Firms provide substantial insurance against wage fluctuations and job loss. This paper studies how the interaction between shock size and persistence affects the firm’s ability to insure workers against idiosyncratic firm-level shocks. Using linked employer-employee data from Germany, I find...

Firms provide substantial insurance against wage fl uctuations and job loss. This paper studies how the interaction between shock size and persistence affects the firm's ability to insure workers against idiosyncratic firm-level shocks. Using linked employer-employee data from Germany, I find...

Firms provide substantial insurance against wage fl uctuations and job loss. This paper studies how the interaction between shock size and persistence affects the firm's ability to insure workers against idiosyncratic firm-level shocks. Using linked employer-employee data from Germany, I find...

Firms provide substantial insurance against wage fluctuations and job loss. This paper studies how the interaction between shock size and persistence affects the firm's ability to insure workers against idiosyncratic firm-level shocks. Using linked employer-employee data from Germany, I find...

Aging populations have led many European countries to make an effort to increase the effective retirement age and keep workers longer in the labor force. An increase in the retirement age does not necessarily lead to a rise in the employment rate of older workers, as many could remain...

This paper studies the provision of occupational safety when the labor market is subject to search frictions. While safety measures are costly for firms, they reduce workers' mortality. We show that the presence of search frictions decreases the socially optimal level of occupational safety...

In light of the low re-employment opportunities that workers above age 55 face in continental Europe, inefficient separations of older workers may generate a significant welfare loss for the economy. The economic literature therefore suggests eliminating any governmental policies that distort...