As health care costs continue to rise, medical expenses have become an increasingly important contributor to financial risk. Economic theory suggests that when background risk rises, individuals will reduce their exposure to other risks. This paper presents a test of this theory by examining the...

This paper provides evidence about the quality of retrospective childhood health histories given to respondents in the Health and Retirement Survey and the Panel Study of Income Dynamics. Even though information on early life health events is critical, there is legitimate skepticism about the...