The determinants of intrafirm trade: Evidence from French firms

How well does the theory of the firm explain the choice between intrafirm and arms' length trade? This paper uses firm-level import data from France to look into this question. We find support for three key predictions of property-rights theories of the multinational firm. Intrafirm imports are more likely: (i) in capital- and skill-intensive firms; (ii) in highly productive firms; (iii) from countries with well-functioning judicial institutions. We further bridge previous aggregate findings with our investigation by decomposing intrafirm imports into an extensive and intensive margin. Doing so we uncover interesting patterns in the data that require further theoretical investigation.intrafirm trade; outsourcing; firm heterogeneity; incomplete contracts; internationalization strategies; quality of institutions, extensive margin, intensive margin.

Targeting neuroendocrine abnormalities in Parkinson’s disease with exercise

Parkinson’s Disease (PD) is a prevalent and complex age-related neurodegenerative condition for which there are no disease-modifying treatments currently available. The pathophysiological process underlying PD remains incompletely understood but increasing evidence points to multiple system dysfunction. Interestingly, the past decade has produced evidence that exercise not only reduces signs and symptoms of PD but is also potentially neuroprotective. Characterizing the mechanistic pathways that are triggered by exercise and lead to positive outcomes will improve understanding of how to counter disease progression and symptomatology. In this review, we highlight how exercise regulates the neuroendocrine system, whose primary role is to respond to stress, maintain homeostasis and improve resilience to aging. We focus on a group of hormones – cortisol, melatonin, insulin, klotho, and vitamin D – that have been shown to associate with various non-motor symptoms of PD, such as mood, cognition, and sleep/circadian rhythm disorder. These hormones may represent important biomarkers to track in clinical trials evaluating effects of exercise in PD with the aim of providing evidence that patients can exert some behavioral-induced control over their disease

The uses of coherent structure (Dryden Lecture)

The concept of coherent structure in turbulent flow is a revolutionary idea which is being developed by evolutionary means. The main objective of this review is to list some solid achievements, showing what can be done by using the concept of coherent structure that cannot be done without it. The nature of structure is described in terms of some related concepts, including celerity, topology, and the phenomenon of coalescence and splitting of structure. The main emphasis is on the mixing layer, as the one flow whose structure is well enough understood so that technical applications are now being made in problems of mixing and chemistry. An attempt is made to identify some conceptual and experimental obstacles that stand in the way of progress in other technically important flows, particularly the turbulent boundary layer. A few comments are included about the role of structure in numerical simulations and in current work on manipulation and control of turbulent flow. Some recent developments are cited which suggest that the time is nearly right for corresponding advances to occur in turbulence modeling

Critical Market Crashes

This review is a partial synthesis of the book ``Why stock market crash'' (Princeton University Press, January 2003), which presents a general theory of financial crashes and of stock market instabilities that his co-workers and the author have developed over the past seven years. The study of the frequency distribution of drawdowns, or runs of successive losses shows that large financial crashes are ``outliers'': they form a class of their own as can be seen from their statistical signatures. If large financial crashes are ``outliers'', they are special and thus require a special explanation, a specific model, a theory of their own. In addition, their special properties may perhaps be used for their prediction. The main mechanisms leading to positive feedbacks, i.e., self-reinforcement, such as imitative behavior and herding between investors are reviewed with many references provided to the relevant literature outside the confine of Physics. Positive feedbacks provide the fuel for the development of speculative bubbles, preparing the instability for a major crash. We demonstrate several detailed mathematical models of speculative bubbles and crashes. The most important message is the discovery of robust and universal signatures of the approach to crashes. These precursory patterns have been documented for essentially all crashes on developed as well as emergent stock markets, on currency markets, on company stocks, and so on. The concept of an ``anti-bubble'' is also summarized, with two forward predictions on the Japanese stock market starting in 1999 and on the USA stock market still running. We conclude by presenting our view of the organization of financial markets.Comment: Latex 89 pages and 38 figures, in press in Physics Report

Kelvin-Helmholtz instability in the presence of variable viscosity for mudflow resuspension in estuaries

The temporal stability of a parallel shear flow of miscible fluid layers of dif- ferent density and viscosity is investigated through a linear stability analysis and direct numerical simulations. The geometry and rheology of this Newto- nian fluid mixing can be viewed as a simplified model of the behavior of mud- flow at the bottom of estuaries for suspension studies. In this study, focus is on the stability and transition to turbulence of an initially laminar configuration. A parametric analysis is performed by varying the values of three control pa- rameters, namely the viscosity ratio, the Richardson and Reynolds numbers, in the case of initially identical thickness of the velocity, density and viscosity profiles. The range of parameters has been chosen so as to mimic a wide variety of real configurations. This study shows that the Kelvin-Helmholtz instability is controlled by the local Reynolds and Richardson numbers of the inflection point. In addition, at moderate Reynolds number, viscosity strat- ification has a strong influence on the onset of instability, the latter being enhanced at high viscosity ratio, while at high Reynolds number, the influ- ence is less pronounced. In all cases, we show that the thickness of the mixing layer (and thus resuspension) is increased by high viscosity stratification, in particular during the non-linear development of the instability and especially pairing processes. This study suggests that mud viscosity has to be taken into account for resuspension parameterizations because of its impact on the inflec- tion point Reynolds number and the viscosity ratio, which are key parameters for shear instabilities

Cross-taxon congruence between predatory arthropods and plants across Mediterranean agricultural landscapes

Although arthropods are among the most diverse, abundant and ecologically important animals in terrestrial ecosystems, they are generally neglected in most biodiversity inventories due to their complex systematics and overwhelming diversity, coupled with the current decline in the number of taxonomists. For this reason, several surrogate groups for arthropod diversity have been proposed, with plants being identified as a good putative cross-taxon indicator. By sampling plants and three groups of ground-dwelling arthropods (rove beetles, ground beetles and spiders) in 300 sites across 15 landscapes including multiple semi-natural and agricultural habitats, we tested for habitat-dependence and scale-dependence in the cross-taxon congruence. Plant species richness was a poor predictor of the species richness of predatory arthropods. Among the predator groups, ground beetles appeared as the best potential surrogate for the other ground-dwelling predators. This is backed by the fact that ground beetles were extremely diverse and abundant in all habitats and are usually easier to identify than both rove beetles and spiders. Decreasing the scale at which the cross-taxon congruence was tested improved the strength of the cross-taxon congruence. Although plant species richness was not a suitable indicator for the diversity of predatory arthropods, vegetation structure played a significant role in influencing cross-taxon congruence in both natural and agricultural habitats. Our results highlight the need to explore the cross-taxon relationships at a fine habitat resolution scale, as strong correlations were obtained only by taking into account habitat identity