Cost Heterogeneity and the Potential Savings from Market-Based Policies

Policy makers and analysts are often faced with situations where it is unclear whether market-based instruments hold real promise of reducing costs, relative to conventional uniform standards. We develop analytic expressions that can be employed with modest amounts of information to estimate the potential cost savings associated with market-based policies, with an application to the environmental policy realm. These simple formulae can identify instruments that merit more detailed investigation. We illustrate the use of these results with an application to nitrogen oxides control by electric utilities in the United States.

Suppression of conformational heterogeneity at a protein-protein interface.

Staphylococcal protein A (SpA) is an important virulence factor from Staphylococcus aureus responsible for the bacterium's evasion of the host immune system. SpA includes five small three-helix-bundle domains that can each bind with high affinity to many host proteins such as antibodies. The interaction between a SpA domain and the Fc fragment of IgG was partially elucidated previously in the crystal structure 1FC2. Although informative, the previous structure was not properly folded and left many substantial questions unanswered, such as a detailed description of the tertiary structure of SpA domains in complex with Fc and the structural changes that take place upon binding. Here we report the 2.3-Å structure of a fully folded SpA domain in complex with Fc. Our structure indicates that there are extensive structural rearrangements necessary for binding Fc, including a general reduction in SpA conformational heterogeneity, freezing out of polyrotameric interfacial residues, and displacement of a SpA side chain by an Fc side chain in a molecular-recognition pocket. Such a loss of conformational heterogeneity upon formation of the protein-protein interface may occur when SpA binds its multiple binding partners. Suppression of conformational heterogeneity may be an important structural paradigm in functionally plastic proteins.

Spatial Heterogeneity and Genetic Variation in the Copepod Neocalanus Cristatus Along Two Transects in the North Pacific Sampled By the Continuous Plankton Recorder

We present a macrogeographic study of spatial heterogeneity in an important subarctic Pacific copepod and describe the first genetic analysis of population structure using Continuous Plankton Recorder (CPR) samples. Samples of Neocalanus cristatus were collected at a constant depth of similar to 7 m from two CPR tow-routes, (i) an east-west similar to 6500-km transect from Vancouver Island, Canada to Hokkaido Island, Japan, and (ii) a north-south transect of similar to 2250 km from Anchorage, Alaska to Tacoma, Washington. Analysis of these samples revealed three features of the biology of N. cristatus. First, N. cristatus undergoes small-scale diel vertical migration that is larger among stages CV- adult (3-6 times more abundant at 7 m at night), than stages CI-CIV (only 2-4 times higher at night). Secondly, while there were no regions where N. cristatus did not appear, each transect sampled a few large-scale macrogeographic patches. Thirdly, an analysis of molecular variation, using a partial sequence of the N. cristatus cytochrome oxidase I gene, revealed that 7.3% (P < 0.0001) of the total genetic variation among N. cristatus sampled from macrogeographic patches by the CPR could be explained by spatial heterogeneity. We suggest that spatial heterogeneity at macrogeographic scales may be important in plankton evolution.

Temporal and spatial variation in the Nazaré Canyon (Western Iberian margin): Inter-annual and canyon heterogeneity effects on meiofauna biomass and diversity

The Nazaré Canyon on the Portuguese Margin (NE Atlantic) was sampled during spring-summer for three consecutive years (2005–2007), permitting the first inter-annual study of the meiofaunal communities at the Iberian Margin at two abyssal depths (~3500 m and ~4400 m). Using new and already published data, the meiofauna standing stocks (abundance and biomass) and nematode structural and functional diversity were investigated in relation to the sediment biogeochemistry (e.g. organic carbon, nitrogen, chlorophyll a, phaeopigments) and grain size. A conspicuous increase in sand content from 2005 to 2006 and decrease of phytodetritus at both sites, suggested the occurrence of one or more physical disturbance events. Nematode standing stocks and trophic diversity decreased after these events, seemingly followed by a recovery/recolonisation period in 2007, which was strongly correlated with an increase in the quantity and bioavailability of phytodetrital organic matter supplied. Changes in meiofauna assemblages, however, also differed between stations, likely because of the contrasting hydrodynamic and food supply conditions. Higher meiofauna and nematode abundances, biomass and trophic complexity were found at the shallowest canyon station, where the quantity, quality and bioavailability of food material were higher than at the deeper site. The present results suggest that even though inter-annual variations in the sedimentary environment can regulate the meiofauna in the abyssal Nazaré Canyon, heterogeneity between sampling locations in the canyon were more pronounced.

