Employment termination in East Germany in the first nine months after unification is analyzed within a discrete hazard rate model with three absorbing states, namely short-time work, unemployment and non-participation. Estimation is based on a cohort of employed individuals in June 1990 and the...

Using German panel data, we assess the causal effect of job loss, and thus of an extensive income shock, on risk attitude. In line with predictions of expected utility reasoning about absolute risk aversion, losing oneś job reduces the willingness to take risks. This effect strengthens in...

In this study, we address the question of why some CEOs stay in office during a performance downturn while others don't. Based on a social capital perspective we assume that (1) the social capital endowment of an underperforming CEO may reduce the risk of getting dismissed and that (2) the...