Federal Reserve Bank of Minneapolis: 'Default and Interest Rate Shocks: Renegotiation Matters'
May 15, 2026
May 15, 2026
MINNEAPOLIS, Minnesota, May 15 (TNSLrpt) -- The Federal Reserve Bank of Minneapolis issued the following Economic Research report (No. 679) on May 4, 2026, by Victor Almeida, Carlos Esquivel, Timothy J. Kehoe, and Juan Pablo Nicolini entitled "Default and Interest Rate Shocks: Renegotiation Matters."
Here are excerpts:
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We develop a sovereign default model with debt renegotiation in which interest-rate shocks affect default incentives through . . .
Here are excerpts:
* * *
We develop a sovereign default model with debt renegotiation in which interest-rate shocks affect default incentives through . . .