For a sample of sixteen OECD countries over the period 1980-2007 we show that, for given debt-GDP ratio, an increase in … the maturity of the public debt by one year lowers its long-term interest rate by around 20-30 basis points. This effect … is stronger for countries with higher average inflation or debt. …

potentially affect otherwise viable firms, and to lessen the risk of debt-overhang, which could slow down the speed of recovery. …This paper investigates the likelihood of corporate insolvency and the potential implications of debt overhang of non … investment, it examines the potential impact of higher debt levels on investment during the recovery. Against this background …