EconPapers    
Economics at your fingertips  
 

Governmental Risk Taking Under Market Imperfections: Working Paper 2021-07

Michael Falkenheim

No 57255, Working Papers from Congressional Budget Office

Abstract: An extensive literature debates whether market prices should be used to measure the benefits and costs of risk in government activities or whether the government should be treated as risk neutral. This paper explores the benefits and costs of governmental risk taking in formal models of market imperfections, in which the government serves as an intermediary between different stakeholders in its finances. Some stakeholders cannot participate in markets, either because they belong to future generations or because they have no funds to invest and face borrowing constraints.

JEL-codes: E32 G10 G12 G18 H50 H83 (search for similar items in EconPapers)
Date: 2021-06-16
New Economics Papers: this item is included in nep-mac and nep-ore
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://www.cbo.gov/system/files/2021-06/57255-Government-Risk-Taking.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cbo:wpaper:57255

Access Statistics for this paper

More papers in Working Papers from Congressional Budget Office Contact information at EDIRC.
Bibliographic data for series maintained by ().

 
Page updated 2022-10-08
Handle: RePEc:cbo:wpaper:57255