis. That structural change is needed to prevent a repeat seems clear from the Vickers report, which proposes to protect the taxpayer by a „ring fence?separating commercial and investment banking.Money and banking, Seigniorage, Risk-taking, Bailouts, Regulation

CeNiAsO: an antiferromagnetic dense Kondo lattice

A cerium containing pnictide, CeNiAsO, crystallized in the ZrCuSiAs type structure, has been investigated by measuring transport and magnetic properties, as well as specific heat. We found that CeNiAsO is an antiferromagnetic dense Kondo lattice metallic compound with Kondo scale $T_K \sim$ 15 K and shows an enhanced Sommerfeld coefficient of $\gamma_0 \sim$ 203 mJ/mol$\cdot$K$^{2}$. While no superconductivity can been observed down to 30 mK, Ce ions exhibit two successive antiferromagnetic (AFM) transitions. We propose that the magnetic moment of Ce ion could align in the G type AFM order below the first transition at $T_{N1}$=9.3 K, and it might be modified into the C type AFM order below a lower transition at $T_{N2}$=7.3 K. Our results indicate that the 3$d-4f$ interlayer Kondo interactions play an important role in Ni-based Ce-containing pnictide.Comment: 13 pages, 5 figures, to appear in J. Phys.: Condens. Matte

Iterated residue, toric forms and Witten genus

We introduce the notion of {\em iterated residue} to study generalized Bott manifolds. When applying the iterated residues to compute the Borisov-Gunnells toric form and the Witten genus of certain toric varieties as well as complete intersections, we obtain interesting vanishing results and some theta function identities, one of which is a twisted version of a classical Rogers-Ramanujan type formula.Comment: 19 page

Modularity-based credible prediction of disease genes and detection of disease subtypes on the phenotype-gene heterogeneous network

<p>Abstract</p> <p>Background</p> <p>Protein-protein interaction networks and phenotype similarity information have been synthesized together to discover novel disease-causing genes. Genetic or phenotypic similarities are manifested as certain modularity properties in a phenotype-gene heterogeneous network consisting of the phenotype-phenotype similarity network, protein-protein interaction network and gene-disease association network. However, the quantitative analysis of modularity in the heterogeneous network and its influence on disease-gene discovery are still unaddressed. Furthermore, the genetic correspondence of the disease subtypes can be identified by marking the genes and phenotypes in the phenotype-gene network. We present a novel network inference method to measure the network modularity, and in particular to suggest the subtypes of diseases based on the heterogeneous network.</p> <p>Results</p> <p>Based on a measure which is introduced to evaluate the closeness between two nodes in the phenotype-gene heterogeneous network, we developed a Hitting-Time-based method, CIPHER-HIT, for assessing the modularity of disease gene predictions and credibly prioritizing disease-causing genes, and then identifying the genetic modules corresponding to potential subtypes of the queried phenotype. The CIPHER-HIT is free to rely on any preset parameters. We found that when taking into account the modularity levels, the CIPHER-HIT method can significantly improve the performance of disease gene predictions, which demonstrates modularity is one of the key features for credible inference of disease genes on the phenotype-gene heterogeneous network. By applying the CIPHER-HIT to the subtype analysis of Breast cancer, we found that the prioritized genes can be divided into two sub-modules, one contains the members of the Fanconi anemia gene family, and the other contains a reported protein complex MRE11/RAD50/NBN.</p> <p>Conclusions</p> <p>The phenotype-gene heterogeneous network contains abundant information for not only disease genes discovery but also disease subtypes detection. The CIPHER-HIT method presented here is effective for network inference, particularly on credible prediction of disease genes and the subtype analysis of diseases, for example Breast cancer. This method provides a promising way to analyze heterogeneous biological networks, both globally and locally.</p

First-Principles Investigation of Anistropic Hole Mobilities in Organic Semiconductors

We report a simple first-principles-based simulation model (combining quantum mechanics with Marcus−Hush theory) that provides the quantitative structural relationships between angular resolution anisotropic hole mobility and molecular structures and packing. We validate that this model correctly predicts the anisotropic hole mobilities of ruberene, pentacene, tetracene, 5,11-dichlorotetracene (DCT), and hexathiapentacene (HTP), leading to results in good agreement with experiment