Knowledge on mortality risk unfolds over the life-course and questions whether longevity risk should be hedged by acquiring annuities sequentially alongside an evolving information set. It is shown to be optimal for risk averse households to annuitize all old-age consumption already as young...

We describe a “business as usual” (BAU) economy in which pollution is a by-product of productive activity by the current generation but “damages” production for future generations. Over time, conditions in the BAU economy become dire: it gets increasingly polluted, consumption falls and...

Time-inconsistent, present-biased agents may hold commitment assets hoping to keep their current and future present bias in check. Paternalistic governments, in an effort to help such people, routinely offer commitment machinery such as restrictions (or bans) on early withdrawals from...