Analysis of the Determinants of Long-Term Public Bond Yields from 2007 to 2022.
DOI:
https://doi.org/10.33110/rnee.v20i2.372Keywords:
Government bonds, ndustrial production, real effective exchange rate, inflation lagsAbstract
The determinants of long-term government bond yields are analyzed using pooled regression and fixed-effects models in a panel of 40 countries at different levels of development and regions, between 2007 and 2022. The variables considered are inflation, interest rates, fiscal deficits, industrial production, real effective exchange rates, and public debt. The results show that industrial production has a negative effect, while the real effective exchange rate has a positive influence on yields. Furthermore, the incorporation of lags highlights the relevance of dynamic factors in the analysis.
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