Which countries pay more or less for their long term debt? A CART approach

[EN] The objective of this paper is to classify a group of EMU countries accord- ing to the main determinants of long-term sovereign bond yields. We apply the Classi cation and Regression Tree method (CART). According to the ndings, countries with lower in ation, a lower debt to GDP ratio, a lower a...

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Detalles Bibliográficos
Autores: González Fernández, Marcos, González Velasco, María del Carmen
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2016
País:España
Institución:Universidad de León
Repositorio:BULERIA. Repositorio Institucional de la Universidad de León
OAI Identifier:oai:buleria.unileon.es:10612/21240
Acceso en línea:https://www.upo.es/revistas/index.php/RevMetCuant/article/view/2255
https://hdl.handle.net/10612/21240
Access Level:acceso abierto
Palabra clave:Contabilidad
Economía
Finanzas
Long-term yields
Sovereign yields
classi fication trees
decision trees
Descripción
Sumario:[EN] The objective of this paper is to classify a group of EMU countries accord- ing to the main determinants of long-term sovereign bond yields. We apply the Classi cation and Regression Tree method (CART). According to the ndings, countries with lower in ation, a lower debt to GDP ratio, a lower average income tax rate, higher public debt maturity and higher IPI growth are placed in classi cation groups that have lower bond yields. These results con rm the hypothesis that countries with better macroeconomic and scal indicators have lower sovereign bond yields.