response to earnings risk based on Euler equation estimates. To address endogeneity problems, we use Norwegian administrative …

frictions that allows us to distinguish between different sources of risk and to estimate their effects. The sources of risk are … variability due to shocks from variability due to the responses to these shocks. Estimates of productivity risk, once we control … for employment risk and for individual labour supply choices, are substantially lower than estimates that attribute all …

Assessing the importance of uninsurable wage risk for individual financial choices faces two challenges. First, the … identification of the marginal effect requires a measure of at least one component of risk that cannot be diversified or avoided …. Moreover, measures of uninsurable wage risk must vary over time to eliminate unobserved heterogeneity. Second, evaluating the …

a discussion of the literature that endogenize people's earnings and therefore change the nature of risk faced by …