Economic theory predicts that adverse shocks during early childhood have detrimental short- and long-run consequences for children's development. We examine this hypothesis by analyzing the short-and long-run effects on children's health and education of a specific shock: housing damages caused...

In this study we experimentally investigate whether solidarity, which is a crucial base for informal insurance arrangements in developing countries, is sensitive to the extent to which in-dividuals can influence their risk exposure. With slum dwellers of Nairobi our design measures subjects'...

Negative income shocks can either be the consequence of risky choices or random events. A growing literature analyzes the role of responsibility for neediness for informal financial support of individuals facing negative income shocks based on randomized experiments. In this paper, we show that...