rates. The single agent, in a dynamic exchange economy, treats the conditional uncertainty about the consumption and …‐free rate in data and measure the uncertainty each period conditional on the actual, observed history of (U.S.) macroeconomic … growth outcomes. Ambiguity aversion accentuates the effect of conditional uncertainty endogenously in a dynamic way …

rates. The single agent, in a dynamic exchange economy, treats the conditional uncertainty about the consumption and …-free rate in data and measure the uncertainty each period conditional on the actual, observed histroy of (U.S.) macroeconomic … growth outcomes. Ambiguity aversion accentuates the conditional uncertainty endogenously in a dynamic way, depending on the …

, ultimate lenders and financial intermediaries. The model is used to investigate the impact of uncertainty about the likelihood … between risk and uncertainty is implemented by applying the Gilboa-Schmeidler (1989) maxmin with multiple priors framework to … analysis include: (i) An unanticipated increase in bailout uncertainty raises interest rates, the volume of defaults in both …