The structure of sub-national public debt in Spain: a reflection of fiscal vulnerabilities ?

Rocío Prieto and Javier Pérez

No 6188, EcoMod2013 from EcoMod

Abstract: We analyze the determinants of the structure of public debt in the case of Spain, from a sub-national perspective. The endogenous shift in the composition of debt among short- vs long-term instruments, loans- vs securities, or residents vs non-residents, depends on observable measures of credit and liquidity risks. Thus, excessive reliance on short-term and “captive" (loans, residents) instruments might be an indicator of potential vulnerabilities to international financial crises, in particular when governments face a debt crisis that mixes elements of illiquidity and insolvency. On the other hand, though, some theories advocate that the structure of public debt should be an ex-ante economic stability management device. We carry out our analysis by using a newly available dataset of quarterly data for the period 1995Q1-2012Q4, to run our GMM estimates. See above See above

Keywords: Spain; Finance; Finance (search for similar items in EconPapers)
Date: 2013-06-21
References: Add references at CitEc
Citations:

Downloads: (external link)
http://ecomod.net/system/files/WGPFsubmission_Structure_of_public_debt.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:ekd:004912:6188

Access Statistics for this paper

More papers in EcoMod2013 from EcoMod Contact information at EDIRC.
Bibliographic data for series maintained by Theresa Leary ().