households reduce their financial risk exposure when confronted with background risk. Our novel modelling approach – termed a … risk, and is unique in recovering for, any given risky asset class, the shares that are reallocated to a safer asset … category. Background risk exerts a significant impact on household portfolios, resulting in a 'flight from risk', away from …

seminal study, Lazear (1990) found that contract avoidance of severance pay firing costs was theoretically simple – a bonding …, formal measures of severance-induced firing costs and hiring costs are derived. Firing costs are, it turns out …, systematically less than benefit generosity alone would imply. Moreover their interrelationship with hiring costs, often employed in …

paper, we show that frictions in the labour market leading to monitoring costs tend to reduce the growth of the firm via two …

contracts literature hold up to recent empirical evidence. Guided by theory, we arrange services according to the type and … costs and quality, for services without severe contracting problems. The picture is more mixed for services with tougher …

We develop a standard search-matching model in which mobility costs are so high that it is too costly for workers to … and commuting costs because firms need to compensate the transportation cost difference between the employed and …

this relation is driven by a link between internal economic locus of control and a lower perception of the risk of …