In the wake of rising inflation in the aftermath of unprecedented debt financed stimulus packages, we ask: Can … governments use real bonds (TIPS) as part of their debt portfolio to commit to stable inflation rates? We propose a novel … and real assets to use inflation effectively to smooth fiscal policy. When the government cannot commit to future policies …

Using market prices of inflation-linked bonds and nominal bonds issued by the French Treasury, both the real and … zero coupon bond prices: bootstrapping, a piecewise constant forward rates method, a cubic spline model, and the Nelson and … Siegel smoothing model. Next, based on the estimated real and nominal curves, several methodologies to hedge bond portfolios …

short-term interest rate, inflation, the growth of industrial production, and the government debt ratio. The results show …

government bond markets. …

This paper investigates the optimal bond portfolio choice of an investor in a model that captures both the failure of … bond returns. I estimate a daily multifactor affine term structure model with a large set of unrevised macroeconomic data … in which one of the state variables is unspanned by the contemporaneous yield curve. By characterizing the optimal bond …

debt boom was mainly driven by large sovereign bond issuances in London and New York, as well as growing lending by Chinese …

against macroeconomic shocks to the government budget. Whether this goal is better accomplished by nominal or inflation … markets and the risk of default. We argue that the role of inflation-indexed debt as a hedge against demand and inflation … deserve greater attention in debt sustainability analysis. Finally, we compare the theory of fiscal insurance to the debt …