Heterogeneity of impacts of high CO2 on the North Western European Shelf

The increase in atmospheric CO2 is a dual threat to the marine environment: from one side it drives climate change, leading to modifications in water temperature, circulation patterns and stratification intensity; on the other side it causes a decrease in marine pH (ocean acidification, or OA) due to the increase in dissolved CO2. Assessing the combined impact of climate change and OA on marine ecosystems is a challenging task. The response of the ecosystem to a single driver can be highly variable and remains still uncertain; additionally the interaction between these can be either synergistic or antagonistic. In this work we use the coupled oceanographic–ecosystem model POLCOMS-ERSEM driven by climate forcing to study the interaction between climate change and OA. We focus in particular on carbonate chemistry, primary and secondary production. The model has been run in three different configurations in order to assess separately the impacts of climate change on net primary production and of OA on the carbonate chemistry, which have been strongly supported by scientific literature, from the impact of biological feedbacks of OA on the ecosystem, whose uncertainty still has to be well constrained. The global mean of the projected decrease of pH at the end of the century is about 0.27 pH units, but the model shows significant interaction among the drivers and high variability in the temporal and spatial response. As a result of this high variability, critical tipping point can be locally and/or temporally reached: e.g. undersaturation with respect to aragonite is projected to occur in the deeper part of the central North Sea during summer. Impacts of climate change and of OA on primary and secondary production may have similar magnitude, compensating in some area and exacerbating in others.

Power-law behaviour, heterogeneity, and trend chasing

Long-range dependence in volatility is one of the most prominent examples in financial market research involving universal power laws. Its characterization has recently spurred attempts to provide some explanations of the underlying mechanism. This paper contributes to this recent line of research by analyzing a simple market fraction asset pricing model with two types of traders---fundamentalists who trade on the price deviation from estimated fundamental value and trend followers whose conditional mean and variance of the trend are updated through a geometric learning process. Our analysis shows that agent heterogeneity, risk-adjusted trend chasing through the geometric learning process, and the interplay of noisy fundamental and demand processes and the underlying deterministic dynamics can be the source of power-law distributed fluctuations. In particular, the noisy demand plays an important role in the generation of insignificant autocorrelations (ACs) on returns, while the significant decaying AC patterns of the absolute returns and squared returns are more influenced by the noisy fundamental process. A statistical analysis based on Monte Carlo simulations is conducted to characterize the decay rate. Realistic estimates of the power-law decay indices and the (FI)GARCH parameters are presented.

Heterogeneity, convergence, and autocorrelations

This paper is a contribution to the literature on the explanatory power and calibration of heterogeneous asset pricing models. We set out a new stochastic market-fraction asset pricing model of fundamentalists and trend followers under a market maker. Our model explains key features of financial market behaviour such as market dominance, convergence to the fundamental price and under- and over-reaction. We use the dynamics of the underlying deterministic system to characterize these features and statistical properties, including convergence of the limiting distribution and autocorrelation structure. We confirm these properties using Monte Carlo simulations.

Heterogeneity in the granulomatous response to mycobacterial infection in patients with defined genetic mutations in the interleukin 12-dependent interferon-gamma production pathway

Granulomatous Diseases Review Heterogeneity in the granulomatous response to mycobacterial infection in patients with defined genetic mutations in the interleukin 12-dependent interferon-gamma production pathway