We estimate the changes in US male labor market risk over the last three decades in a model of endogenous labor supply … a life-cycle model with search frictions, we show that the estimated changes in risk can account for 85 percent of the … increase in within group wage inequality. The welfare costs of rising risk are small. …

shocks to the first and second moments of idiosyncratic risk on macroeconomic outcomes. An increase in demand uncertainty …

into an i.i.d. generational consumption shock. In other words, each generation bears all of the risk associated with their … producing human capital. We also demonstrate that this attenuation effect tends to concentrate generational consumption risk … around the generation subject to the birth rate shock. In a limiting case, we show that an i.i.d birth rate shock translates …

shock. Third, we present evidence coherent with the idea that more leveraged sectors experience larger employment volatility … in normal times deep capital markets lead to tight labor markets. After an adverse liquidity shock, firms that rely much …

a firm-specific shock to credit supply, which identifies firms that, because of the collapse of the interbank market … long run. Moreover, firms operating in areas with favorable labor market conditions react to the credit shock by hoarding …

school increased significantly when the household experienced an illness, death or asset shock. We proposed a test to …