-term debt affects default and rollover decisions by subsequent policy makers. The equilibrium maturity structure is shaped by …I analyze how lack of commitment affects the maturity structure of sovereign debt. Governments balance benefits of … default induced redistribution and costs due to income losses in the wake of a default. Their choice of short- versus long …

- term debt affects default and rollover decisions by subsequent policy makers. The equilibrium maturity structure is shaped …I analyze how lack of commitment affects the maturity structure of sovereign debt. Governments balance benefits of … default induced redistribution and costs due to income losses in the wake of a default. Their choice of short- versus long …

-term debt affects default and rollover decisions by subsequent policy makers. The equilibrium maturity structure is shaped by …I analyze how lack of commitment affects the maturity structure of sovereign debt. Governments balance benefits of … default induced redistribution and costs due to income losses in the wake of a default. Their choice of short- versus long …

-term debt affects default and rollover decisions by subsequent policy makers. The equilibrium maturity structure is shaped by …I analyze how lack of commitment affects the maturity structure of sovereign debt. Governments balance benefits of … default induced redistribution and costs due to income losses in the wake of a default. Their choice of short- versus long …

- term debt affects default and rollover decisions by subsequent policy makers. The equilibrium maturity structure is shaped …I analyze how lack of commitment affects the maturity structure of sovereign debt. Governments balance benefits of … default induced redistribution and costs due to income losses in the wake of a default. Their choice of short- versus long …

default, due to tax savings, and costs, due to output losses. Debt issuance affects subsequent default and rollover decisions …How does sovereign risk shape the maturity structure of public debt? We consider a government that balances benefits of … and thus, current debt prices. This induces welfare costs beyond the consumption smoothing benefits from the marginal unit …

leading to the crisis depend on the policy response to restore lending. We focus on two responses, default and policy …

one-period debt and can renege on its obligations by suffering a stochastic default cost. When faced with a credible … default threat, creditors can make a take-it-or-leave-it debt haircut offer to the sovereign. The risk of renegotiation is …Motivated the European debt crisis, we construct a tractable theory of sovereign debt and structural reforms under …

The sovereign debt crisis in the euro area has raised interest in early warning indicators, aimed at signalling the …