This paper explores the life insurance holdings from a general equilibrium perspective. Drawing on the data explored in Chambers, Schlagenhauf, and Young (2003), we calibrate an overlapping generations lifecycle economy with incomplete asset markets to match facts regarding the uncertainty of income and demographics. We then explore the implications for life insurance demand. We find that the a...

Are prices procyclical? For many economists, they clearly are. As Lucas (1976, 104) put it, “The fact that nominal prices and wages tend to rise more rapidly at the peak of the business cycle than they do in the trough has been well recognized from the time when the cycle was first perceived as a distinct phenomenon.” More recently, however, other researchers have challenged the prevailing view...

A middle aged man developed very high fever, status epilepticus, and terminal acute renal failure with myoglobinuria after surgery. A post mortem examination showed widespread muscle necrosis with hypercontraction bands. Muscle enzyme studies and electron microscopic examination disclosed central core disease, a condition closely related to malignant hyperpyrexia. This condition is a geneticall...

Q uantitative theory uses simple, abstract economic models together with a small amount of economic data to highlight major economic mechanisms. To illustrate the methods of quantitative theory, we review studies of the production function by Paul Douglas, Robert Solow, and Edward Prescott. Consideration of these studies takes an important research area from its earliest days through contempora...

We study competitive economies with adverse selection and fully exclusive contractual relationships. We show that Walrasian equilibria always exist and are efficient for the general class of adverse selection insurance economies considered by Prescott and Townsend (1984). The result requires an appropriate expansion of the set of markets, in the spirit of Arrow (1969) and Lindahl (1919), to inc...

The Hodrick-Prescott (HP) filter has become a widely used tool for detrending integrated time series in applied econometric analysis. Even though the theoretical time series literature sums up an extensive catalogue of severe criticism against an econometric analysis of HP filtered data, the original Hodrick and Prescott (1980, 1997) suggestion to measure the strength of association between (ma...

The document shows the application of empirical Angström-Prescott model in different places Norte de Santander, Colombia. estimates solar radiation from hours sunlight, at a site where brightness and are measured. data were obtained Institute Hydrology, Meteorology Environmental Studies, IDEAM; algorithms developed RStudio to process analyze information. establishes linear relationship between ...