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As atmospheric concentrations of carbon dioxide continue to rise, we are putting future generations at risk of having to deal with a massive carbon debt. Researchers are calling for immediate action t...
This paper examines the time-varying conditional correlations of daily European equity market returns during the Irish sovereign debt crisis. A dynamic conditional correlation (DCC) multivariate GARCH...
Private and Public Debt     Flow of funds  Private debt  Public debt       2016/1/27
In the paper we provide some empirical evidence of the development of private debt to GDP ratio in the sample of 18 EU Member States. We use detailed national accounts published regularly by the OECD-...
n 1841 and 1842, eight states and the Territory of Florida defaulted on their sovereign debts. Traditional histories of the default crisis have stressed the causal role of the depression that began ...
Using a variance decomposition of shocks to GDP, we quantify the role of international factor income, international transfers, and saving in achieving risk sharing during the recent European crisis. ...
There is a large literature on why countries choose to issue debt rather than financing expenditures by current taxation. If Ricardian Equivalence holds and taxes are non-distortionary,then it doesn’t...
Sovereign bonds are no longer a safe haven for investors.*** Essentially, sovereign bonds are the sovereign’s promise to pay out interest on principal lent by the bondholders and to repay the principa...
There has been a significant increase in personal debt in the United Kingdom (UK) in recent years and this increase in personal debt, and the associated strain and suffering, has been particularly ske...
Government guarantees of private debt deplete equity. The depletion is greatest during periods when the probability of a guarantee payoff is highest. In a setting otherwise subject to Modigliani-Mille...
Using a recursive empirical model of the real interest rate, GDP growth and the primary government deficit in the United States, I solve for the ergodic distribution of the debt/GDP ratio. If such a d...
Internal Financing of Multinational Subsidiaries: Debt vs. Equity.
The maturity of new debt issues predicts excess bond returns. When the share of long term debt issues in total debt issues is high, future excess bond returns are low. This predictive power comes in t...
By the end of 2013, the share of government debt held by the domestic banking sectors of Eurozone countries was more than twice its 2007 level. We show that this type of increasing reliance on the dom...
Using both quasi- and Precise-Regression Discontinuity designs we provide new evidence on third-party costs of technical defaults that have not been examined previously in the literature. In particula...

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