Replication files for "No Rake to Step On: Long-Maturity Floating-Rate Debt and the Fiscal Theory of Monetary Policy"

Replication files for the quantitative illustration and Figure 1 of the paper "No Rake to Step On: Long-Maturity Floating-Rate Debt and the Fiscal Theory of Monetary Policy." The replication package contains three Dynare model files implementing a standard New Keynesian model with alternative government budget constraints corresponding to different public debt structures: one-period fixed-rate debt, long-maturity fixed-rate debt, and floating-rate debt. The floating-rate specification corresponds to policy-rate indexation under par valuation. The package also includes a MATLAB script that uses the impulse responses generated by the three Dynare models to reproduce Figure 1 of the paper. No empirical data are used in the paper; all quantitative results are generated from calibrated model simulations. The README file provides the software requirements and replication instructions.