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On the needed quantity of government debt.
- Article from:
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Federal Reserve Bank of Minneapolis Quarterly Review
- Article date:
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November 1, 2007
- Author:
- Birkeland, Kathryn; Prescott, Edward C.
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Copyright informationCOPYRIGHT 2007 Federal Reserve Bank of Minneapolis. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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We need to change our way of thinking regarding government debt. First, the government debt that a country owes to its citizens is not debt in the usual sense of the word. This form of government debt is a mechanism that facilitates intergenerational borrowing and lending, and is an integral part of a welfare-improving saving-for-retirement system.
Second, because of changing demographics, the quantity of government debt needed in a saving-for-retirement system is becoming large. The number of retired workers is growing because people are living longer and population growth has slowed in most of the advanced industrial countries. With these demographics, large government ...
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Government debt remains at 102% of GDP in first half
Jerusalem Post;
August 21, 2003 ;
MATI WAGNER;
531 words
...00-00-0000 Headline: Government debt remains at 102% of GDP in first...Thursday, August 21, 2003 -- The government debt remained at 102 percent of...Wednesday. The nominal value of government debt actually rose by 1.5% in real...
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government debt
A Dictionary of Economics;
JOHN BLACK;
108 words
...government debt Debt owed by the government at any level. It...level of government to another, such as central government debt held as financial reserves by local authorities. Government debt may be measured gross or net, when some firms...
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Government debt down slightly in relation to GDP
Jerusalem Post;
March 9, 2005 ;
DANIEL KENNEMER;
519 words
......Jerusalem Post 03-09-2005 Headline: Government debt down slightly in relation to GDP Byline...17 Wednesday, March 9, 2005 -- The government debt deceased slightly in relation to Israel...the Bank of Israel said Tuesday. The government debt rose 3.45% by the end of 2004 to total...
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GUIDELINES FOR CENTRAL GOVERNMENT DEBT MANAGEMENT IN 2008
US Fed News Service, Including US State News;
November 15, 2007 ;
353 words
......decided the guidelines for central government debt management for 2008-2010. For 2008...billion. The guidelines for central government debt management should be seen in the light...an expected decline in the central government debt of over SEK 500 billion from 2006...
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NSW: Egan says general government debt less than zero
AAP General News (Australia);
December 14, 2004 ;
328 words
......14-2004 NSW: Egan says general government debt less than zero SYDNEY, Dec 14 AAP - General government debt had been eliminated in NSW, state...Christmas, would show actual general government debt was now less than zero, down from...
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Philippine government debt up by January
Xinhua News Agency;
April 27, 2005 ;
184 words
...Philippine government debt up by January MANILA, April 27 (Xinhua) -- The Philippine government debt stood at 4.01 trillion pesos (74.25...made by the government, it said. Total government debt is composed of 15.5 percent short-term...
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The conduct of monetary policy with a shrinking stock of government...
Journal of Money, Credit & Banking;
August 1, 2002 ;
Schreft, Stacey L. Smith, Bruce D.;
787 words
......a decline in the amount of federal government debt outstanding (Kopcke et al. 2001, Appendix...States in recent years. U.S. federal government debt in the hands of the public, including...2001, Table 1-1) projects federal government debt in the hands of the public to shrink...
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Government debt management in Europe: recent changes in debt managers'...
Public Finance and Management;
January 1, 2006 ;
Wolswijk, Guido; de Haan, Jakob;
787 words
......survey of changes in the strategies of government debt managers in European countries. These...introduction of the euro, declining government debt ratios, the introduction of electronic...Introduction The working environment of government debt managers in Europe has changed ...
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7.7% GOVERNMENT DEBT RATIO BY YEAR END
Info-Prod Research (Middle East);
May 15, 2007 ;
39 words
...According to Al-Khaleej newspaper (May 14, 2007), a recently released report by the International Monetary Fund (IMF) estimates the UAE's government debt ratio out of the country's GDP to withdraw to 7.7% by the end of 2007, down from 8.1% in 2006.
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The Economic Consequences of Disappearing Government Debt.(Statistical...
Brookings Papers on Economic Activity;
September 22, 2000 ;
REINHART, VINCENT SACK, BRIAN;
787 words
......surpluses, and the consequent declines in government debt, have important economic consequences...influential body of opinion holds that government debt, because it implies a future stream...wealth. In that view the decline in government debt, by itself, has no implications for...
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Philippines government debt down 3.6 pct in 2007
Xinhua News Agency;
March 12, 2008 ;
213 words
...Philippines government debt down 3.6 pct in 2007 MANILA, March 12 (Xinhua) -- The Philippines' government debt fell to 3.712 trillion pesos (90...against the dollar also brought down government debt by 13 billion pesos ( 316 million...
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Japan's government debt reaches record high in December
AP Worldstream;
March 25, 2004 ;
137 words
......the Ministry of Finance Thursday. The figure for central government debt, which totals government bonds and borrowings and other...struggled in a slowdown for more than a decade and racked up government debt as leaders relied on public projects spending to stimulate...
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Government Debt and Economic Growth in an Overlapping Generations Model.
Southern Economic Journal;
January 1, 2000 ;
Lin, Shuanglin;
787 words
......studies have shown that an increase in government debt raises the real interest rate and...this paper shows that an increase in government debt may not increase the real interest...growth and that an introduction of government debt will increase the growth rate of per...
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Capital Markets: Plugging The Holes In The Sovereign Balance Sheet -...
The Banker;
October 1, 2005 ;
787 words
......longer dull, back-room bureaucrats, government debt managers have come out of the dark...regulatory changes and constraints, driving government debt and issuance strategies. Governments...securitisation One consequence of Italy's 2005 government debt ratio of 108.5% of gross ...
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