categorised in three types namely; general accounts and services, investment/savings and insurance/assurance. Taking into account …

aspect of the EITC that has received little attention thus far is its role as a public insurance program. Yet, the structure … to both wages and changes in family structure. Our study provides the first quantitative statement about the insurance … demographic risk, but have only limited self-insurance capacity. We use the model to compare outcomes under the EITC to the …

provide a novel decomposition of labor income tax formulas into a redistribution and an insurance component. The latter is … capital tax is non-zero and trades off redistribution and insurance against savings distortions. Our quantitative results … reveal that the insurance component contributes significantly to optimal labor tax rates and provides an informative lower …

-free physical capital and risky human capital. Households have access to a complete set of credit and insurance contracts, but their … households less than half of human capital risk is insured and the welfare losses due to the lack of insurance range from 3 … parameters have non-negligible effects on equilibrium insurance and welfare, but the result that young households are severely …