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The paper discusses key elements of optimal central bank design and applies its findings to the Eurosystem. A …
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welfare gain associated with making the central bank less conservative than society, however if the outside option is in real … of central bank conservatism. …
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size and voting power. One way to implement this principle is a rotation scheme for national central bank governors that …
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distribution in the European Central Bank (ECB) council. We show that, in a model where labor unions internalize the inflationary …
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