Hackers Are After More than Just Data: Will Your Company's Property Policies Respond When Cyber Attacks Cause Physical Damage and Shut Down Operations?

Recent attention on high profile data breaches has overshadowed a potentially greater risk: cyber attacks on large industrial companies causing physical damage, potentially releasing contaminants, and shutting down operations. A handful of publicly reported cyber-attacks, including explosions at an oil pipeline and a steel mill, have highlighted the potential vulnerability of these companies' internet-facing industrial control systems to hackers. The insurance industry has reacted to the growing risk of privacy-related data breaches by marketing and selling so-called “cyber policies.” But these policies typically exclude coverage for property damage and are ill-suited to cover the magnitude of business interruption losses that could result from an extended shutdown of a large industrial operation. That leaves policyholders to look to their traditional property policies. This article examines the cyber-attack risk that large industrial companies face and how those companies' traditional property insurance policies may help mitigate that risk.     

Kosovo's Gordian knot: the contested north and the search for a solution

Until 1999, Kosovo was a little-known province of Serbia. NATO's intervention, however, changed this. Suddenly, everyone was talking about Kosovo and the plight of the Kosovo Albanians. Today, Kosovo is no longer a major talking point; few authors are now writing about post-independence Kosovo and the many challenges that confront the young state. Particularly striking is the relative absence of scholarly writings that discuss the Gordian knot of northern Kosovo. Seeking to rectify this neglect, this article has three core aims: to provide new empirical insights into the situation on the ground in northern Kosovo, to explore Serb and Albanian viewpoints regarding the status of the north (and in particular to examine Serb fears and concerns) and to discuss possible solutions. It argues that granting the north a special, autonomous status within Kosovo is the ultimate way to resolve the “northern problem,” and indeed this now seems the most likely solution following the recent conclusion of the First Agreement on Principles Governing the Normalization of Relations. This research is based on five weeks of fieldwork in Kosovo in July and August 2012. During this time, the author conducted 56 semi-structured interviews, 29 of which took place in northern Kosovo.     

Exchange Rate Pass-through to Import Prices,and Monetary Policy in South Africa

Abstract

Understanding how import prices adjust to exchange rates helps anticipate inflation effects and monetary policy responses. This article examines exchange rate pass-through to the monthly import price index in South Africa during 1980–2009. Short-horizon pass-through estimates are calculated using both single equation equilibrium correction models and systems (Johansen) models, controlling for both domestic and foreign costs. Average pass-through is incomplete at about 50 per cent within a year and 30 per cent in six months, and in the long-run, from the Johansen analysis including feedback effects, is about 55 per cent. There is evidence of slower pass-through under inflation targeting; pass-through is found to decline with recent exchange rate volatility and there is evidence for asymmetry, with greater pass-through occurring for small appreciations.     

Exchange Rate Pass-Through in Developing and Emerging Markets: A Survey of Conceptual,Methodological and Policy Issues,and Selected Empirical Findings

Abstract

Global integration has increased the international linkages of financial markets for emerging market countries. A key channel for the international transmission of inflation and economic cycles is from exchange rate movements to domestic prices, known as exchange rate pass-through (ERPT). This article reviews the conceptual, methodological and policy issues connected with ERPT in emerging market and developing countries, and critically surveys selected empirical studies. A key contribution is to categorise and compare the heterogeneous methodologies used to extract ERPT measures in the empirical literature. Single equation models and systems methods are contrasted; frequent misspecifications that produce unreliable ERPT estimates are highlighted. The discerning policy-maker needs to ascertain by which methods ERPT measures were calculated, the controls and restrictions applied, and the time frame and stability of the estimates.     

The Rate of Cyber Dating Abuse Among Teens and How It Relates to Other Forms of Teen Dating Violence

To date, little research has documented how teens might misuse technology to harass, control, and abuse their dating partners. This study examined the extent of cyber dating abuse—abuse via technology and new media—in youth relationships and how it relates to other forms of teen dating violence. A total of 5,647 youth from ten schools in three northeastern states participated in the survey, of which 3,745 reported currently being in a dating relationship or having been in one during the prior year (52 % were female; 74 % White). Just over a quarter of youth in a current or recent relationship said that they experienced some form of cyber dating abuse victimization in the prior year, with females reporting more cyber dating abuse victimization than males (particularly sexual cyber dating abuse). One out of ten youth said that they had perpetrated cyber dating abuse, with females reporting greater levels of non-sexual cyber dating abuse perpetration than males; by contrast, male youth were significantly more likely to report perpetrating sexual cyber dating abuse. Victims of sexual cyber dating abuse were seven times more likely to have also experienced sexual coercion (55 vs. 8 %) than were non-victims, and perpetrators of sexual cyber dating abuse were 17 times more likely to have also perpetrated sexual coercion (34 vs. 2 %) than were non-perpetrators. Implications for practice and future research are discussed.     

Relationship Between Childhood Sexual Abuse Characteristics and Dissociation Among Women in Therapy

This study investigated the relationship between 10 characteristics of childhood sexual abuse and dissociation in adulthood. A structured clinical interview, the Dissociative Experiences Scale, and the Dissociation Subscale of the Symptom Checklist 90 - Revised were administered to 118 women survivors seeking psychotherapy. Separate stepwise multiple regression analyses were conducted for each dissociation scale to determine which abuse characteristics were predictive of dissociation. In both analyses, the same four variables were significantly related to dissociation: age at onset, coercive sexual acts, objectifying sexual acts, and concurrent multiple perpetrators. Implications of findings for future research and clinical practice are explored.     

Making Government Work: Pragmatic Priorities for Interagency Coordination

Numerous studies outlining what needs to be done to improve the U.S. interagency system have been conducted in the past few decades. Together, these studies reflect a growing consensus on the range of changes needed across the government, from personnel reform, to changes in processes and structures. This article does not quibble with this consensus. Rather, in light of the current economic crisis and the challenges we face in Iraq and Afghanistan, this piece argues that dramatic reform may be a luxury we cannot afford right now. Instead of offering another proposal for large-scale reorganization, the author suggests a way to get started now; one that focuses on winning the fights we are currently in while setting the trajectory for long-term change.     

The challenge and imperative of private sector cybersecurity: An international comparison

Attacks on computers and information networks, both public and private, are disclosed in the news daily. Most recently, Apple, Facebook, and Twitter acknowledged that they were attacked and were now taking additional measures to secure their networks. In January of 2013, Kaspersky Labs reported discovering malware that not only targeted government information in Eastern Europe, former Soviet republics, and Central Asia, but also had been actively doing so since 2007. The scope of global cyber attacks is staggering and the solutions to securing property and protecting national security are illusive, in large part because infrastructure is owned and operated by private, rather than public, entities. Nations struggle with choosing the most effective strategy and potential regulation of the private sector in order to reduce overall cybersecurity risk. This paper reviews the nature of cyber threats, and compares the United States and European approach to promoting cybersecurity in the private sector. Furthermore, the paper discusses how different approaches can affect cybersecurity risk, and suggests a framework for visualizing the impact of law and strategy on security.