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Happiness and the Persistence of Income Shocks
incomplete markets happiness income persistence
2012/10/23
We reassess the empirical effect of income and employment on self-reported well-being. Our analysis makes use of a novel two-step estimation procedure that allows applying instrumental variable regres...
Labor Supply and Consumption Smoothing When Income Shocks Are Non-Insurable
dual job holding wage shock consumption smoothing subsidiary farming reaction time to shocks
2012/11/1
The paper investigates how employees use secondary employment to smooth out consumption shortfalls from non-anticipated wage shocks in their main employment. The identification strategy exploits surpr...