This paper analyzes the optimal response of the social insurance system to a rise in labor market risk. To this end, we … develop a tractable macroeconomic model with risk-free physical capital, risky human capital (labor market risk) and … (human capital) risk increases social welfare if the government adjusts the tax-and-transfer system optimally. Finally, we …

partners in the marriage market and switch between employment and unemployment in the labor market. In the marriage market … labor market divorces triggered by unemployment has decreased significantly. …

unemployment, employment by sector, vulnerable employment, labour productivity and working poverty. They also analyse country …

larger earnings fluctuations than employees and that they frequently transition into unemployment. Given that the self …-employed are not eligible to unemployment insurance, I analyze the provision of benefits targeted at these risks using a calibrated … heterogeneity. This exercise suggests that extending the current U.S. unemployment insurance scheme to the self-employed comes with …