labor market, but instead the Spanish family does not seem to have been an important insurance mechanism. Regarding …

conventional measures of insurance based on the response of non-durable consumption to income changes. The sign of this bias … depends critically on the persistence of the shock. We show that households have less insurance against transitory shocks and … more insurance against permanent shocks than commonly measured. We calibrate the model economy to the US in order to …

innovation activities. The selection of high-skill managers is more important for innovation activities. As the economy … approaches the technology frontier, selection becomes more important. As a result, countries at early stages of development … investments, but little selection. Closer to the world technology frontier, there is a switch to an innovation-based strategy with …

insurance and preferences are nonseparable. This result appears to support the conclusion of the above mentioned folk theorem …

, equilibrium wage dispersion is necessary for the economy to approximate efficiency. Without wage dispersion, workers do not search …