We extend the canonical income process with persistent and transitory risk to shock distributions with left-skewness … and excess kurtosis, to which we refer as higher-order risk. We estimate our extended income process by GMM for household … data from the United States. We find countercyclical variance and procyclical skewness of persistent shocks. All shock …

endogenous firing as well as a short-time work decision. In recessions, short-time work reduces the unemployment risk of workers …

recessions. First, we show that the consumption risk of short-time work is considerably smaller compared to unemployment using … risk of workers, which mitigates their precautionary savings motive. Using a quantitative model analysis, we show that this …

We extend the canonical income process with persistent and transitory risk to shock distributions with left-skewness … and excess kurtosis, to which we refer as higherorder risk. We estimate our extended income process by GMM for household … data from the United States. We find countercyclical variance and procyclical skewness of persistent shocks. All shock …

search unemployment, skill depreciation during unemployment, and idiosyncratic as well as aggregate labor market risk. The …

search unemployment, skill depreciation during unemployment, and idiosyncratic as well as aggregate labor market risk. The …

search unemployment, skill depreciation during unemployment, and idiosyncratic as well as aggregate labor market risk. The …

search unemployment, skill depreciation during unemployment, and idiosyncratic as well as aggregate labor market risk. The …

search unemployment, skill depreciation during unemployment, and idiosyncratic as well as aggregate labor market risk. The …