Analysing the US Panel Study of Income Dynamics, we present a new empirical method to investigate the extent to which households reduce their financial risk exposure when confronted with background risk. Our novel modelling approach - termed a deflated fractional ordered probit model -...

The ability of political parties in advanced industrial democracies to maintain the traditional linkage between voters and their governments by making and attempting to fulfill policy promises is potentially being challenged by emerging social, political, and economic forces of the 21st century....