We analyze the relationship of the distribution of future GDP growth and accumulation of household debt in Finnish macroeconomic data from 1980 to 2019. We find clear evidence that exuberant accumulation of household debt is related to the thickening of the left tail of the future growth...

This paper investigates the impact of sovereign debt to GDP on the yields of sovereign bonds across different maturities of India from 2000 to 2017 comprising of 18 years of sample period. The empirical analysis was performed on the yearly data of debt to GDP and yields of sovereign bond across...

This paper explores the sovereign-bank nexus in emerging markets and developing economies: the interconnectedness between the health of the sovereign and the banking system. Data from 140 emerging markets and developing economies suggest that this nexus is rising. First, banks have increased...