Showing 1 - 10 of 2,819
time). Yet, even during periods of low inflation or deflation, nominal financial statements violate this assumption. I … posit that, while the effects of inflation are not recognized in nominal statements, such effects may have economic … consequences. I find that unrecognized inflation gains and losses help predict future cash flows as these gains and losses turn …
Persistent link: https://www.econbiz.de/10011114513
We analyse the implications of public debt on economic growth and inflation in a group of 52 African economies between … average rates of real and per capita growth are achieved when public debt reaches 60% of the real GDP and an average inflation … reduced rates of economic growth and rising levels of inflation. Our results for three specific geographical areas resemble …
Persistent link: https://www.econbiz.de/10011113117
In this paper, first, we will take notice of the development of the stock markets in six euro area countries with highest public debt: Greece, Italy, Portugal, Ireland, Belgium, and Spain. Subsequently, a comparison of returns and volatility will be made with the development of selected...
Persistent link: https://www.econbiz.de/10011071619
This paper examines the presence of nonlinear mechanisms in the exchange rate pass-through (ERPT) to CPI inflation for … three macroeconomic factors, namely inflation rate, exchange rate fluctuations and business cycle. Our results reveals that … exchange rate transmission is higher when inflation rate surpass some threshold. We give a supportive evidence to the Taylor …
Persistent link: https://www.econbiz.de/10011258090
In this paper I will introduce a new political economy model, where there exists a competition amongst two political candidates, which aim to set a policy which enables them to win elections, max- imising the probability of winning. I will show that, if taxes neces- sary to repay the debt are...
Persistent link: https://www.econbiz.de/10005616677
government debt and inflation. A model that explicitly incorporates the political utility/objective function of government is … constructed. The government’s borrowing behavior and inflation are determined through the simultaneous optimization of government … whether it is appropriate to apply the fiscal sustainability test of Hamilton and Flavin to high inflation countries. …
Persistent link: https://www.econbiz.de/10005619347
values of capital gain yield against inflation and other supporting variables were first estimated and these predicted values … classical discussion among financial researchers about the inflation-hedging capabilities of stock investment in short to medium … regression, the empirical results of the study illustrate that capital gain is affected by inflation levels prevailing for the …
Persistent link: https://www.econbiz.de/10011259702
the term premia is driven primarily by nominal uncertainty, i.e. the uncertainty for expected inflation and the US term …
Persistent link: https://www.econbiz.de/10011108020
In this paper we take an innovative econometric look at the Euro Zone Sovereign Debt Crisis. We are particularly interested in understanding which determinants have led investors to ask for higher yields on sovereign debt from the Euro shatter belt. We dismiss the definition of speculation...
Persistent link: https://www.econbiz.de/10009132739
This paper provides an empirical study of the asymmetrical spillovers of the euro-US dollar exchange rate on inflation … the only key factor, in determining the asymmetry in inflation between core and periphery. The nominal effective exchange … rate instead is a very important driver for the inflation only considering the whole euro zone. Therefore, the EMU seems to …
Persistent link: https://www.econbiz.de/10011108149