size of stock adjustment decisions, and find broad support for theoretical predictions in formal selection …

Theory suggests that people facing higher uninsurable background risk buy more insurance against other risks that are … casualty insurance increases with earnings uncertainty. This finding is consistent with consumer preferences being …

The full insurance hypothesis states that shocks to the firm's performance do not affect workers' compensation. In … principal-agent models with moral hazard, firms trade off insurance and incentives to induce workers to supply the optimal level … overall earnings variability, the remainder originating in idiosyncratic shocks. Finally, we show that the amount of insurance …