Building on previous studies on perceptions of inequality, welfare and risk we investigate the structure of individuals …' rankings of uncertain prospects in terms of risk and their relationship to individual preferences. We examine three interlinked … propositions that are fundamental to the standard economic approach to risk: (i) that rankings by risk are simply the reverse of …

and the determination of the optimal asset allocation using discount rates that ap-propriately reflect default risk. We …

investigate a model that incorporates three sources of risk: asset risk and salary (or labour-income) risk in the accumulation … phase; and interest-rate risk at the point of retirement. We propose a new form of terminal utility function, incorporating … presence of non-hedgeable salary risk. We compare the performance of stochastic lifestlying with some popular strategies used …

This paper tests for the importance of cash flow on investment in fixed capital and R&D using firm-level panel data in … investment or R&D. In identical specifications for British firms, cash flow is informative about investment, although not about … the level of R&D spending conditional on the R&D participation decision. In the UK, we also find that investment is less …

investment. Uncertainty increases real option values making firms more cautious when investing or disinvesting. This is confirmed … both numerically for a model with a rich mix of adjustment costs, time-varying uncertainty, and aggregation over investment … investment response to demand shocks. This implies the responsiveness of firms to any given policy stimulus may be much lower in …

, major weaknesses with respect to long-run investment in human capital, infrastructure and innovation remain. These are … hampered by problems of short-termism and policy risk. We propose a series of radical reforms to address these problems: such …

positive program treatment effect on employment, investment and net entry but not on TFP. OLS underestimates program effects …,300 suggesting that in some respects investment subsidies can be cost effective. …