One of the main functions of public debt is to smooth taxes and spending over time. In the Covid crisis, the Maastricht deficit restrictions were temporarily suspended to allow for large temporary deficits. As recovery sets in, countries are confronted with the task of consolidating the Covid...

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...

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...

Research into the state of the Italian economy based on official economic data; the current Sovereign Debt, Official Reserves, GDP, Inflation and Unemployment situation is presented and and compared with the past. Please see also: Mazziero, Maurizio, Baggiani, Leonardo, Fait, Silvano and Lawford,...

We study how the co-movement of inflation and economic activity affects real interest rates and the likelihood of debt crises. First, we show that for advanced economies, periods with procyclical inflation are associated with lower real interest rates. Procyclical inflation implies that nominal...

As a response to economic crises triggered by COVID-19, sovereign debt standstill proposals emphasize debt payment suspensions without haircuts on the face value of debt obligations. We quantify the effects of standstills using a standard default model. We find that a one-year standstill...

A measure of the degree of debt monetisation is constructed for its impact on the business cycle to be studied in a standard VAR model. Debt monetisation is hardly expansionary, as it raises public demand that crowds out almost as much demand from the private sector. However, it generates...

This paper used the Johansen Cointegration test and system Generalised Method of Moments (sysGMM) to examine the dynamic relations between external debt and economic growth in 43 African countries over the period 2001-2018. The study used data from World Development Indicators (WDI) as published...

This paper explores the effect of inflation supply and demand shocks on government debt. It identifies the shocks using a sign-restricted Structural Vector Autoregression (SVAR) model with quarterly data. Estimations of dynamic panel regressions and local projections suggest that supply shocks...