Mechanisms of default risk transmission and economic policy coordination

Compartir
Título de la revista
ISSN de la revista
Título del volumen
Traducción
Símbolo ONU
Citación

Mechanisms of default risk transmission and economic policy coordination

Resumen

This paper analyses the coordination between monetary and fiscal policy in an emerging economy with an inflation-targeting monetary regime, in a context in which default risk shocks can lead to macroeconomic imbalances. It develops a macrodynamic model in order to capture the mechanisms of default risk transmission and its effects on the definition of reaction functions for the monetary and fiscal authorities. The main findings of the model point to the existence of new mechanisms of default risk transmission associated with price and fiscal stability.

TIPO DE DOCUMENTO

Evento
Proyecto
Colecciones