markets, such as natural disasters, terrorist attacks, and financial crises--as a problem of risk management. This is … institutional theory that points to stakeholder and institutional dynamics affecting economic incentives to invest in prevention and …

We review and extend the economic analysis of risk and uncertainty as it relates to behavior mitigating health shocks … for risk-sharing in health by pooling the health care spending risk. In a sense, medical innovation involves a current …

a simple extension of the long-run risk model …

In a standard incomplete markets model with a continuum of households that have constant relative risk aversion (CRRA …) preferences, the absence of insurance markets for idiosyncratic labor income risk has no effect on the premium for aggregate risk … if the distribution of idiosyncratic risk is independent of aggregate shocks and aggregate consumption growth is …

. However, in a Lucas-tree world, the aggregate risk is given by the process for GDP and cannot be altered by the creation of … will be nil. With heterogeneity in coefficients of relative risk aversion, safe assets can take the form of private bond … issues from low-risk-aversion to high-risk-aversion agents. The model assumes Epstein-Zin/Weil preferences with common values …

-level equity portfolios. An application of the theory to the empirical results shows (a) large predicted levels of risky asset …