Persistence in the private debt-t -GDP ratio: evidence from 43 OECD countries

This paper investigates the degree of persistence of the private debt-to-GDP ratio in 43 OECD countries by estimating the fractional integration parameter of each series. Almost all of them are found to be highly persistent, with orders of integration around or above 1. The only exception is Argenti...

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Detalles Bibliográficos
Autores: Caporale, Guglielmo Maria, Gil Alana, Luis A., Malmierca Ordoqui, María
Tipo de recurso: artículo
Fecha de publicación:2021
País:España
Institución:Universidad Villanueva (UV)
Repositorio:DIGI-UV. Repositorio Digital de la Universidad Villanueva
OAI Identifier:oai:digiuv.villanueva.edu:20.500.12766/520
Acceso en línea:https://hdl.handle.net/20.500.12766/520
Access Level:acceso abierto
Palabra clave:Economía Aplicada
Persistence
Fractional integration
Private debt
Long memory
Descripción
Sumario:This paper investigates the degree of persistence of the private debt-to-GDP ratio in 43 OECD countries by estimating the fractional integration parameter of each series. Almost all of them are found to be highly persistent, with orders of integration around or above 1. The only exception is Argentina, where the series appears to be mean-reverting. These results highlight the key impor-tance of macroprudential policy as one of the pillars of macro policy