This paper sheds light on the attractiveness of U.S. assets by studying dollar risk premiums, calculated using … dollar risk premiums (i.e. expectations of a dollar depreciation net of interest rate effects) amid record capital inflows … of U.S. financial markets to European investors suggests that they offer a large array of assets, with different risk …

foreign exchange, interest rate, and credit risk. For surveillance purposes, this framework can easily be integrated into one …

realignment/devaluation risk, as well as an endogenous exchange rate risk premium. The risk premium is small for reasonable …

consumption across countries from the predictions of models with full risk sharing. It is commonly believed that these risk … that the full risk sharing equilibrium may not require much diversification of equity portfolios when there is price …