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12.1.1.4 The SAD-CON Level The fourth, and nal, level in the taxonomy is the SAD-CON level. Here, we focus on the visible schema and the visible data for all things stored in the DDBE, and we are mainly concerned with the degree of control that the DDBA can exercise. In other words, if the DDBA can perform all possible (valid) schema operations on the visible schema, then we have total schema control (TSC), if the DDBA can do the same for the visible data, then we have total data Control (TDC) and the combination is total control (TC). The partial schema control (PSC), partial data control (PDC), and partial control (PC) are analogous to the previous level s partial scenarios. In the traditional DDBMS architecture, we have TC since partial control would imply that some other environment had control over some piece of schema or data and that is not possible in this architecture. Once again, we could arti cially mandate PC for non-DDBA accounts, but the DDBE requires TC for the DDBA. 12.1.1.5 DDBMS Architectural Summary The schema for the DDBMS is designed top down in this architecture and components and subsystems are designed and implemented from scratch. The databases, components, and subsystems can be completely distributed within the environment. Because we write the COSs ourselves, and only access the databases through the DDBMS environment, the system is completely open, and the data and schema are completely visible and under the system s control. We can always arti cially impose limits or restrictions on the distribution, visibility, or control but these are not required by the architecture itself. 12.1.2 Classifying the Federated Database Architecture



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A naive protocol to solve the prefix sums problem in m 1 time slots proceeds as follows: in time slot j, (1 j m 1), station Sj transmits xj on the channel, and every station Si ( j < i) monitors the channel By summing the numbers transmitted, each station can determine the corresponding prefix sum Observe that this simple protocol is not energy efficient, because the last station Sm has to be awake for m 1 time slots We now introduce an energy-efficient protocol to solve the prefix sums problem When our protocol terminates, the following three conditions are satisfied: 1 Every active station Si, (1 i n), stores its prefix sum 2 The last station Sk, such that no station Si with i > k exists, has been identified 3.





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the repurchase market or repo market, allows institutions to borrow money at favorable rates because the loans are secured by extremely highquality collateral Hedge funds can borrow money to nance Treasury bond positions at rates very close to the US Treasury bill rates Traders can borrow nearly 100 percent of the market value of some types of bonds Less liquid bonds and less creditworthy bonds can be nanced at slightly higher rates and are subject to excess collateralization (called a haircut ) of 10 percent or more The stock loan market evolved based on the model of the government securities markets Like the repo market, the stock loan market allows borrowers to nance positions at rates close to Treasury bill rates Rates in the stock loan market are typically 50 basis points higher (100 basis points equals 1 percent) than repo rates.

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The protocol takes 2m 2 time slots and no station is awake for more than 2 log m time slots If m = 1, then S1 knows x1 and the above conditions are verified Now, assume that m 2 and partition the n stations into two groups P1 = {Si | 1 i m/2} and P2 = {Si | m/2 + 1 i m} Recursively solve the prefix sums problem in P1 and P2 By the induction hypothesis, conditions (1) (3) above are satisfied and, therefore, each of the two subproblems can be solved in m 2 time slots, with no station being awake for more than 2 log m 2 time slots Let Sj and Sk be the last active stations in P1 and in P2, respectively In the next time slot, station Sj transmits the sum {xi | 1 i j and Si P1 exists} on the channel.

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Stock traders can typically borrow up to 90 percent of the market value of liquid equity positions Other limitations on leverage (including regulations such as the US Federal Reserve s Regulation T and credit limits imposed by counterparties) may limit hedge fund position size Suppose a hedge fund owns a position in a particular common stock worth $1 million If the fund must maintain a haircut of 10 percent, it can borrow $900,000 in the stock loan market The fund delivers the shares to the lender to hold as collateral At the end of the loan period, the lender returns the shares to the owner, who repays the loan plus interest Typically, interest is calculated based on the actual/360 convention whereby interest is calculated based on the actual number of days in the loan but the annualized interest rate is prorated as if a year had 360 days.

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