We estimate channels of international risk sharing between European Monetary Union (EMU), European Union, and other … OECD countries 1992-2007. We focus on risk sharing through savings, factor income flows, and capital gains. Risk sharing … through factor income and capital gains was close to zero before 1999 but has increased since then. Risk sharing from capital …

We present a dynamic general equilibrium model with agency costs where: i) firms are heterogeneous in the risk of … corporate credit risk relative to the US, and when european firms value more than US firms the flexibility and information …

transfers, and saving in achieving risk sharing during the recent European crisis. We focus on the sub-periods 1990-2007, 2008 …-2009, and 2010 and consider separately the European countries hit by the sovereign debt crisis in 2010. We decompose risk … important role in hindering risk sharing during the sovereign debt crisis …