The initial government debt-to-GDP ratio and the government’s commitment play a pivotal role in determining the welfare-optimal speed of fiscal consolidation in the management of a debt crisis. Under commitment, for low or moderate initial government debt-to-GPD ratios, the optimal consolidation is very slow. A faster pace is optimal when the economy starts from a high level of public debt impl...

Debt-to-GDP ratio can commendably indicate the ability of serving debt a country and it has correlation with inflation ratio, actual deficit GDP ratio. Moreover, debt-to-GDP be predicted other ratios. This paper studies on these ratios explores impact US bond currency market gives some credible suggestions. The uses Pearson analysis to study five Further, degree is presented. Linear ridge regre...

This paper seeks to identify the source of the risk premium in real interest rate di¤erentials across European countries. In particular, we examine the link between real interest rate di¤erentials, existing between various European countries and Germany, and domestic ...scal policy as proxied by the Debt/GDP ratios in these countries. Our results provide strong evidence that this variable exert...

We provide evidence that the financing decisions of companies that are audited by a Big Six auditor are less affected by information asymmetry. Specifically, these companies enjoy greater financial flexibility and depend less on favorable market conditions for their equity issuance decisions than those not audited by a Big Six firm. As a consequence, their debt ratios are less affected either b...

Spatial dependency has been broadly studied in several research areas, such as environmental criminology, economic geography, environmental sciences, and urban economics. However, it has been essentially overlooked in other subfields of economics and in the field of finance as a whole. A key element at stake is the definition of contiguity. In the context of financial markets, defining a metric...

The aim of this study is to examine the extent to which the Jordanian companies listed in Amman Stock Exchange (ASE) use their websites to disclose financial information. Furthermore, this paper examines the relationship between company’s characteristics and financial ratios (Sector, Size, Age, Return on Investment, Debt Ratio, and Market to Book Value Ratio) on one hand and the extent of finan...

The main objective of this study is to give the insight of describing mixing accounting ratios and macroeconomic variables as the risk factors in Iran. The results indicate a significant relationship between book to market ratio, financial leverage, size factors and expected stock returns in the Iranian market. In consistent with the other studies, we came to the conclusion that the term struct...

Institutional context influences corporate financing behavior of firms and emerging economies provide an interesting scenario to investigate this phenomenon. Therefore, in this study, we focus on the capital structure decision of Chinese listed firms which continues to have government as a significant shareholder. We choose the sample period after the Split-Share Reform so that we can distingui...

This study examines the interaction between external debt and economic growth, and analyses the sustainability of Nigeria’s foreign debt. Given the several reschedulings and persistent accumulation of the debt arrears, and consistently high debt burden ratios, it is doubtful if the debt burden can be judged as sustainable. This study employed analytical method and the findings from the analysis...

This note presents a stylized model of monetary and fiscal policies in which policy regime evolves randomly according to a Markov chain. This simple model is designed to illustrate that well-defined and unique equilibria can exist even in such an environment. It also shows that under certain assumptions about policy behavior, tax disturbances can generate wealth effects in line with the fiscal ...