Using a model with constant relative risk-aversion preferences, endogenous labor supply and partial insurance against … cost associated with missing insurance markets. On the other hand, greater wage dispersion presents opportunities to raise … second moments of the joint distribution over individual wages, consumption and hours …

We study an insurance model characterized by a continuum of risk types, private information and a competitive supply …

least insured. We document this risk-insurance pattern in data on life-insurance drawn from the Survey of Consumer Finance …. A calibrated version of the model can quantitatively account for the life-cycle variation of insurance observed in the … US data and implies welfare costs of under-insurance for young households that are equivalent to a 4 percent reduction in …

—age independent, linear—one that is typically used to evaluate government insurance provision. The second wage process is a flexible …

constraints on entry, but in addition it facilitates transfers of control of incumbent firms, from untalented to talented managers …