In Search of a Theory of Debt Management

@inproceedings{Faraglia2010InSO,
  title={In Search of a Theory of Debt Management},
  author={Elisa Faraglia and Albert Marcet and A. Scott},
  year={2010}
}
The complete market approach to government debt management argues that a portfolio of non-contingent bonds at different maturities should be chosen so that fluctuations in market value offset changes in expected future deficits. However, this approach recommends huge fluctuations in positions, enormous changes in portfolios for minor changes in maturities and no presumption it is always optimal to issue long and invest short term in a wide array of model specifications. These extreme, volatile… CONTINUE READING
BETA

Citations

Publications citing this paper.

References

Publications referenced by this paper.
SHOWING 1-10 OF 22 REFERENCES

Similar Papers

Loading similar papers…