Browsing by Author "Guimarães, Bernardo"

Now showing items 1-6 of 6

    • Guarding the guardians 

      Guimarães, Bernardo; Sheedy, Kevin D.
      2017-11
      Good government requires some restraints on the powerful but how can those be imposed if there is no-one above them? This article studies the equilibrium allocation of power and resources established by self-interested ...

    • IMF conditionalities, liquidity provision, and incentives for fiscal adjustment 

      Guimarães, Bernardo; Iazdi, Oz
      2015-10
      This paper proposes a model to study how conditional lending and immediate liquidity provision affect incentives for fiscal adjustment in a country facing the risk of sovereign default. Conditional lending provides explicit ...

    • Intertemporal coordination with delay options 

      Araujo, Luis Fernando Oliveira de; Guimarães, Bernardo
      2015-05
      This paper studies equilibrium selection in intertemporal coordination problems with delay options. The risk-dominant action of the underlying one-shot game is selected when frictions are arbitrarily small. Larger frictions ...

    • A model of the confidence channel of fiscal policy 

      Guimarães, Bernardo; Machado, Caio Henrique; Ribeiro, Marcel
      2016-10
      This article presents a simple macroeconomic model where government spending affects aggregate demand directly and indirectly, through an expectational channel. Prices are fully flexible and the model is static, so ...

    • Sovereign default risk and commitment for fiscal adjustment 

      Gonçalves, Carlos Eduardo Soares; Guimarães, Bernardo
      2015-01
      This paper studies fiscal policy in a model of sovereign debt and default A time inconsistency problem arises: since the price of past debt cannot be affected by current fiscal policy and governments cannot credibly commit ...

    • Sovereign default: which shocks matter? 

      Guimarães, Bernardo
      2011-10
      This paper analyses a small open economy that wants to borrow from abroad, cannot commit to repay debt but faces costs if it decides to default. The model generates analytical expressions for the impact of shocks on the ...