Central Bank Independence and Transparency : Evolution and Effectiveness / Christopher Crowe, Ellen Meade.

Format:

Book

Government document

Author/Creator:

Crowe, Christopher.

Contributor:

Meade, Ellen.

Series:

IMF Working Papers; Working Paper ; No. 2008/119

IMF working paper ; WP/08/119

IMF Working Papers

Language:

English

Subjects (All):

Banks and banking, Central.

Autonomy.

Monetary policy.

Physical Description:

1 online resource (30 p.)

Edition:

1st ed.

Place of Publication:

Washington, D.C. : International Monetary Fund, 2008.

Summary:

This paper examines the current level of central bank independence (CBI) and transparency in a broad sample of countries using newly constructed measures, and looks at the evolution in both measures from an earlier time period. Increases in CBI have tended to occur in more democratic countries and in countries with high levels of past inflation. More independent central banks in turn tend to be more transparent, while transparency is also positively correlated with measures of national institutional quality. Exploiting the time dimension of our data to eliminate country fixed effects and using instrumental variable estimation to overcome endogeneity concerns, we present evidence that greater CBI is associated with lower inflation. We also find that enhanced transparency practices are associated with the private sector making greater use of information provided by the central bank.

Contents:

Contents; I. Introduction; II. Measures of Central Bank Independence; Text Tables; 1. Mean Level (Later Period) and Change in CBI; III. Measures of Central Bank Transparency; 2. Correlates with Change in CBI Index, D.CBI; 3. Mean Level (Later Period) and Change in Transparency; IV. Effects of Central Bank Independence; 4. Correlates with Transparency Score, TRANS1; 5. CBI and Inflation (INF): OLS Regression Results; 6. D.CBI and Inlfation (D.INF) IV Regression Results; V. Effects of Transparency; 7. Transparency and Use of Private Information; VI. Conclusions

Appendix: Data Sources and Variables UsedAppendix Tables; A1. Country Samples; A2. Construction and Coding of Transparency Measure; References

Notes:

Description based upon print version of record.

Includes bibliographical references.

Description based on online resource; title from PDF front page (ebrary, viewed February 25, 2014).

ISBN:

9786612840739

9781462373963

1462373968

9781452789446

1452789444

9781282840737

1282840738

9781451869798

1451869797

OCLC:

870245283