Public debt and taxation are central concerns of economic policy, with important implications for growth, equity, and stability. This dissertation consists of three essays that examine different aspects of these issues, using a combination of theoretical and empirical methods.The first chapter...

EMU driven interest rate convergence has led to a significant reduction of borrowing costs for some European governments in the second half of the nineties. The paper deals with the possible consequences for deficit behaviour. Although the impact of interest rates on deficits is a crucial...