Public debt and the threat of secession
This paper establishes a model of public debt as a strategic instrument in preventing secession. Using a dynamic game with perfect information, it shows that debt can be used to pre-empt a country’s separation if the seceding region’s potential gain from independence is strictly decreasing in debt....
| Published in: | Philippine Review of Economics Vol. LVI, no. 1 & 2 (Jun. 2019 - Dec. 2019), 236-256 |
|---|---|
| Main Author: | |
| Format: | Article |
| Language: | English |
| Published: |
2019
|
| Subjects: |