parametric and non-parametric measures to capture expected wage risk. These wage risk measures are unfettered by heterogeneity … which handicapped the use of actual market wage dispersion as risk measure in earlier studies. Students in our sample … anticipate that the market provides compensation for risk, as has been established with Risk Augmented Mincer earnings equations …

Utility theory suggests that foreseeable risk should increase the compensation for work. This paper expands on this … notion: on basis of utility theory, people should care not only about risk but also about the skewness in the distribution of … the compensation paid. In particular, because the degree of risk aversion ought to decrease with income, people should …

compensated for the financial risk of investing in an education. …

Firms hiring fresh graduates face uncertainty on the future productivity of workers. Intuitively, one expects starting … variance of exam grades is higher and that starting wages are lower if the skew is higher: employers shift quality risk to new …