Using detailed micro data, we document that households often use "stimulus" checks to pay down debt, especially those … otherwise standard incomplete markets model. Because interest rates rise with debt, borrowers have increasingly larger … incentives to use an additional dollar to reduce debt service payments rather than consume. Using our calibrated model, we then …

perspective. This is shown by means of examining the effect of increasing capital accumulation on the debt-capital ratio of the … accumulation may be associated with a falling (rising) debt-capital ratio for the economy as a whole and hence with the 'paradox of … debt'. Therefore, the treatment of the rate of interest as an exogenous macroeconomic distribution parameter in Post …

Money, which provides liquidity, is distinct from debt. The introduction of a bank that issues money in exchange for … debt and pays out its profit as dividend to shareholders modifies the model of overlapping generations. Monetary policy can …

also addressing, albeit in a limited way, the larger political issue of the nation's debt and deficit along with the …

debt deflation and prolonged recession. Financialization operates through three different conduits: changes in the …

motive for expectation management that aims towards the manipulation of equilibrium prices of government debt in a favorable …

We examine the impact of different degrees of fiscal feedback on debt in an economy with nominal rigidities where …