activity to a financial uncertainty shock during the great recession. We replicate this evidence with an estimated DSGE … real activity of an uncertainty shock under different Taylor rules estimated with normal times vs. great recession data … (the latter associated with a stronger response to output). We find that the uncertainty shock-induced output loss …

low display more tolerance towards risk in a subsequent incentivized lottery task. This effect is mainly driven by … individuals who more firmly believe that life outcomes are beyond their control. This interaction between risk preferences and …

the COVID-19 shock translates into a noticeable reduction in gross labor income across the entire income distribution …

relevant for pass-through: beliefs about the expected duration of the shock and its interaction with price rigidities. We then … employ a hypothetical vignette to study the causal effect of nominal and real rigidities as well as the nature of the shock …

A large literature suggests that the expected equity risk premium is countercyclical. Using a variety of different … measures for this risk premium, we document that it also exhibits growth asymmetry, i.e. the risk premium rises sharply in … which agents cannot perfectly observe the state of current productivity, can generate the observed asymmetry in the risk …

framework. We test the model’s predictions in a laboratory experiment. Both in theory and in the experiment diagnostic … uncertainty decreases the rate of efficient service provision and leads to less trade. In theory, insurance also decreases the …