This paper studies consumption and labor supply in a model where agents have partial insurance and face risk and … consumption are solved for analytically. We prove that all parameters of the structural model are identified given panel data on … wages and hours, and cross-sectional data on consumption. The model is estimated on US data. Second moments involving hours …

I study unemployment insurance (UI) in general equilibrium with incomplete markets, search frictions, and nominal … rigidities. An increase in generosity raises the aggregate demand for consumption if the unemployed have a higher marginal … propensity to consume (MPC) than the employed or if agents precautionary save in light of future income risk. This raises output …

-financed unemployment insurance. The key element in the analysis is that unemployment insurance is more attractive than risk shifting as a … way for workers to obtain income during unemployment. The paper also analyses the effects of risk shifting and … analysis focuses on the interaction between contractual arrangements for shifting risk from workers to employers and tax …

the rest of the economy via high unemployment and reduced labor earnings, which reduced household contributions to Social … economic shocks, and it also explores how people may react by changing their consumption, saving and investment, work and … both short- and long-term consumption, boost work effort, and defer retirement. Younger cohorts will initially reduce their …

responsive to unemployment when using regional variation. Low percentiles of both income and consumption are sensitive to … from the Current Population Survey and consumption data from the Consumer Expenditure Survey. This new evidence on the … poverty, examining alternative income poverty and consumption poverty, which have conceptual and empirical advantages as …