Households face earnings risk which is non-normal and varies by age and over the income distribution. We show that … assets. Because households are subject to more background risk than previously considered, the estimated model implies a … substantially lower coefficient of risk aversion. We also find renewed support for rule-of-thumb investment strategies under the …

looking at the expenditure response of workers to the change in unemployment risk measured at the occupational level. We find … that occupational unemployment risk does not have a large impact on consumption expenditure. However, despite investigating … multiple forms of occupational unemployment risk for multiple expenditure categories in two expenditure surveys (PSID, CEX), we …