Guibaud, Stéphane; Nosbusch, Yves; Vayanos, Dimitri - In: Review of Financial Studies 26 (2013) 8, pp. 1914-1961
We propose a clientele-based model of the yield curve and optimal maturity structure of government debt. Clienteles are generations of agents at different lifecycle stages in an overlapping-generations economy. An optimal maturity structure exists in the absence of distortionary taxes and...