and ex post effects of risk using long-running panel data for rural households in Zimbabwe. It proposes a simulation …How exposure to risk affects economic growth is a key issue in development. This article quantifies both the ex ante …-based econometric methodology to estimate the structural form of a micro model of household investment decisions under risk. The key …

remarkable long-running panel data set for rural households in Zimbabwe. We find that risk substantially reduces growth: in the …There has been a revival of interest in the effect of risk on economic growth. We quantify both ex ante and ex post … effects of risk using a stochastic version of the Ramsey model. We develop a simulation-based econometric methodology which …