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This paper investigates the role that idiosyncratic uncertainty plays in shaping social preferences over the degree of labor market flexibility, in a general equilibrium model of dynamic labor demand where the productivity of firms evolves over time as a Geometric Brownian motion. A key result...
Persistent link: https://www.econbiz.de/10013325149
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This paper investigates the role that idiosyncratic uncertainty plays in shaping social preferences over the degree of labor market flexibility, in a general equilibrium model of dynamic labor demand where the productivity of firms evolves over time as a Geometric Brownian motion. A key result...
Persistent link: https://www.econbiz.de/10003719624
Persistent link: https://www.econbiz.de/10011871462
With the recent debt crisis, the necessity of effective measures for safeguarding fiscal sustainability has become patent, leading to an intense debate. Most of the debate focuses on strengthening fiscal rules and restoring fiscal imbalances through austerity measures. In this paper, I address...
Persistent link: https://www.econbiz.de/10013020591
Persistent link: https://www.econbiz.de/10014374968
This article compares portfolio selection based on the downside risk sensitivity with portfolio selection based on … Sharpe or Treynor ratios. Downside risk sensitivity (DRS) is given by an asset pricing model in which the downside and upside … symmetric risk aversion in both sides of the expected return of the market portfolio, the assumption underlying downside risk …
Persistent link: https://www.econbiz.de/10012890681
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