Using German panel data, we assess the causal effect of job loss, and thus of an extensive income shock, on risk … attitude. In line with predictions of expected utility reasoning about absolute risk aversion, losing oneś job reduces the … perceives the threat of job loss and is of a transitory nature. The change in stated risk attitude matches observable job …

wage risks and shows the risk of old-age poverty in Germany. After a short introduction, the effects of income and … also a negative interaction effect. The marginal effect of the income risk is positive. However, the marginal effect of the … unemployment risk is negative. Chapter 3 focuses on the effects of the reduction of unemployment benefits in the course of the …