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The empirical research of the relation between deficits and inflation can be conducted through Granger-causality tests …. The tests made for Portugal, for the 1979:1 1994:4 period, show some evidence that deficits cause inflation. This is true … M2). The stock of internal direct debt is used to build a proxy for the deficit. There is no evidence that inflation …
Persistent link: https://www.econbiz.de/10014065567
This paper evaluates the existence of a relation between public deficits and inflation using quarterly data for … inflation …
Persistent link: https://www.econbiz.de/10014065568
Persistent link: https://www.econbiz.de/10011571884
We examine the relationship between inflation and fiscal sustainability with a two-step approach. In the first step, we … various measures of inflation such as headline inflation, core inflation, energy inflation, and food inflation affect the … estimate of fiscal sustainability found previously. Our findings indicate that higher inflation rates contribute positively to …
Persistent link: https://www.econbiz.de/10014444867
rewarded by financial markets via higher sovereign debt ratings. In addition, higher inflation and government indebtedness lead …
Persistent link: https://www.econbiz.de/10012504843
We assess the impact of China's bilateral political relations with three main trading partners-the US, Germany, and the UK-on current account balances and exchange rates, over the 1960Q1-2022Q4 period. Relying on the lag-augmented VAR approach with time-varying Granger causality tests, we find...
Persistent link: https://www.econbiz.de/10014443830
We study the relationship between the government budget balance and the current account balance for Portugal, using quarterly data from 1999 to 2019. On the one hand, the causality tests find a unidirectional relation running from the current account balance to the government budget balance. On...
Persistent link: https://www.econbiz.de/10013220907
I use a panel of semi-annual vintages of growth and fiscal forecasts of the European Commission, covering the period 1998:II-2008:II, to assess its effects on 10-year government yields for 14 EU countries. Results show that yields increase with better growth forecasts, and with decreases in...
Persistent link: https://www.econbiz.de/10014207902
I use a panel of semi-annual vintages of growth and fiscal forecasts of the European Commission, covering the period 1998:II-2008:II, to assess its effects on 10-year government yields for 14 EU countries. Results show that yields increase with better growth forecasts, and with decreases in...
Persistent link: https://www.econbiz.de/10014189659
We examine the relationship between inflation and fiscal sustainability with a two-step approach. In the first step, we … various measures of inflation such as headline inflation, core inflation, energy inflation, and food inflation affect the … estimate of fiscal sustainability found previously. Our findings indicate that higher inflation rates contribute positively to …
Persistent link: https://www.econbiz.de/10014469307