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Economic Forces and the Municipal Bond Default Risk Premium  


Author:  Bradley T. Ewing.


Source: Volume 23, Number 01, Spring 2002 , pp.17-34(18)




Municipal Finance Journal

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Abstract: 

This article analyzes the time series response of municipal bond market default risk to unexpected changes in economic forces as measured by several key macroeconomic variables. In particular, the article documents the response of the municipal bond default risk premium to shocks to real output growth, inflation, monetary policy, and market risk.

Keywords: 

Affiliations:  1: Texas Tech University.

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