The effect of federal deficits and debt on the tax-adjusted, short-term, real interest rate

UNCG Author/Contributor (non-UNCG co-authors, if there are any, appear on document)
Stuart D. Allen, Professor (Creator)
Institution
The University of North Carolina at Greensboro (UNCG )
Web Site: http://library.uncg.edu/

Abstract: The stock versus flow effect of the federal debt/deficit on a real interest rate is examined in a reduced-form equation. The evidence shows a positive and significant linkage between the federal debt and an ex-post, tax-adjusted, short-term, real interest rate.

Additional Information

Publication
Economics Letters, 34(2), 1990, 169-173.
Language: English
Date: 1990
Keywords
Deficits, Federal budget, Debt, Interest rates

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