When is Market Incompleteness Irrelevant for the Price of Aggregate Risk (and when is it not)?
NBER Working Paper No. 12634
---- Acknowledgments ----
We would like to thank Andy Atkeson, John Campbell, Nicolae Garleanu, John Heaton, Francis Longstaff, Narayana Kocherlakota, Per Krusell, Victor Rios-Rull, Kjetil Storesletten, Dimitry Vayanos, the Wharton and UCLA macro lunch participants and seminar participants at UCLA Anderson, Duke University, UC Irvine, NYU Stern, Princeton, the University of Wisconsin, SUNY Stonybrook, the UC Santa Barbara Conference on Risk Sharing and the AP sessions of the NBER Summer Institute for comments and the NSF for financial support. The editor, Christian Hellwig, and two referees, as well as Dave Backus, Hal Cole, Stijn Van Nieuwerburgh, Pierre-Olivier Weill and Stan Zin provided exceptionally detailed and helpful comments. All remaining errors are our own.