Most American households carry debt, yet we have little understanding of how debt influences health behavior, especially health care seeking. We examined associations between foregone medical care and debt using a population-based sample of 914 southeastern Michigan residents surveyed in the wake of the late-2000s recession. Overall debt and ratios of debt to income and debt to assets were posi...

Pekka Malo Department of Information and Service Economy, Aalto University School of Business P.O. Box 21210, FI-00076 AALTO, FINLAND Corresponding author, e-mail:[email protected] tel:+358 40 353 8071, fax: +358 9 431 38535 Ankur Sinha Department of Information and Service Economy, Aalto University School of Business P.O. Box 21210, FI-00076 AALTO, FINLAND e-mail: [email protected] tel:+3...

The Heavily Indebted Poor Countries (HIPC) Initiative, which was launched in 1996, is the first comprehensive effort by the international community to reduce the external debt of the world's poorest countries. The Initiative will generate substantial savings relative to current and past public spending on health and education in these countries. Although there is ample scope for raising public ...

An important inefficiency in sovereign debt markets is debt dilution, wherein sovereigns ignore the adverse impact of new debt on the value of existing debt and, consequently, borrow too much and default too frequently. A widely proposed remedy is the inclusion of seniority clause in sovereign debt contracts: Creditors who lent first have priority in any restructuring proceedings. We incorporat...

Insignificant stock market reactions to debt issues have been well documented in the finance literature. This paper segments debt issues into callable/noncallable and long-term/short-term categories, as well as anticipated and unanticipated issues (8 different categories of debt). A logit model was used to classify the debt issues into anticipated and unanticipated categories. Stock market reac...

An important source of inefficiency in long-term debt contracts is the debt dilution problem, wherein a country or firm ignores the adverse impact of new borrowing on the market value of outstanding debt and, therefore, borrows too much and defaults too frequently. A commonly proposed remedy to the debt dilution problem is seniority of debt, wherein creditors who lent first are given priority i...

We present a continuous time model of sovereign debt with the possibility to renegotiate once the terms of the contract. Renegotiations consist of a debt reduction or a debt rescheduling. The model provides closed-form solutions for debt values with endogenous default policy and renegotiations terms. Simulations indicate that both reduction and rescheduling deals allow the lender and the sovere...

We examine the importance of what we term ‘Fisher dynamics’the mechanical effects of changes in interest rates, growth rates and inflation rates on debt levels independent of borrowing -for the evolution of household debt in the U.S. over a long time horizon (19292011). Adapting a standard decomposition of public debt to household sector debt, we show that these factors have been important in e...