This paper identifies the entrepreneur’s exposure to idiosyncratic risk as an important determinant of the capital … structure of private companies. The exposure to idiosyncratic risk is approximated by the share of personal net worth invested … in one company (SNWI). Exposure to idiosyncratic risk increases cost of equity capital since higher equity returns are …

-focused information about the effects of climate change influences the personal perceived risk (PPR) of individual people. Based on a … adaptation ; perceived risk ; adaptation motivation ; spatial-temporal distance ; information, protection motivation theory …

risk aversion is assumed, a "tyranny of catastrophic risk" (TCR) emerges, i.e. project evaluation may be dominated by the … catastrophic event even if its probability is negligibly small. With low degrees of risk aversion, however the catastrophic risk …

dataset covering 1% of German households for the period 1995-2009, we analyse the return and risk properties that can be … expected from human capital contracts. We find that funds of human capital contracts provide low risk exposures to stocks and … bonds. As a result, risk-adjusted returns of funds of human capital contracts are signicantly positive under fairly weak …

This paper analyzes the impact increased offshoring has on labor income risk. It is therefore distinct from a large … second moments, i.e. the variance of incomes. It provides an assessment that directly connects labor income risk and …. Permanent income risk is defined as variance of shocks to income that do not fade out over time and are assumed to be not self …