With the return of the flexible exchange regime in the beginning of 1999, the search for the new nominal anchor awakened the monetary economists to a new question: how to conduct the monetary policy in Brazil? The use of inflation targets since June 1999 did not solve the problem because it did...

The aim of this paper is to make an analysis that highlights the main characteristics of the Giavazzi-Pagano (1990) and Calvo-Guidotti (1990) models. These models have large importance for the comprehension of how must be management the public debt in an environment of trust crisis and threat of...