Why the lending clampdown is for your own good
Bridget Rosewell explained in the Daily Mail on 31st March 2008 why mortgage rates were both high and likely to stay that way. Bridget is thinking of sending it to the Chancellor so that he can understand why interest rate cuts at the Bank of England may not get passed on to customers and indeed that some restriction of credit is both inevitable and desirable.

How extreme is the current gap between LIBOR and base rate?
The much publicised high rate of interest for interbank lending has been one of the most serious effects of the recent global economic credit crunch. The question is, how severe is the current situation by historic standards?  Volterra first examined the question early in the crisis back in October last year. The conclusion then was that it was roughly a 1 in 20 year event.  However, with LIBOR remaining above base rate for many months now, the event has become considerably more extreme.  Find out more about Volterra's up to date analysis of the situation.

The importance of creative industries
Last month Paul Ormerod and Kate Morrison visited Australia where they presented at a conference on cultural science hosted by the ARC Centre for Creative Industries and Innovation and FEAST in Brisbane on 27th and 28th March 2008. Subsequently, Paul co-authored an article with Stuart Cunningham which featured in Australia's national newspaper - The Australian. The article discusses the increasing importance of creative industries within the global economy where the success of creative enterprise is extremely unpredictable and focus is needed on equality of opportunity and access rather than equality of economic outcomes. Read the full article.

Network analysis of innovation systems for Manchester City region
Volterra has been awarded a significant project to apply our expertise in network analysis to understanding the role of connectivity in business-driven innovation. Commissioned as part of the high-profile Manchester Independent Economic Review we are delivering the work as a consortium with BOP Consulting and Professor Stan Metcalfe. Over the course of the year-long project we will be analysing innovation-related connections in four sectors: creative/digital/new media and ICT, financial and professional services, life sciences and manufacturing.

Paul featured in The Sunday Times
Paul Ormerod’s essay on the credit crunch was featured in The Sunday Times on 23rd March 2008. Paul examines the economic complexity that arises when millions of individual sentiments and expectations interact, and the impact of ‘lunatic’ risk-taking.