GOVERNMENT DEBT, INTEREST RATES AND INTERNATIONAL CAPITAL FLOWS: EVIDENCE FROM COINTEGRATION

Preprint OPEN
Pene Kalulumia;
(2000)
  • Subject:
    • jel: jel:E63 | jel:E62
This paper examines the impact of government debt on interest rates in the United States, Germany, the United Kingdom and Canada. It builds on the general portfolio balance framework which allows for both direct and indirect tests of the link between public debt and int... View more
  • References (33)
    33 references, page 1 of 4

    1 0 0 0 0 1 0 0 0 0 1 0 H ' 0 0 &1 0 2 0 0 0 0 0 0 0 0 0 0 0 1 T-test values for á Arize, A. C. and Shwiff, S. S., "Cointegration, Real Exchange Rate and Modelling the Demand for Broad Money in Japan." Applied Economics, Volume 25, (June 1993), pp. 717-726.

    Bahmani-Oskooee, M. and Payesteh S., "Do Budget Deficits cause Capital Inflows? Evidence from the United States." The Quarterly Review of Economics and Finance, Volume 34, No.1, (Spring 1994), pp. 63- 74.

    Barro, R. J., "Government Spending, Interest Rates, Prices, and Budget Deficits in the United Kingdom, 1701- 1918." Journal of Monetary Economics, Volume 20, (1987), pp. 221-247.

    Barth, J. R., Iden, G. and Russek, F. S., "Federal Borrowing and Short-term Interest Rates: Comment." Southern Economic Journal, Volume 52, (1985), pp. 554-559.

    Cebula, R. J. and Koch, J. V., "Federal Budget Deficits, Interest Rates, and International Flows." The Quarterly Review of Economics and Finance, Volume 34, No.1, (Spring 1994), pp. 113-116.

    Cebula, R. J. and Koch, J. V., "Federal Budget Deficits, Interest Rates, and International Flows." The Quarterly Review of Economics and Business, Volume 29, No.1, (1991), pp. 119-126.

    Cushman, D.O., Lee, S. S. and Thorsteinn, T., "Maximum Likelihood Estimation of Cointegration in Exchange Rate Models for Seven Inflationary OECD Countries." Discussion Paper 95-7, University of Saskatchewan, Canada, (February 1995).

    Deravi, M. K., Hegji, C. E. and Moberly, H. D., "Government Debt and the Demand for Money: An Extreme Bound Analysis." Economic Inquiry, Volume 28, (1990), pp. 390-401.

    Engle, R. F. and Granger, C. W. J., "Cointegration and Error Correction: Representation, Estimation and Testing." Econometrica, Volume 55, (March 1987), pp. 251-276.

    Evans, P., "Do Large Deficits Produce High Interest Rates?" American Economic Review, Volume 75, (1985), pp. 68-67.

  • Metrics
Share - Bookmark