This paper quantitatively assesses the effects of inflation shocks on the public debt-to-GDP ratio in 19 advanced … impulse responses by local projections both suggest that a 1 percentage point shock to inflation rate reduces the debt … higher inflation, even if accompanied by some financial repression, could reduce public debt burden only marginally in many …

This paper investigates the impact of low or high inflation on the public debt-to-GDP ratio in the G-7 countries. Our … simulations suggest that if inflation were to fall to zero for five years, the average net debt-to-GDP ratio would increase by … about 5 percentage points over the next five years. In contrast, raising inflation to 6 percent for the next five years …

We show that the presence of nominal non-indexed government debt could give rise to more than one equilibrium inflation …

times. An inflation shock only slightly reduces the debt ratio for a few quarters. A positive growth shock unambiguously …

) import substitution policies, (c) trade liberalization, (d) inflation, (e) public debt, (f) financial policies. The paper …

wage growth and inflation in Europe and factors that influence the strength of the passthrough from labor costs to prices …. Historically, wage growth has led to higher inflation, but the impact has weakened since 2009. Empirical analysis suggests that the … passthrough from wage growth to inflation is significantly lower in periods of subdued inflation and inflation expectations …

This paper examines whether high government debt levels pose a challenge to containing inflation. It does so by … assessing the impact of government debt surprises on inflation expectations in advanced- and emerging market economies. It finds … that debt surprises raise long-term inflation expectations in emerging market economies in a persistent way, but not in …

inflation expectations. We find that people underestimate public debt levels and increase inflation expectations when informed … the central bank considerably reduces the sensitivity of inflation expectations to public debt. We also show that people … associate high public debt with stagflationary effects and that the sensitivity of inflation expectations to public debt is …