A Scorecard for Indexed Government Debt

摘要: Within the last five years, Canada, Sweden and New Zealand have joined ranks of United Kingdom other countries in issuing government bonds that are indexed to inflation. Some observers experience these argued States should follow suit. This paper provides an overview issues surrounding debt indexation, it tries answer three empirical questions about debt. First, how different would returns on be from existing US instruments? Second, affect government's average financing costs? Third, might Federal Reserve able use information contained prices help formulate monetary policy? The concludes with a more speculative discussion possible consequences increased contracts by private sector.