Budget Deficits and Interest Rates : A Fresh Perspective / Ari Aisen, David Hauner.

Format:

Book

Government document

Author/Creator:

Aisen, Ari.

Contributor:

Hauner, David.

Series:

IMF Working Papers; Working Paper ; No. 2008/042

IMF Working Papers

Language:

English

Subjects (All):

Budget deficits.

Interest rates--Econometric models.

Interest rates.

Physical Description:

1 online resource (21 p.)

Place of Publication:

Washington, D.C. : International Monetary Fund, 2008.

Language Note:

English

Summary:

We extend the literature on budget deficits and interest rates in three ways: we examine both advanced and emerging economies and for the first time a large emerging market panel; explore interactions to explain some of the heterogeneity in the literature; and apply system GMM. There is overall a highly significant positive effect of budget deficits on interest rates, but the effect depends on interaction terms and is only significant under one of several conditions: deficits are high, mostly domestically financed, or interact with high domestic debt; financial openness is low; interest rates are liberalized; or financial depth is low.

Contents:

Contents; I. Introduction; II. Model and Methodology; III. Data; IV. Results; A. Baseline; B. Periods and Regions; C. Interactions; V. Conclusions; Appendix: Country Groups; References; Tables; 1. Descriptive Statistics; 2. Baseline; 3. Periods and Regions; 4. Interactions

Notes:

Description based upon print version of record.

Includes bibliographical references.

Description based on online resource; title from PDF cover (ebrary, viewed July 6, 2015).

ISBN:

9786613824516

9781462330584

1462330584

9781452709741

1452709742

9781283512060

1283512068

9781451913576

1451913575