"Using a model with constant relative risk-aversion preferences, endogenous labor supply and partial insurance against … cost associated with missing insurance markets. On the other hand, greater wage dispersion presents opportunities to raise …

partial insurance of parental investments against permanent income shocks, but the magnitude of the estimated responses is … small. We cannot reject the hypothesis full insurance against temporary shocks. Another interpretation of our findings is … that there is very little insurance available, but the fact that skill is a non-separable function of parental investments …

partial insurance of parental investments against permanent income shocks, and we cannot reject the hypothesis full insurance … 10% of family income leads, at most, to an increase in investments of 1.3% of a standard deviation. -- insurance ; human …