economies. Furthermore, we provide a specific example for an idiosyncratic supply shock to a small sector that amplifies to an …

This paper examines the role of disaster shock in a one-sector, representative agent dynamic stochastic general …, consumption, and country spread to capture the economic effects of output, country risk, and exogenous natural disaster shocks … Belize. Similar findings between empirical and general frameworks show that disaster shocks in Central America and the …

This paper examines the role of disaster shock in a one-sector, representative agent Dynamic Stochastic General …, consumption and country spread to capture the economic effects of output, country risk and exogenous natural disaster shocks. We …. Similar findings between empirical and general framework show that disaster shocks in Central America and the Caribbean have …

shocks to aggregate uncertainty, I introduce a small, time-varying risk of economic disaster in a standard real business … cycle model. The paper establishes two simple theoretical results: first, when the probability of disaster is constant, the … risk of disaster does not affect the path of macroeconomic aggregates - a "separation theorem" between macroeconomic …