response the debt is more important in the effect of monetary policy, for prices, the "Ricardian" nature of fiscal policy … appears to be far more crucial. However, regarding inflation targeting, monetary policy is most effective in the low debt …

one-period lagged public debt-to-GDP ratio; and public debt-to-GDP ratio and one-period lagged primary government balance …

reacts positively to the lagged public debt ratio and past primary government balances contribute to the reduction of the … public debt ratio, indicating a Ricardian fiscal regime. Furthermore, in a panel framework: (ii) the response of revenues to … government expenditures is higher from 2010 onwards, and, for higher average public debt ratios, the response is lower, while …