Grant from the Danish Social Sciences Research Council (FSE)

FSE has decided to grant Moira Daly and Fane Groes, both CBS’ Department of Economics, DKK 1.6 million for a research project that adds to the vast and active literature dedicated to understanding individual earnings dynamics and the economic forces that affect it. Individuals cannot insure themselves fully from unexpected changes to their incomes. This is important e.g. for  unemployment insurance, taxation, and job training.

The research project has two ambitious goals: First to properly specify the permanent component of earnings and second to document the reasons behind diverging estimates of the size and persistence of the shocks to individual earnings available in the literature. The project will be based on uniquely large and unusually rich Danish administrative data.

For an abstract and for an overview of other recipients, please consult

http://www.fi.dk/tilskud/bevillingsoversigter/2011/bevillinger-fra-det-f...