This paper studies empirically the relationship between trade policy and individual income risk faced by workers, and … three steps. First, longitudinal data on workers are used to estimate time-varying individual income risk parameters in … various manufacturing sectors. Second, the estimated income risk parameters and data on trade barriers are used to analyze the …

earnings shocks and find important asymmetries: positive shocks to high-income individuals are quite transitory, whereas … negative shocks are very persistent; the opposite is true for low-income individuals. Finally, we use these rich sets of …

towards risk. We find that the uncertainty associated with anthropogenic climate change imply carbon taxes much higher than …

refer to this measure of volatility as 'risk'. We find that fluctuations in risk are the most important shock driving the …

After signing ten free trade agreements between 1993 and 2001, Mexico as a world leader in foreign trade policy … agreements (RTAs) arises from a consistency test, but also from the ability of a country to administer them. Mexico's multiple … model of equilibrium, along with a political economy approach of why Mexico seeks multiple RTAs as its foreign trade policy …

frictions that allows us to distinguish between different sources of risk and to estimate their effects. The sources of risk are … heterogeneity. In contrast to simpler models that attribute all income fluctuations to shocks, our framework disentangles … variability due to shocks from variability due to the responses to these shocks. Estimates of productivity risk, once we control …