NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Sovereign Debt, Government Myopia, and the Financial Sector

Viral V. Acharya, Raghuram G. Rajan

NBER Working Paper No. 17542
Issued in October 2011

---- Acknowledgements -----

We thank Itamar Drechsler, Mitu Gulati, Olivier Jeanne, Gregor Matvos,and Philipp Schnabl for helpful conversations, and Xuyang Ma for excellent research assistance. We also received useful comments from seminar participants at Boston University, Conference on Sovereign Debt and Crises in Iceland (October 2011), European Economic Association (EEA) and Econometric Society European Meeting (ESEM) Meetings – 2011, National Bank of Hungary, Queen’s University and the University of Calgary. Rajan acknowledges support from the Stigler Center and the Initiative on Global Markets at the University of Chicago’s Booth School and from the National Science Foundation. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.

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