Two unpublished letters of Robert Louis Stevenson

This article prints and discusses two uncollected letters by Robert Louis Stevenson to the publishing firm of Chatto & Windus, concerning his book Memories and Portraits.

Price discovery of credit spreads in tranquil and crisis periods

In this paper we investigate the price discovery process in single-name credit spreads obtained from bond, credit default swap (CDS), equity and equity option prices. We analyse short term price discovery by modelling daily changes in credit spreads in the four markets with a vector autoregressive model (VAR). We also look at price discovery in the long run with a vector error correction model (VECM). We find that in the short term the option market clearly leads the other markets in the sub-prime crisis (2007-2009). During the less severe sovereign debt crisis (2009-2012) and the pre-crisis period, options are still important but CDSs become more prominent. In the long run, deviations from the equilibrium relationship with the option market still lead to adjustments in the credit spreads observed or implied from other markets. However, options no longer dominate price discovery in any of the periods considered. Our findings have implications for traders, credit risk managers and financial regulators.

Poetry, parables and codes: translating the letters of Indian soldiers

This chapter examines the role of translation in the work of the Indian Mail Censorship Department in France in the First World War, considering the position of the translator as an intermediary figure, and the implications for the military tasks of censorship and intelligence analysis of operating in this way from a foreign language.

Those Essex girls: the lives and letters of Lettice Knollys, Penelope Rich, Dorothy Perrott Percy, and Frances Walsingham

This essay examines the lives and letters of four of the most influential women at the court of Queen Elizabeth I: Lettice Knollys her daughters Penelope Rich and Dorothy Perrott Percy and her daughter-in-law Frances Walsingham, all of whom lived scandalous but powerful lives.

Credit and liquidity components of corporate CDS spreads

This paper investigates the role of credit and liquidity factors in explaining corporate CDS price changes during normal and crisis periods. We find that liquidity risk is more important than firm-specific credit risk regardless of market conditions. Moreover, in the period prior to the recent “Great Recession” credit risk plays no role in explaining CDS price changes. The dominance of liquidity effects casts serious doubts on the relevance of CDS price changes as an indicator of default risk dynamics. Our results show how multiple liquidity factors including firm specific and aggregate liquidity proxies as well as an asymmetric information measure are critical determinants of CDS price variations. In particular, the impact of informed traders on the CDS price increases when markets are characterised by higher uncertainty, which supports concerns of insider trading during the crisis.

Translation of Longus: 'Daphnis and Chloe'

A translation into English of 'Daphnis and Chloe', the ancient Greek novel by Longus.

Beckett's Letters

Review article: The Letters of Samuel Beckett 1929–1940, edited by Martha Dow Fehsenfeld and Lois More Overbeck, Cambridge: Cambridge University Press, 2009, pp. xcix, 782, £30.00. ISBN: 978-0521867931.

Asymmetric information, credit market condition, and entrepreneurial finance

The issue of imperfect information plays a much more important role in financing “informationally opaque” small businesses than in financing large companies.1 This chapter examines the asymmetric information issue in entrepreneurial finance from two perspectives: the effects of relationship lending and the impacts of credit market concentration on entrepreneurial financial behavior. These two perspectives are strongly linked to each other via the asymmetric information issue in entrepreneurial finance. Existing literature has recognized the important role played by relationship lending in alleviating the problem of asymmetric information. However, mixed empirical results have been reported. For example, it has been found that the development of relationship lending can improve the availability of finance for small businesses borrowers (Petersen and Rajan, 1994) and reduce the costs of finance (Berger and Udell, 1995). Meanwhile, with monopoly power, banks may extract rents, in terms of charging higher-than-market interest rates, from small businesscustomers who have very concentrated banking relationships (Ongena and Smith, 2001). In addition, both favorable and unfavorable effects of credit market concentration on financing small businesses have been acknowledged. Small business borrowers may have to pay a higher-than-market price on loans (Degryse and Ongena, 2005) and are more likely to be financially constrained (Cetorelli, 2004) than in competitive markets. On the other hand, empirical studies have shown that market concentration create a strong motive for lenders to invest in private information from small business customers, and therefore a concentrated market is more efficient in terms of private information acquisition (Han et al., 2009b). The objective of this chapter is to investigate, by reviewing existing literature, the role played by relationship lending and the effects of market concentration on financing entrepreneurial businesses that are supposed to be informationally opaque. In the first section we review literature on the important role played by asymmetric information in entrepreneurial finance from two perspectives: asymmetric information and relationship lending, and the theoretical modeling of asymmetric information. Then we examine the relationship between capital market conditions and entrepreneurial finance and attempt to answer two questions: Why is the capital market condition important for entrepreneurial finance? and What are the effects of capital market conditions on entrepreneurial financial behavior in terms of discouraged borrowers, cash holding, and the availability and costs of finance?

