The determinants of the composition of public debt in developing and emerging market countries

Kristine Forslund, Lycia Lima, Ugo Panizza
2011 Review of Development Finance  
This paper uses a new dataset on the composition of public debt in developing and emerging market countries to look at the correlation between country characteristics and domestic debt share. While the paper finds that most variables have the expected sign, it also finds that country characteristics cannot explain regional differences in the composition of public debt. Moreover, the paper finds a weak correlation between inflationary history and the composition of public debt. The paper
more » ... . The paper explores the determinants of this finding and shows that the results are driven by the presence of capital controls.
doi:10.1016/j.rdf.2011.09.004 fatcat:lmxyfmbgmbggtn76bjd4gxnaei