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Optimal Maturity of Nominal Government Debt: The First Tests

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  • Calvo, Guillermo
  • Guidotti, Pablo E.
  • Leiderman, Leonardo

Abstract

We report a first set of empirical results obtained from estimating, on U.S. data, a model of the optimal maturity structure of nominal government debt in a context where there is no full policy precommitment and markets are incompleted.

Suggested Citation

  • Calvo, Guillermo & Guidotti, Pablo E. & Leiderman, Leonardo, 1990. "Optimal Maturity of Nominal Government Debt: The First Tests," Foerder Institute for Economic Research Working Papers 275496, Tel-Aviv University > Foerder Institute for Economic Research.
    • Handle: RePEc:ags:isfiwp:275496
    DOI: 10.22004/ag.econ.275496
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    References listed on IDEAS

    as
    1. Barro, Robert J, 1979. "On the Determination of the Public Debt," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 940-971, October.
    2. Hansen, Lars Peter, 1982. "Large Sample Properties of Generalized Method of Moments Estimators," Econometrica, Econometric Society, vol. 50(4), pages 1029-1054, July.
    3. Maurice Obstfeld, 1989. "Dynamic Seigniorage Theory: An Exploration," NBER Working Papers 2869, National Bureau of Economic Research, Inc.
    4. Trehan, Bharat & Walsh, Carl E., 1990. "Seigniorage and tax smoothing in the United States 1914-1986," Journal of Monetary Economics, Elsevier, vol. 25(1), pages 97-112, January.
    5. Lucas, Robert Jr. & Stokey, Nancy L., 1983. "Optimal fiscal and monetary policy in an economy without capital," Journal of Monetary Economics, Elsevier, vol. 12(1), pages 55-93.
    6. Poterba, James M & Rotemberg, Julio J, 1990. "Inflation and Taxation with Optimizing Governments," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 22(1), pages 1-18, February.
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    Cited by:

    1. De Broeck, Mark, 1997. "The financial structure of government debt in OECD countries: An examination of the time-consistency issue," Journal of Monetary Economics, Elsevier, vol. 39(2), pages 279-301, July.

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    Keywords

    Financial Economics; Political Economy;

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