Researchers examine impact of fiscal conditions on long-term rates in OECD
Working paper published by the Bank of Japan analyses 23 member states
Fiscal conditions influenced nominal long-term interest rates in a variety of ways in Organisation for Economic Co-operation and Development (OECD) countries over the past few decades, according to a working paper published by the Bank of Japan on November 27.
In Fiscal conditions and long-term interest rates, Koji Nakamura and Tomoyuki Yagi, both from the bank's research and statistics department, analyse 23 members of the OECD from 1980 to 2013.
The authors find the fiscal balance, national
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