IDEAS home Printed from https://ideas.repec.org/p/fip/l00001/94567.html
   My bibliography  Save this paper

Inflation and the Real Value of Debt: A Double-edged Sword

Author

Abstract

The recent bout of inflation will immediately reduce the real value of existing debts, but it will also tend to raise expected inflation. This could raise future borrowing costs.

Suggested Citation

  • Christopher J. Neely, 2022. "Inflation and the Real Value of Debt: A Double-edged Sword," On the Economy 94567, Federal Reserve Bank of St. Louis.
  • Handle: RePEc:fip:l00001:94567
    as

    Download full text from publisher

    File URL: https://www.stlouisfed.org/on-the-economy/2022/aug/inflation-real-value-debt-double-edged-sword
    File Function: Full text
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bańkowski, Krzysztof & Checherita-Westphal, Cristina & Jesionek, Julia & Muggenthaler, Philip & Frutos, Mario Alloza & Avgousti, Aristoklis & Briodeau, Clémence & Brusbārde, Baiba & Caprioli, Francesc, 2023. "The effects of high inflation on public finances in the euro area," Occasional Paper Series 332, European Central Bank.

    More about this item

    Keywords

    inflation; real value of debt;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:l00001:94567. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Scott St. Louis (email available below). General contact details of provider: https://edirc.repec.org/data/frbslus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.