Afonso, António2010-04-142010-04-142009Afonso, António. 2009. "Long-term government bond yelds and economic forecast : evidence for the EU". Instituto Superior de Economia e Gestão – DE working papers nº 38-2009/DE/UECE.0874-4548http://hdl.handle.net/10400.5/1822I use a panel of semi-annual vintages of growth and fiscal forecasts of the European Commission, covering the period 1998:II-2008:II, to assess its effects on 10-year government yields for 14 EU countries. Results show that yields increase with better growth forecasts, and with decreases in budget balance-to-GDP ratios, signalling that sovereigns may need to pay more to finance in the market higher budget deficits.engInterest RatesMacro ForecastsEuropean Unionworking paper