analysis uses a tractable consumption-saving model with labor income risk and incomplete markets to relate income dynamics to … therefore (almost) welfare-neutral. A smaller part of measured income mobility is due to either welfare-reducing income risk or …

Using data from Mexico, the authors study empirically the link between trade policy and individual income risk and the … on workers to estimate time-varying individual income risk parameters in different manufacturing sectors in Mexico … and income risk for workers of varying education levels. The authors' findings are as follows. The level of openness of an …