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Nosbusch InterestCostsOptimal 2008 by sristi302004 is a document available to read on EtoBox.
What is Nosbusch InterestCostsOptimal 2008 about?
The article by Yves Nosbusch examines the trade-off faced by governments in structuring their debt portfolios between minimizing interest costs and achieving tax smoothing benefits. It proposes that governments should borrow long and invest short to optimize welfare, even if this leads to higher expected interest costs. The study incorporates risk aversion, distortionary taxation, and incomplete markets to derive quantitative prescriptions for optimal debt management strategies.
- Author
- sristi302004
- Language
- EN