Gualtiero Azzalini successfully defends his thesis

On 14 June Gualtiero successfully defended his thesis "Essays on Income Risk, Portfolio Choices and the Macroeconomy".

Gaultiero and IIES Professor John Hassler at the defense
Gaultiero and IIES Professor John Hassler at the defense

Alexander Michaelides at Imperial College London acted as opponent.


About the thesis

This thesis consists of three self-contained essays. All of them combine the usage of micro and macro data and quantitative models to study how agents balance their exposure to income risk when facing idiosyncratic and aggregate shocks. 

The first chapter analyzes how endogenous income risk emerges from the optimal risk-sharing allocation between workers and firms. Chapter two shows that endogenous income risk coming from agents’ portfolio choices reveals their true labor income process. The third chapter illustrates that endogenous income risk ensuing from preference heterogeneity across individuals helps explain wealth inequality.

Overview of the defense

Read more about Gualtiero's thesis

In August 2023, Gualtiero will take up a position as Assistant Professor in Finance at Stockholm School of Economics and Research Fellow at Swedish House of Finance.