Incomplete Risk Sharing with Complete Markets
March 14, 2017DECRG Kuala Lumpur Seminar Series

We explore ways to introduce incomplete risk sharing in complete markets. A key assumption is that, because of financial frictions, it is costly to transfer funds in and out of households; the main implication is a formulation in between perfect risk sharing and balanced trade. We compare this specification with existing alternatives and derive implications, especially for international business cycle models and for empirical work on cross country risk sharing.

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  • Roberto Chang

    Professor of Economics at Rutgers University and Research Associate, National Bureau of Economic Research
    Roberto Chang is a Professor of Economics at Rutgers University and a Research Associate at the National Bureau of Economic Research. Before joining Rutgers University in 2000, he was a Research Officer at the Federal Reserve Bank of Atlanta. He was also an Assistant Professor at New York University and a Visiting Professor at Princeton. Professor Chang has published extensively on monetary economics, exchange rate policy, and financial crises. He has served in the editorial boards of the Journal of International Economics and the Journal of Development Economics, and as a member of the Economics Panel of the National Science Foundation. Professor Chang is a native of Peru and holds a Ph.D. in Economics from the University of Pennsylvania.
  • WHEN: Tuesday, March 14, 2017; 4:00-5:30PM
  • WHERE: World Bank Malaysia Office, Level 3, Sasana Kijang, No. 2, Jalan Dato’ Onn
  • RSVP: Kindly RSVP by Monday, March 13, 2017