Diagnostics for dependence within time series extremes

Summary. The analysis of extreme values within a stationary time series entails various assumptions concerning its long- and short-range dependence. We present a range of new diagnostic tools for assessing whether these assumptions are appropriate and for identifying structure within extreme events. These tools are based on tail characteristics of joint survivor functions but can be implemented by using existing estimation methods for extremes of univariate independent and identically distributed variables. Our diagnostic aids are illustrated through theoretical examples, simulation studies and by application to rainfall and exchange rate data. On the basis of these diagnostics we can explain characteristics that are found in the observed extreme events of these series and also gain insight into the properties of events that are more extreme than those observed.     

Deposit Insurance,Institutions, and Bank Interest Rates

Many recent institutional reforms of the financial system have relied on the introduction of an explicit scheme of deposit insurance. This instrument aims at two main targets, contributing to systemic stability and protecting depositors. However, it may also affect the interest rate spread in the banking system, which can be viewed as an indicator of either inefficiency or market power in this financial segment. This paper provides an empirical investigation of the effect of deposit insurance and other institutional and economic variables on bank interest rates across countries. We find that deposit insurance increases the lending–deposit spread in banking. The main effect seems to arise not from the deposit side though, but from an increase in the lending rate. We interpret this result as evidence of the presence of moral hazard problems related to this instrument. We also find that higher quality of institutions is associated with lower spreads, thus contributing to eroding sources of market power in the banking sector.     

Tomb, temple, machine and self: the social construction of the body.

The body is socially constructed; and in this paper we explore the various and ever-changing constructions of the body, and thus of the embodied self, from the Greeks to the present. The one word, body, may therefore signify very different realities and perceptions of reality; and we consider briefly how and why these meanings changed. Plato believed the body was a 'tomb', Paul said it was the 'temple' of the Holy Spirit, the Stoic philosopher Epictetus taught that it was a 'corpse'. Christians believed, and believe, that the body is not only physical, but also spiritual and mystical, and many believed it was an allegory of church, state and family. Some said it was cosmic: one with the planets and the constellations. Descartes wrote that the body is a 'machine', and this definition has underpinned biomedicine to this day; but Sartre said that the body is the self. In sum, the body has no intrinsic meaning. Populations create their own meanings, and thus their own bodies; but how they create, and then change them, and why, reflects the social body.     

BURR CRITICAL VALUE APPROXIMATIONS FOR TESTS OF AUTOCORRELATION AND HETEROSCEDASTICITY

The paper evaluates the accuracy of Burr approximations of critical values and p-values for test a of autocorrelation and heteroscedasticity in the linear regression model.     

The Pyramid Model: A Useful Tool in Career Counseling With University Students

Often university students are faced with career decisions and seek help from the university counseling center. The pyramid model is a useful tool to assist the counselor and the student in the decision-making process. The metaphor enables the student to understand the tasks that lie ahead in the career counseling process. It is holistic. A case study is included to illustrate the three-dimensional model of career counseling of university students.     

Earnings Inequality in the Nonmetropolitan United States: 1967–19901

Abstract Nonmetropolitan (nonmetro) inequality patterns are contrasted with those of metropolitan (metro) areas to assess the utility of neoclassical and restructuring theoretical frameworks. Inequality measures are constructed from March Current Population Surveys for the years 1968–1991. Results indicate that inequality is greater in nonmetro areas than in metro areas. Results of decomposition procedures suggest that the observed inequality is due to a mix of neoclassical and restructuring factors that account for more inequality in metro than nonmetro areas. National policies must take account of metro/nonmetro differences in patterns and sources of inequality.     

A Bayesian method for classification and discrimination

We discuss Bayesian analyses of traditional normal-mixture models for classification and discrimination. The development involves application of an iterative resampling approach to Monte Carlo inference, commonly called Gibbs sampling, and demonstrates routine application. We stress the benefits of exact analyses over traditional classification and discrimination techniques, including the ease with which such analyses may be performed in a quite general setting, with possibly several normal-mixture components having different covariance matrices, the computation of exact posterior classification probabilities for observed data and for future cases to be classified, and posterior distributions for these probabilities that allow for assessment of second-level uncertainties in classification.