We propose a novel approach to estimate household income uncertainty at various future horizons and characterize how … the estimated uncertainty evolves over the life cycle. We measure income uncertainty as the variance of linear forecast … errors conditional on information available to households prior to observing the realized income. This approach is …

This paper assesses the quantitative importance of a number of sources of income risk for household welfare and … precautionary saving. To that end I construct a lifecycle consumption model in which household income is subject to shocks … associated with disability, health, unemployment, job changes, wages, work hours, and a residual component of household income. I …

We consider an environment in which individuals receive income shocks that are unobservable to others and can privately …

Data from the Federal Reserve Board's Survey of Consumer Finances show a striking pattern of growth in family income … among the group of families whose income was higher than the median. The median value of family net worth grew faster than … that of income, but as with income, the growth rates of net worth were fastest for groups above the median. The years …

, while the accounting of household income from stock holdings may be skewing saving estimates. Moreover, broad measures of …