01909cas a2200277 a 4500 AALejournalIMF004284 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451864441 1018-5941 BD-DhAAL BD-DhAAL Vasishtha, Garima. Fiscal and Monetary Nexus in Emerging Market Economies : How Does Debt Matter? / Garima Vasishtha, Taimur Baig, Manmohan Kumar, Edda Zoli. Washington, D.C. : International Monetary Fund, 2006. 1 online resource (43 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper examines two main aspects of the interaction between fiscal and monetary policy in emerging market economies. First, it explores the interest rate-inflation relationship in economies with different levels of external and domestic public debt using panel- and crosssection data. The results show that interest rate-inflation elasticity weakens with debt/GDP and external debt/GDP. Second, it utilizes high-frequency data from Brazil, Turkey, and Poland to examine how market-determined variables react to economic news. The results suggest that when vulnerabilities are high, budget news has the most significant impact on country spreads and interest rates, and the impact of monetary policy is weakened. Mode of access: Internet Baig, Taimur. Kumar, Manmohan. Zoli, Edda. IMF Working Papers; Working Paper ; No. 2006/184 Full text available on IMF http://elibrary.imf.org/view/journals/001/2006/184/001.2006.issue-184-en.xml IMF e-Library