Publication: Modeling life-cycle earnings risk with positive and negative shocks
dc.affiliation.dpto | UC3M. Departamento de Economía | es |
dc.contributor.author | Sánchez, Manuel | |
dc.contributor.author | Wellschmied, Félix | |
dc.contributor.funder | Ministerio de Economía y Competitividad (España) | es |
dc.contributor.funder | Comunidad de Madrid | es |
dc.date.accessioned | 2022-03-29T16:23:10Z | |
dc.date.available | 2022-07-01T23:00:06Z | |
dc.date.issued | 2020-07-01 | |
dc.description.abstract | We estimate explicit age-varying distributions of idiosyncratic persistent and transitory earnings shocks over workers' life-cycles using a German administrative data set. Large positive shocks, both transitory and persistent, are characteristic for the first eight years of the working life. After the age of 50, large negative shocks become a major source of earnings risk. Between the ages of 30 and 50, most shocks are small and transitory. Large persistent positive shocks that occur early in the working life help to rationalize large wealth and consumption shares of the top one percent in an incomplete markets model. | es |
dc.description.sponsorship | This paper uses the Sample of Integrated Labour Market Biographies-Regional File 1975-2010, SIAB R 7510. The data was provided via the Cornell Restricted Access Data Center, previous authorization of the Research Data Center of the German Federal Employment Agency at the Institute for Employment Research, under the project 'Labour Income Profiles are not heterogeneous: a European test'. Felix Wellschmied gratefully acknowledges support from the Spanish Ministry of Economics through research grants ECO2014-56384-P, MDM 2014-0431, and Comunidad de Madrid MadEco-CM (S2015/HUM-3444). | en |
dc.identifier.bibliographicCitation | Sanchez, M., & Wellschmied, F. (2020). Modeling life-cycle earnings risk with positive and negative shocks. Review of Economic Dynamics, 37, pp. 103-126. | es |
dc.identifier.doi | https://doi.org/10.1016/j.red.2019.11.003 | |
dc.identifier.issn | 1094-2025 | |
dc.identifier.publicationfirstpage | 103 | es |
dc.identifier.publicationlastpage | 126 | es |
dc.identifier.publicationtitle | REVIEW OF ECONOMIC DYNAMICS | es |
dc.identifier.publicationvolume | 37 | es |
dc.identifier.uri | https://hdl.handle.net/10016/34490 | |
dc.identifier.uxxi | AR/0000026582 | |
dc.language.iso | eng | es |
dc.publisher | Elsevier | es |
dc.relation.projectID | Gobierno de España. ECO2014-56384-P | es |
dc.relation.projectID | Gobierno de España. MDM-2014-0431 | es |
dc.relation.projectID | Comunidad de Madrid. S2015/HUM-3444 | |
dc.rights | ©2020 Elsevier | es |
dc.rights | Atribución-NoComercial-SinDerivadas 3.0 España | * |
dc.rights.accessRights | open access | es |
dc.rights.uri | http://creativecommons.org/licenses/by-nc-nd/3.0/es/ | * |
dc.subject.other | Life-cycle | en |
dc.subject.other | Earnings risk | en |
dc.subject.other | Wealth dispersion | en |
dc.subject.other | Consumption inequality | en |
dc.title | Modeling life-cycle earnings risk with positive and negative shocks | en |
dc.type | research article | * |
dc.type.hasVersion | AM | * |
dspace.entity.type | Publication |
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