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Budgetary decomposition and yield spreads

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Resumo:With a panel VAR of 10 Euro area countries we study the budgetary determinants of government bond yield spreads vis-à-vis Germany between 1999Q1 and 2012Q4. We find that rising bid ask, VIX and debt differentials increase yield spreads; and improvements in the budget balance, higher growth prospects and depreciation lower the spreads. Moreover, rises in public wages or in social expenditure increase spreads, while increases in direct and indirect taxes lower the yield spreads. In the post-2007Q3 crisis period, rising expenditure components (except subsidies) increased spreads.
Autores principais:Afonso, António
Outros Autores:Jalles, João Tovar
Assunto:Fiscal Components Bond Yields Great Recession PVAR Impulse Responses
Ano:2016
País:Portugal
Tipo de documento:working paper
Tipo de acesso:acesso aberto
Instituição associada:Universidade de Lisboa
Idioma:inglês
Origem:Repositório da Universidade de Lisboa
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author Afonso, António
author2 Jalles, João Tovar
author2_role author
author_facet Afonso, António
Afonso, António
Jalles, João Tovar
Jalles, João Tovar
author_role author
contributor_name_str_mv Repositório Científico de Acesso Aberto da ULisboa
country_str PT
creators_json_str [{\"Person.name\":\"Afonso, António\"},{\"Person.name\":\"Jalles, João Tovar\"}]
datacite.contributors.contributor.contributorName.fl_str_mv Repositório Científico de Acesso Aberto da ULisboa
datacite.creators.creator.creatorName.fl_str_mv Afonso, António
Jalles, João Tovar
datacite.date.Accepted.fl_str_mv 2016-01-01T00:00:00Z
datacite.date.available.fl_str_mv 2016-01-19T16:09:48Z
datacite.date.embargoed.fl_str_mv 2016-01-19T16:09:48Z
datacite.rights.fl_str_mv http://purl.org/coar/access_right/c_abf2
datacite.subjects.subject.fl_str_mv Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
datacite.titles.title.fl_str_mv Budgetary decomposition and yield spreads
dc.contributor.none.fl_str_mv Repositório Científico de Acesso Aberto da ULisboa
dc.creator.none.fl_str_mv Afonso, António
Jalles, João Tovar
dc.date.Accepted.fl_str_mv 2016-01-01T00:00:00Z
dc.date.available.fl_str_mv 2016-01-19T16:09:48Z
dc.date.embargoed.fl_str_mv 2016-01-19T16:09:48Z
dc.format.none.fl_str_mv application/pdf
dc.identifier.none.fl_str_mv http://hdl.handle.net/10400.5/10714
dc.language.none.fl_str_mv eng
dc.publisher.none.fl_str_mv ISEG – Departamento de Economia
dc.rights.none.fl_str_mv http://purl.org/coar/access_right/c_abf2
dc.subject.none.fl_str_mv Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
dc.title.fl_str_mv Budgetary decomposition and yield spreads
dc.type.none.fl_str_mv http://purl.org/coar/resource_type/c_8042
description With a panel VAR of 10 Euro area countries we study the budgetary determinants of government bond yield spreads vis-à-vis Germany between 1999Q1 and 2012Q4. We find that rising bid ask, VIX and debt differentials increase yield spreads; and improvements in the budget balance, higher growth prospects and depreciation lower the spreads. Moreover, rises in public wages or in social expenditure increase spreads, while increases in direct and indirect taxes lower the yield spreads. In the post-2007Q3 crisis period, rising expenditure components (except subsidies) increased spreads.
dirty 0
eu_rights_str_mv openAccess
format workingPaper
fulltext.url.fl_str_mv https://repositorio.ulisboa.pt/bitstreams/2927cfd3-3bc4-4356-953c-e6145f4be565/download
id ul_38d2d18c5a2ec0741388f4e2cc3ae4a1
identifier.url.fl_str_mv http://hdl.handle.net/10400.5/10714
instacron_str ul
institution Universidade de Lisboa
instname_str Universidade de Lisboa
language eng
network_acronym_str ul
network_name_str Repositório da Universidade de Lisboa
oai_identifier_str oai:repositorio.ulisboa.pt:10400.5/10714
organization_str_mv urn:organizationAcronym:ul
person_str_mv Afonso, António
Jalles, João Tovar
publishDate 2016
publisher.none.fl_str_mv ISEG – Departamento de Economia
reponame_str Repositório da Universidade de Lisboa
repository_id_str urn:repositoryAcronym:ul
service_str_mv urn:repositoryAcronym:ul
spelling engISEG – Departamento de Economiapt_PTWith a panel VAR of 10 Euro area countries we study the budgetary determinants of government bond yield spreads vis-à-vis Germany between 1999Q1 and 2012Q4. We find that rising bid ask, VIX and debt differentials increase yield spreads; and improvements in the budget balance, higher growth prospects and depreciation lower the spreads. Moreover, rises in public wages or in social expenditure increase spreads, while increases in direct and indirect taxes lower the yield spreads. In the post-2007Q3 crisis period, rising expenditure components (except subsidies) increased spreads.application/pdfpt_PTBudgetary decomposition and yield spreadsAfonso, AntónioJalles, João TovarHostingInstitutionOrganizationalRepositório Científico de Acesso Aberto da ULisboae-mailmailto:repositorio@reitoria.ulisboa.ptrepositorio@reitoria.ulisboa.ptISSNIsPartOf2183-18152016-01-19T16:09:48Z20162016-01-01T00:00:00ZHandlehttp://hdl.handle.net/10400.5/10714http://purl.org/coar/access_right/c_abf2open accessFiscal ComponentsBond YieldsGreat RecessionPVARImpulse Responses394969 bytesother research producthttp://purl.org/coar/resource_type/c_8042working paperhttp://purl.org/coar/access_right/c_abf2application/pdffulltexthttps://repositorio.ulisboa.pt/bitstreams/2927cfd3-3bc4-4356-953c-e6145f4be565/download
spellingShingle Budgetary decomposition and yield spreads
Budgetary decomposition and yield spreads
Afonso, António
Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
Afonso, António
Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
status SINGLETON
subject.fl_str_mv Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
title Budgetary decomposition and yield spreads
title_full Budgetary decomposition and yield spreads
title_fullStr Budgetary decomposition and yield spreads
Budgetary decomposition and yield spreads
title_full_unstemmed Budgetary decomposition and yield spreads
Budgetary decomposition and yield spreads
title_short Budgetary decomposition and yield spreads
title_sort Budgetary decomposition and yield spreads
topic Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
topic_facet Fiscal Components
Bond Yields
Great Recession
PVAR
Impulse Responses
url http://hdl.handle.net/10400.5/10714
visible 1