The behavior of US public debt: A nonlinear perspective

Economics Letters

Volumn 74, Issue 1, 2001, Pages 119-125

  Sarno, Lucio ^a  

^a UNIVERSITY OF WARWICK   (United Kingdom)

Author keywords

C22; E62; Intertemporal budget constraint; Mean reversion; Nonlinearity; Public debt; Unit root

Indexed keywords

EID: 0035620393     PISSN: 01651765     EISSN: None     Source Type: Journal    
DOI: 10.1016/S0165-1765(01)00529-8     Document Type: Article

References (8)

1. Bohn H. The behavior of US public debt and deficits. Quarterly Journal of Economics. 113:1998;949-963.
2. Eitrheim O., Teräsvirta T. Testing the adequacy of smooth transition autoregressive models. Journal of Econometrics. 74:1996;59-75.
3. Giavazzi F., Jappelli T., Pagano M. Searching for non-linear effects of fiscal policy: evidence from industrial and developing countries. European Economic Review. 44:2000;1259-1289.
4. Granger C.W.J., Teräsvirta T. Modelling Nonlinear Economic Relationships. 1993;Oxford University Press, Oxford, UK.
5. MacKinnon J. Critical values for cointegration tests. Engle R.F., Granger C.W.J. Long Run Economic Relationships. 1991;Oxford University Press, Oxford, UK.
6. Shiller R.J., Perron P. Testing the random walk hypothesis: power versus frequency of observation. Economics Letters. 18:1985;381-386.
7. Skalin, J., 1998. Testing Linearity against Smooth Transition Autoregression Using a Parametric Bootstrap, Stockholm School of Economics, Working Paper in Economics and Finance No. 276.
8. Teräsvirta T. Specification, estimation and evaluation of smooth transition autoregressive models. Journal of the American Statistical Association. 89:1994;208-218.