integration has risen. In standard theory, greater financial integration facilitates international borrowing and lending, helping …

A dynamic stochastic model of global equilibrium, where countries outside the U.S. face higher risk than the U …

We show that countries that take on more international risk are rewarded with higher expected consumption growth …. International risk is defined as the beta of a country’s consumption growth with world consumption growth. High-beta countries hold … more foreign assets, as predicted by the theory. Despite the positive effects of beta, a country's idiosyncratic volatility …

Our aim is to explore how globalisation has affected consumption risk-sharing in emerging market economies. To that end …, we implement a consumption risk-sharing test, using the Barro-Ursua Macroeconomic data set. Its span lets us explore … historic episodes in which globalisation has markedly changed. We account for risk aversion heterogeneity by using the …

In order to answer the question whether more integrated financial markets are characterized by less International Risk … for financial integration, and the International Risk Sharing in consumption. Using panel-data regressions for 21 OECD … international income flows, is associated with more International Risk Sharing. Much of the increase in international asset …