increases, so does the risk that a restrictive forward guidance shock will increase rather than decrease stock prices. This …

We link governments’ spending efficiency scores, to sovereign debt assessments made by financial markets´, more … specifically by three rating agencies (Standard & Poors, Moody´s and Fitch). Public efficiency scores are computed via data … efficiency scores. Covering 34 OECD countries over the period 2007-2018, we find that increased public spending efficiency is …