Some consumption opportunities, e.g. medical treatments, are both indivisible and only valuable in particular states of nature. The existence of such state-dependent indivisible consumption opportunities influences a person's risk attitudes. In general, people are not risk averse anymore even if...

This paper analyzes volatility spillovers in multivariate GARCH-type models. We show that the cross-effects between the conditional variances determine the persistence of the transmitted volatility innovations. In particular, the influence of a foreign volatility innovation on a conditional...

Crime risk perception is known to be an important determinant of individuals' well being. Therefore, it is crucial, especially for governments, to understand its determinants and those (public) policies that can reduce it. Among those polices, resources devoted to police forces emerge as a key...