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Demystifying strangely interacting electrons wins Physics Nobel The discovery that electrons interact in totally unexpected ways when subject- ed to very strong magnetic fields at tem- peratures on the brink of absolute zero has earned three physics professors the 1998 Nobel Prize in Physics. The prize will be shared by Robert B. Laughlin of Stanford University, Horst L. Stormer of Columbia University and Lucent Tech- nologies' Bell Laboratories in Murray Hill, N.J., and Daniel C. Tsui of Princeton University. Their work builds on earlier Nobel Prize-winning research by German physi- cist Klaus von Klitzing, who discovered the strange behavior of an electrical cur- rent confined to the two-dimensional in- terface between two semiconductors. At very low temperatures, von Klitzing ob- served that a powerful magnetic field perpendicular to the plane in which the current flows causes the voltage across the electrons' path to change in integer steps as the magnetic field is increased. This is now known as the integer quan- tum Hall effect. In 1982—two years after von Klitzing's experiment—Stormer and Tsui looked at Business execs see slowdown ahead Because the chemical industry is highly cyclical, the state of the economy is of crucial importance to its well-being. If a report from the Business Council is any indication, the U.S. chemical industry is looking at a definite slowdown in 1999 because the U.S. economy is likely to take a turn for the worse in the near future. The Washington, D.C.-based Business Council is a group of current or former chief executive officers from a range of large U.S. corporations representing all major industries and regions. The chemi- cal industry is well represented: Lawrence A. Bossidy, chairman and CEO of AlliedSig- nal, serves as chairman; William S. Stavro- polous, Dow Chemical's president and CEO, is a vice chairman; and Edgar S. Woolard Jr., former chairman of DuPont, is on the executive committee. The council surveyed its members for the report and found 95% of those respond- the same phenomenon using even more powerful magnetic fields and higher puri- ty materials. To their astonishment, they found steps within the steps—voltage jumps corresponding to fractions of the basic electron charge. This fractional quantum Hall effect was at first mystifying. But one year later, Laughlin proposed that an electron can become associated with a few magnetic flux vortices, forming a "quasiparticle." Unlike electrons, these composite quasi- particles can condense to form a single- quantum-state fluid that is related to— but different from—the quantum fluids known to exist in liquid helium or super- conductors. By varying the proportions of vortices and electrons in the quantum fluid, Laughlin suggested, the fractional charges seen by Stormer and Tsui could be explained. In recent years, groups in the U.S., Israel, and France have made direct ex- perimental observations of fractionally charged quasiparticles, verifying Laugh- lin's hypothesis. Physics professor Steven M. Girvin of Indiana University, Bloomington, tells C&EN that the fractional quantum Hall effect is of "fundamental intellectu- al importance" because it is "an unprec- edented form of collective behavior for matter." Ron Dagani ing believe that deteriorating global eco- nomic conditions andfinancialmarkets will have an impact on the overall U.S. economy and on theirfirms,with 41% saying the im- pact would be significant. And industry is still concerned about pricing. Business Council members are in agreement that the ability to raise prices has weakened over the past year, with 62% of respondents reporting less pricing power. And there is little expectation that pricing will improve. About half believe pricing power will continue to deteriorate over the next six to nine months. About 88% believe the lower pricing power is due to competitive conditions, with 41% blaming softer demand (multiple answers were permissible). Members are already responding to the slowdown, mainly by cutting spend- ing. Nearly two-thirds of respondents re- ported that their firms had cut back cap- ital spending plans over the past few months because of the change in the economic outlook and the outlook for profits. Many firms are also cutting costs in other ways, including less hiring. In addition, council members believe the government could help ameliorate the situation, with 80% calling for a cut in in- terest rates. Some 69% were in favor of in- ternational financial rescue programs, but just 27% advocated tax cuts. William Storck Monsanto, American Home Products separate at the altar A combination that looked too good to be true has turned out to be just that. Mon- santo and American Home Products (ΑΗΡ) have called off the merger they an- nounced in June, saying it's not in the best interest of their respective shareholders. Five months ago, the two companies held a press conference to trumpet a marriage that would help lead the scien- logical sciences (C&EN, June 8, page 9). The new $22 billion company, along with DuPont and Switzerland's Novartis, was to be one of three life science giants, combining Monsanjto's new product pipe- line with AHP's deep pockets to develop pharmaceuticals, agricultural chemicals, and biotechnology products. Neither Monsanto nor ΑΗΡ is saying what caused the change of heart, but ana- lysts who follow the companies suspect an inability to agree on direction, com- bined with a strong dose of personality conflict between John R. Stafford, the hard-charging chief executive officer of ΑΗΡ, and Robert B. Shapiro, Monsanto's more starry-eyed chief. The two were to sit as cochairmen and co-CEOs of the merged company for at least a year. Indeed, AHP's Mure in January to reach 14 OCTOBER 19, 1998 C&EN PvvMpr¥TR Ψψτψη

Demystifying strangely interacting electrons wins Physics Nobel

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Demystifying strangely interacting electrons wins Physics Nobel The discovery that electrons interact in totally unexpected ways when subject­ed to very strong magnetic fields at tem­peratures on the brink of absolute zero has earned three physics professors the 1998 Nobel Prize in Physics. The prize will be shared by Robert B. Laughlin of Stanford University, Horst L. Stormer of Columbia University and Lucent Tech­nologies' Bell Laboratories in Murray Hill, N.J., and Daniel C. Tsui of Princeton University.

