Assignment #2 FIN 4113 Fall 2016

 

 

 

Research question:

 

Does the U.S. Treasury actively manage the maturity structure of the national debt to minimize borrowing costs?

 

Evidence:

 

Maturity structure – 68 quarter end proportions of bills, notes, bonds as a percentage of total marketable debt. Combine amounts outstanding of Treasury inflation indexed notes and nominal notes. Combine amounts outstanding of Treasury inflation indexed bonds and nominal bonds, 2000.I through 2016.III

 

Cost:

Quarter end term spreads from data series  GS1M, GS1, GS10.

 

 

State a testable hypothesis concerning this research question

 

Use the evidence to evaluate your testable hypothesis.

U.S. Treasury

Produce a type written report no longer than 4 pages presenting testable hypothesis, summary statistics and other evidence directly related to your hypothesis, include references. State your conclusion and summarize your findings.

 

Submit your written report in the Dropbox on the course D2L sight prior to 11:59 pm. on the due date.

 

Data sources:  U.S. Treasury

 

Monthly statements of the public debt:

https://www.treasurydirect.gov/govt/reports/pd/mspd/mspd.htm

 

 

 

FRED Economic Data:

https://fred.stlouisfed.org

 

U.S. Treasury