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Persistent link: https://www.econbiz.de/10003482060
We investigate the effect of fiscal institutions such as the strength of the finance minister in the budget process and deficits on interest spreads contained in bond yields of the countries now belonging to the Eurozone. Deficits significantly increase risk premia measured by relative swap...
Persistent link: https://www.econbiz.de/10003383604
This paper calculates effective macro-economic tax rates for the 25 EU countries following the methodology developed in …. We show that effective tax rates in the 10 new member states of the EU are on average 10 percentage points lower on labor … capital. The newly computed tax rates are in line with the effective tax rates of the EU Commission for EU 15. Effective tax …
Persistent link: https://www.econbiz.de/10003328546
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We study the determinants of sovereign bond spreads in the euro area since the introduction of the euro. We show that an aggregate risk factor is a main driver of spreads. This factor also plays an important indirect role for risk spreads through its interaction with the size and structure of...
Persistent link: https://www.econbiz.de/10012991092
We disentangle different driving factors of sovereign bond market integration by studying yield co-movements of EMU countries, the UK, the US and 16 German Länder in the last 15 years. At a low frequency of weeks, bond market integration has increased gradually in the course of the last 15...
Persistent link: https://www.econbiz.de/10012991124
We investigate the effect of fiscal institutions such as the strength of the finance minister in the budget process and deficits on interest spreads contained in bond yields of the countries now belonging to the Eurozone. Deficits significantly increase risk premia measured by relative swap...
Persistent link: https://www.econbiz.de/10012991168
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