"The permanent presence of experts in the media has become ingrained in our everyday lives. Expertise is ubiquitous on TV, radio, and social media. It ranges from highly specialized and technical knowledge of the natural and social world to mundane aspects of life like our household clutter....

This paper suggests a solution to what has become known as the "private equity premium puzzle" (Moskowitz and Vissing-Jorgensen (2002)). We interpret occupational choice as a dynamic portfolio choice problem of a life-cycle investor facing a liquidity constraint and imperfect information about...