Their work builds on earlier Nobel Prize-winning research by German physi­cist Klaus von Klitzing, who discovered the strange behavior of an electrical cur­rent confined to the two-dimensional in­terface between two semiconductors. At very low temperatures, von Klitzing ob­served that a powerful magnetic field perpendicular to the plane in which the current flows causes the voltage across the electrons' path to change in integer steps as the magnetic field is increased. This is now known as the integer quan­tum Hall effect.

In 1982—two years after von Klitzing's experiment—Stormer and Tsui looked at

Business execs see slowdown ahead Because the chemical industry is highly cyclical, the state of the economy is of crucial importance to its well-being. If a report from the Business Council is any indication, the U.S. chemical industry is looking at a definite slowdown in 1999 because the U.S. economy is likely to take a turn for the worse in the near future.

The Washington, D.C.-based Business Council is a group of current or former chief executive officers from a range of large U.S. corporations representing all major industries and regions. The chemi­cal industry is well represented: Lawrence A. Bossidy, chairman and CEO of AlliedSig-nal, serves as chairman; William S. Stavro-polous, Dow Chemical's president and CEO, is a vice chairman; and Edgar S. Woolard Jr., former chairman of DuPont, is on the executive committee.

The council surveyed its members for the report and found 95% of those respond-

the same phenomenon using even more powerful magnetic fields and higher puri­ty materials. To their astonishment, they found steps within the steps—voltage jumps corresponding to fractions of the basic electron charge.

This fractional quantum Hall effect was at first mystifying. But one year later, Laughlin proposed that an electron can become associated with a few magnetic flux vortices, forming a "quasiparticle." Unlike electrons, these composite quasi-particles can condense to form a single-quantum-state fluid that is related to— but different from—the quantum fluids known to exist in liquid helium or super­conductors. By varying the proportions of vortices and electrons in the quantum fluid, Laughlin suggested, the fractional charges seen by Stormer and Tsui could be explained.

In recent years, groups in the U.S., Israel, and France have made direct ex­perimental observations of fractionally charged quasiparticles, verifying Laugh-lin's hypothesis.

Physics professor Steven M. Girvin of Indiana University, Bloomington, tells C&EN that the fractional quantum Hall effect is of "fundamental intellectu­al importance" because it is "an unprec­edented form of collective behavior for matter."

Ron Dagani

ing believe that deteriorating global eco­nomic conditions and financial markets will have an impact on the overall U.S. economy and on their firms, with 41% saying the im­pact would be significant.

And industry is still concerned about pricing. Business Council members are in agreement that the ability to raise prices has weakened over the past year, with 62% of respondents reporting less pricing power. And there is little expectation that pricing will improve. About half believe pricing power will continue to deteriorate over the next six to nine months. About 88% believe the lower pricing power is due to competitive conditions, with 41% blaming softer demand (multiple answers were permissible).

Members are already responding to the slowdown, mainly by cutting spend­ing. Nearly two-thirds of respondents re­ported that their firms had cut back cap­ital spending plans over the past few months because of the change in the economic outlook and the outlook for profits. Many firms are also cutting costs in other ways, including less hiring.

In addition, council members believe the government could help ameliorate the situation, with 80% calling for a cut in in­terest rates. Some 69% were in favor of in­ternational financial rescue programs, but just 27% advocated tax cuts.

William Storck

Monsanto, American Home Products separate at the altar A combination that looked too good to be true has turned out to be just that. Mon­santo and American Home Products (ΑΗΡ) have called off the merger they an­nounced in June, saying it's not in the best interest of their respective shareholders.

Five months ago, the two companies held a press conference to trumpet a marriage that would help lead the scien-

logical sciences (C&EN, June 8, page 9). The new $22 billion company, along

with DuPont and Switzerland's Novartis, was to be one of three life science giants, combining Monsanjto's new product pipe­line with AHP's deep pockets to develop pharmaceuticals, agricultural chemicals, and biotechnology products.

Neither Monsanto nor ΑΗΡ is saying what caused the change of heart, but ana­lysts who follow the companies suspect an inability to agree on direction, com­bined with a strong dose of personality conflict between John R. Stafford, the hard-charging chief executive officer of ΑΗΡ, and Robert B. Shapiro, Monsanto's more starry-eyed chief. The two were to sit as cochairmen and co-CEOs of the merged company for at least a year.

Indeed, AHP's Mure in January to reach

14 OCTOBER 19, 1998 C&EN

PvvMpr¥TR Ψψτψη