consistently Democrat or consistently Republican in national elections; and we show that their risk-sharing channels differ … with Europe's) – do share risk. Indeed, we halve previous estimates of states' residual risk by using new data to account … for sharing risk through changes in population, prices, and durable goods consumption. These findings indicate that …

and thus on the extent of risk sharing across member states. The literature to date has focused on financial and credit … markets as well as on transfer schemes as channels of risk sharing. In this paper, we show how the standard approach to … quantify risk sharing can be extended to account for migration as an additional channel of cross-country risk sharing. In …

Well-functioning risk-sharing arrangements are essential for the shock absorbing capacity and resilience of an economy … far from equal across countries, implying that risk sharing remains an important issue. This paper discusses the different … forms and channels of risk sharing and reviews the main arguments in favour and against the development of different forms …