In this paper, the author considers the sovereign debt in the form of one-period government bonds with default risk, which can be purchased by and traded among domestic and foreign investors. She shows that the weight assigned to the lenders' interest by the borrowing government at the time of...

In this paper, the author considers sovereign debt in the form of one-period government bonds with default risk, which can be purchased by and traded among domestic and foreign investors. She shows that the "good equilibrium" is the only stable equilibrium under some quite general assumptions,...

Two centuries of Greek debt crises highlight the pitfalls of relying on external financing. Since its independence in 1829, the Greek government has defaulted four times on its external creditors - with striking historical parallels. Each crisis is preceded by a period of heavy borrowing from...

We continue to struggle with the legacy of the 2008 financial crisis, which was fundamentally caused by the incurrence of too much leverage on the part of all economic participants, including individuals, private firms and financial institutions, and governments. Despite continued high...

This study, in Italian language, examines the quarterly evolution of Italy's sovereign debt, its stock of government bonds, official reserves, GDP and balance of trade, inflation and unemployment. Please see also: Mazziero, Maurizio, 2010: Un Altro Anno a Debito per l'Italia (2010: Another Year...

Following the financial crisis in 2008/09, concern on some EU countries' public debt has continued to deepen in 2010/2011. As of May 2011, Greece, Ireland and Portugal have resorted to the joint EU-IMF's support, and economists now acknowledge a debt crisis in the Euro Area. If at first the...

On Monday, May 16, 2011, the United States reached the current statutory limit on the federal government's borrowing power, the debt limit or debt ceiling, of $14.294 trillion. In theory, reaching the debt limit constrains the Treasury's regular methods of financing federal activities or meeting...

This study, in Italian language, examines the quarterly evolution of Italy's sovereign debt, its stock of government bonds, GDP and inflation. Please see also: 2010: Mazziero, Maurizio, 2010: Un Altro Anno a Debito per l'Italia (2010: Another Year of Debt for Italy) (April 10, 2011). Available...

Compared to private debtors, sovereign debtors, especially EU-sovereign debtors, enjoy many privileges under European Union law and under national laws. They are, for example, exempt from the prospectus requirement and not subject to the continuous disclosure obligations. The prohibition on...

Questo Quaderno di Ricerca pone sotto osservazione i dati economici italiani, esaminando l'evoluzione trimestrale del debito pubblico, dello stock di Titoli di Stato, delle Riserve ufficiali, della crescita del Pil, dell'inflazione e della disoccupazione.This study, in Italian language, examines...