Working Papers / Documents de travail
· 0 citations
· 28 references
This paper studies how the prevailing level of public debt shapes the transmission of fiscal and monetary policy shocks in a tractable heterogeneous three-agent New Keynesian model. When households rely on the liquidity services of government bonds to self-insure against idiosyncratic risk, higher public indebtedness a...
We use cookies to run the site and, with your consent, for analytics and to show ads. See our Cookie Policy.