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A Short-Run Relationship Between 1-Year Bonds Yield And The Domestic Consumption In Romania

Author

Listed:
  • DANIEL BELINGHER

    (INSTITUTE FOR ECONOMIC FORECASTING, ROMANIAN ACADEMY)

Abstract
“What drives government bonds?” or “what are the forces which are staying behind the yield of these bonds?” are questions, which are concerning both theoreticians and practitioners nowadays. This paper analyzes the way in which the domestic consumption, represented through households’ consumption, in Romania, is able to move the sovereign bond yield for the same country, on a short horizon. In order to do this, we have used in the current study, an autoregressive vector – VAR(1), in which are included the two mentioned variables. The analyzed period starts in 2008 (q1), it ends in 2012 (q3) and the used data is expressed quarterly.

Suggested Citation

  • Daniel Belingher, 2015. "A Short-Run Relationship Between 1-Year Bonds Yield And The Domestic Consumption In Romania," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 2, pages 28-36, April.
    • Handle: RePEc:cbu:jrnlec:y:2015:v:2:p:28-36
    as

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    References listed on IDEAS

    as
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