- A-Z
- Jena Economic Resea...
- Volume 1
- Monetary Commitment...
- Autor(in)
- Erwähnte Institution
-
Friedrich-Schiller-Universität Jena. Wirtschaftswissenschaftliche Fakultät
Universität Linz, Institut für Volkswirtschaftslehre (ZRÖ), (AT)
- Erschienen
- 30. März 2007
- Nummer des Discussion-Papers
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2007-002
- Seitenbereich
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2007-002
- Schlagwort(e)
-
central bank independence
monetary commitment
price stability
- Zusammenfsg.
-
Central bank independence (CBI) is a very important precondition for price stability. However, the empirical evidence for a correlation between both is relatively weak. In this paper, this weakness is countered with a) an extended measure of monetary commitment, which includes well-known criteria for CBI and external criteria such as convertibility and exchange rate regimes and b) the argument that monetary commitment can grant price stability best if it is backed by an adequate assignment of economic policy. An empirical assessment with data from four decades confirms the crucial role of monetary commitment for price stability.
- article pub. typess JER
- Research article
- article languages JER
- Englisch
- article research fields JER
- public policy
- JEL-Classification for JER
- E50 - General