On the Welfare Costs of Consumption Uncertainty
NBER Working Paper No. 12763
---- Acknowledgements -----
This research is supported by the National Science Foundation. I am grateful to Jong-Wha Lee for motivating me to think about this topic. I appreciate comments from Fernando Alvarez, John Campbell, John Cochrane, Xavier Gabaix, Lars Hansen, Greg Mankiw, Ian Martin, Casey Mulligan, and Ivan Werning. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.