The decision how to share resources with others often needs to be taken under uncertainty on its allocational … consequences. Although risk preferences are likely important, existing research is silent about how social and risk preferences … not exposed to risk while beneficiaries’ final earnings may be larger or smaller than the allocation itself, depending on …

This paper provides new evidence on the stochastic behaviour of the EPU (Economic Policy Uncertainty (EPU) index …

We estimate a three-variate VAR using proxies of global financial uncertainty, the global financial cycle, and world … industrial production to simulate the effects of the jump in financial uncertainty observed in correspondence of the Covid-19 … outbreak. We predict the cumulative loss in world output one year after the uncertainty shock due to Covid-19 to be about 14% …

first-order approximated solution built by perturbation methods accounts for risk. We show that risk matters economically in … a real business cycle (RBC) model with habit formation and capital adjustment costs and that neglecting risk leads to …

of our study was to examine whether and how deep parameters such as time and risk preferences affect the intention to …-earthquake control) on the effect of natural disasters on time and risk preferences. We find unambiguous effects towards more risk …

This paper studies the impact of corporate acquisitions - both domestic and cross-border - on the uncertainty faced by …-level uncertainty is characterized by a pecking order: the announcement of a domestic takeover leads to a reduction in the uncertainty … - engender a positive response in acquirers' volatility. Our results suggest that acquisitions affect uncertainty because they …

) the comparison of the degree of risk aversion for consumption and for LTC expenditures, and (iii) the income level of …

forecasting accuracy significantly. Higher uncertainty is found to increase the leverage and macro effects from credit and … commodity markets on stock market realized volatility. Specifically, Economic Policy Uncertainty is shown to be one of the main …

We argue that risk sharing motivates the bank-wide structure of bonus pay. In the presence of financial frictions that … make external financing costly, the optimal contract between shareholders and employees involves some degree of risk … to rationalize with incentive theories of bonus pay - but support an important risk sharing motive. In particular …

and uncertainty? We build a model where countries disagree on policy targets and how policies affect the economies, and … show that uncertainty not only determines the type of cooperative policy but also whether countries want to cooperate at … all. Countries facing larger model disagreement also need to face larger uncertainty with respect to policy spillovers to …