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We study asset prices in an economy where some investors classify risky assets into different styles and move funds back and forth between these styles depending on their relative performance.
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market can lead a majority of individuals to prefer public insurance over private insurance, even if the median risk is below … the average risk (so that the median ends up subsidizing high-risk individuals). …
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A partly heuristic attempt at exploring long-run policies aimed at a second-best compromis between ex ante risk … advocated, together with imposed risk sharing between capital and labour, between generations and between countries belonging to …
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