there an optimal maturity structure of public debt? Using a stochastic Diamond OLG model, we tackle these questions. We show … that there may be a welfareimproving role for a well-designed maturity structure of debt. …

-contingent, the maturity structure is irrelevant for tax smoothing and thus indeterminate. Are we left with no theory for the optimal …. This in turn provides us with a novel theory for the optimal maturity structure of public debt … theory as irrelevant as it is silent about fiscal policy with non-contingent debt? Second, when debt is assumed state …

This paper proposes a theory of the fiscal foundations of inflation based on imperfect knowledge and learning. The … theory is similar in spirit to, but distinct from, unpleasant monetarist arithmetic and the fiscal theory of the price level … monetary policy. Heavily indebted economies with debt maturity structures observed in many countries require aggressive …