We analyze the impact of trade policy uncertainty on investment in the euro area. Our identification strategy assumes … respect to trade uncertainty. We find that the investment-to-GDP ratio is on average 0.8 percentage points lower for five … quarters following a one standard deviation increase in the level of trade uncertainty. We demonstrate that these results are …

'buffer stock' model of optimal consumption in the presence of labor income uncertainty and credit constraints. Saving in the … uncertainty. An estimated structural version of the model suggests that increased credit availability accounts for …