Let's face it, most academics aren't particularly good at getting things done. I'm not either. But this guy is. I know him a little bit.

Why France, why now? Over the last couple of years, the French political class has been signaling to the bond market that its pensioners/boomers are the de facto senior claimants on the French Treasury's revenue. And that's not what bond investors wanted to hear, especially now that they're being asked to absorb a much larger share of issuance than a couple of years ago. thetwocents.substack.com/p/l…

1/In our new paper, 📢📢“Government Funding Costs Under Financial Repression” we set out to analyze how financial repression can change the dynamics of inflation, bond yields and bond risk premia when it’s added to their toolbox. By recalibrating the size and the timing of bondholder losses in response to government spending shocks, governments, central banks, and financial regulators can lower the risk premia on nominal bonds and thus bring down the government’s funding costs. We find that repression can even turn bonds into a hedge. But it’s not a free lunch for bond holders. papers.ssrn.com/sol3/papers.…