The selection of climate policies should be an exercise in risk management reflecting the many relevant sources of … stakeholders differ in their degree of risk tolerance. This broader risk management approach enables one to examine a range of …

probabilistic terms: we are facing deep uncertainty or ambiguity rather than risk in the classical sense, rendering the classical …

well calibrated. Finally we assess the role of risk, finding little evidence that risk-aversion drives a wedge between …

explain a set of behavioral anomalies identified across four distinct domains of decision-making: choice under risk, choice … risk and ambiguity, belief updating, and survey expectations. Our framework makes predictions that we test using exogenous …

I characterize a dynamic economy under general distributions of households' risk tolerance, endowments, and beliefs … consumption-share increases; (b) the wealth-share of high risk-tolerant households increases; (c) richer households' wealth … risk sharing. Higher uncertainty increases stock prices, risk premiums, volatility, wealth inequality and the dispersion of …