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How do oil price movements affect sovereign spreads in an oil-dependent economy? I develop a stochastic general equilibrium model of an economy exposed to co-moving oil price and output processes, with endogenous sovereign default risk. The model explains a large proportion of business cycle...
Persistent link: https://www.econbiz.de/10012858384
The aim of this study is to cluster the most widely used public debt management tools peculiar to the EECCA (Eastern … Europe, Caucasus, and Central Asia) markets. Overall, the results show that the volume of EECCA countries' public debt … relative to GDP declined from 2000 to 2015. However, as their public debt enhanced after 2016 and until 2020, inclusive, the …
Persistent link: https://www.econbiz.de/10014234396
This paper presents a critical approach to the policy debate about external debt sustainability and debt relief in the … High Indebted Poor countries (HIPC). The authors look at the different approaches to and models of debt sustainability and … includes not only the external debt, but also the domestic debt, as well as the balance of payments and the exchange rates. The …
Persistent link: https://www.econbiz.de/10014065548
The purpose of the study is to test for debt sustainability as well as assess the impact of public debt on economic … suggested by Bohn (1998) to test for the sustainability of Ghana's debt. The neoclassical growth model was used to determine the … relationship between debt and economic growth after controlling for other determinants of growth such as labour, capital, trade …
Persistent link: https://www.econbiz.de/10013348432
macroeconomic stability and growth. Second, the tools of macroeconomic policy-fiscal and monetary policy together with debt … deficit and debt ratios. This paper discusses these macroeconomic dimensions, focusing on the developing world. The paper …
Persistent link: https://www.econbiz.de/10012228062
Persistent link: https://www.econbiz.de/10014514704
This paper surveys the recent literature on fiscal sustainability, with particular emphasis on emerging market countries. It discusses the main elements that differentiate emerging market countries from industrial countries and then discusses how probabilistic models can help to evaluate fiscal...
Persistent link: https://www.econbiz.de/10010327194
, but the government's debt burden is actually stopping several states from attaining the MDG targets. Although, in the … medium term the impact of the debt on poverty is not very harmful, in the longer run it has a significant negative impact …. Therefore for policy purposes reduction in debt should be given a priority. …
Persistent link: https://www.econbiz.de/10010284630
A well-designed public debt management strategy can help countries reduce their borrowing cost, contain financial risks … and develop their domestic markets. Using survey data on debt management strategies, this paper studies whether the … probability that a country has a formal debt management strategy, publishes the strategy document, and uses quantitative …
Persistent link: https://www.econbiz.de/10013104167
This paper compares the effects of government consumption and government debt on economic growth by using data from 83 … that the negative effects of government consumption are relatively higher than the negative effects of government debt. A … restrictions on government debt are shown to be more important for countries with higher trade openness, lower inflation or higher …
Persistent link: https://www.econbiz.de/10012855262