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We study adverse selection on annuity markets in a general-equilibrium model of the closed economy. Agents differ in their health type and invest their assets on the annuity market. Without informational asymmetries themodel features a separating equilibrium in which each agent obtains an...
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external effects. Individual agents differ in terms of their mortality profile. At birth, nature assigns a health status to …
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of such royalties has not been embraced more enthusiastically. The article begins by describing the securitization … benefits of securitization as applied to entertainment royalties. Benefits of securitization include immediate liquidity, less … expensive capital, and diversification of the suppliers of the originator's funding. However, securitization does not make sense …
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This paper presents a large panel study on the macroeconomic consequences of natural catastrophes and analyses the extent to which risk transfer to insurance markets facilitates economic recovery. Our main results are that major natural catastrophes have large and significant negative effects on...
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