Government Debt and Long-Term Interest Rates /
This paper examines the relationship between government debt and long-term interest rates. A dynamic general equilibrium model that incorporates debt nonneutrality is specified and solved, and numerical simulations using the model are undertaken. In addition, empirical evidence using panel data for...
| প্রধান লেখক: | |
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| বিন্যাস: | পত্রিকা |
| ভাষা: | English |
| প্রকাশিত: |
Washington, D.C. :
International Monetary Fund,
2006.
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| মালা: | IMF Working Papers; Working Paper ;
No. 2006/063 |
| অনলাইন ব্যবহার করুন: | Full text available on IMF |
| সংক্ষিপ্ত: | This paper examines the relationship between government debt and long-term interest rates. A dynamic general equilibrium model that incorporates debt nonneutrality is specified and solved, and numerical simulations using the model are undertaken. In addition, empirical evidence using panel data for 19 industrial countries is examined. The estimation provides some evidence supporting the theoretical predictions: the paper finds that the simulated and estimated interest rate effects of government debt tend to be small. However, an increase in government consumption and debt leads to a considerably larger effect. The paper also argues that, although the interest rate effects of pure crowding out may be limited, the economic impact of accumulating government debt cannot be ignored. |
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| উপাদানের বিবরণ: | <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required |
| দৈহিক বর্ননা: | 1 online resource (25 pages) |
| বিন্যাস: | Mode of access: Internet |
| আইএসএসএন: | 1018-5941 |
| প্রবেশাধিকার: | Electronic access restricted to authorized BRAC University faculty, staff and students |