We study the existence of a profitable unemployment insurance market in a dynamic economy with adverse selection rooted in workers’ advance information on future job losses. The new feature of the model is that the insurer and workers interact repeatedly. Repeated interactions make it possible...

We study the existence of a profitable unemployment insurance market in a dynamic economy with adverse selection rooting in information on future job losses. The new feature of the model is that the insurer and workers interact repeatedly. Repeated interactions make it possible to threaten...

We study the existence of a profitable unemployment insurance market in a dynamic economy with adverse selection rooting in information on future job losses. The new feature of the model is that the insurer and workers interact repeatedly. Repeated interactions make it possible to threaten...

Using worker-level panel data we document that current wealth predicts the probability that a worker transitions from employment to non-employment. We find a surprising Ushaped pattern: Low-wealth workers face higher probability than the median worker, but so do the high-wealth workers. This...