Interested in details on empirical evidence, theoretical mechanisms, or solution methods for a non-stationary incomplete markets model?

Check out the paper here: hannahroemer.github.io/HR_JMP_CCS.pdf

And see my website hannahroemer.com my for other work

Climate beliefs matter, both on aggregate and distributionally:
🔹NPV of output ⬇️ by 12% under low awareness
🔹disproportionate income losses for poor households

I incorporate climate change into an incomplete markets model as a shift in the stochastic productivity process.

Awareness over this shift pushes up individual savings, consistent with observational and causal UK survey data.