Comprendre l'opposition parlementaire: le Parlement de Paris face aux réformes de Silhouette (1759)

The aim of this article is to reconsider the fiscal interpretation of opposition parlementaire to government policy. First, it suggests that the meaning of the remonstrances is blurred by specific constraints which make it very difficult to interpret these texts. Second, it analyses a variety of documents relating to Silhouette’s fiscal projects (1759) and shows that the real objective of the Parlement of Paris, which was never mentioned in its remonstrances, was to finance the Seven Years’ War by issuing paper-money. This reading reveals the influence of the British model of State finance, especially on the critical issue of credit, on both ministers and magistrates. In spite of this common reference, the government and the Parlement of Paris diverged in their reading of the fiscal crisis, and the political culture of the monarchy prevented the formation of a workable consensus.

Piety and sociability in early modern women's devotional writing

The letters of early modern women demonstrate that their experience of religion was essentially social, contrary to the impression created by much modern work on diaries or meditations. The stereotypical melancholic, pious lady is far from the ideal offered by spiritual advisors, women and men, in their correspondence. Letters demonstrate how women created networks of spiritual support within and beyond their families. Letters also testify to the agency exercised by early modern women in religious matters, particularly in their assumption of the role of religious advisor and in their engagement with ecclesiastical politics. While this is far from showing that religion empowered all early modern women, it does offer a corrective to the unduly gloomy view of the role of religion in such women's lives. Letters provide indispensable testimony to the social nature of women's responses to the changing religious culture and politics of the eighteenth century.

Alverata: Latin, Greek and Cyrillic typeface

Alverata: a typeface design for Europe This typeface is a response to the extraordinarily diverse forms of letters of the Latin alphabet in manuscripts and inscriptions in the Romanesque period (c. 1000–1200). While the Romanesque did provide inspiration for architectural lettering in the nineteenth century, these letterforms have not until now been systematically considered and redrawn as a working typeface. The defining characteristic of the Romanesque letterform is variety: within an individual inscription or written text, letters such as A, C, E and G might appear with different forms at each appearance. Some of these forms relate to earlier Roman inscriptional forms and are therefore familiar to us, but others are highly geometric and resemble insular and uncial forms. The research underlying the typeface involved the collection of a large number of references for lettering of this period, from library research and direct on-site ivestigation. This investigation traced the wide dispersal of the Romanesque lettering tradition across the whole of Europe. The variety of letter widths and weights encountered, as well as variant shapes for individual letters, offered both direct models and stylistic inspiration for the characters and for the widths and weight variants of the typeface. The ability of the OpenType format to handle multiple stylistic variants of any one character has been exploited to reflect the multiplicity of forms available to stonecutters and scribes of the period. To make a typeface that functions in a contemporary environment, a lower case has been added, and formal and informal variants supported. The pan-European nature of the Romanesque design tradition has inspired an pan-European approach to the character set of the typeface, allowing for text composition in all European languages, and the typeface has been extended into Greek and Cyrillic, so that the broadest representation of European languages can be achieved.

Bank market concentration, relationship banking and small business liquidity

This paper examines two contrasting interpretations of how bank market concentration (Market Power Hypothesis) and banking relationships (Information Hypothesis) affect three sources of small firm liquidity (cash, lines of credit and trade credit). Supportive of a market power interpretation, we find that in a highly concentrated banking market, small firms hold less cash, have less access to lines of credit, and are more likely to be financially constrained, use greater amounts of more expensive trade credit and face higher penalties for trade credit late payment. We also find support for the information hypothesis: relationship banking improves small business liquidity, particularly in a concentrated banking market, thereby mitigating the adverse effects of bank market concentration derived from market power. Our results are robust to different cash, lines of credit and trade credit measures and to alternative empirical approaches.