This article investigates the relationship between central bank credibility and the volatility of the key monetary … credibility based on the gap between inflation expectations and the official inflation target. While this new index addresses the … a negative effect of credibility on the volatility of the short term interest rate. Thus, in line with the expectations …

Central bank credibility is critical for the effectiveness of monetary policy. The measures of credibility that are … alternative measure that allows us to track the evolution of credibility in an inflationary environment. Credibility is defined as … decisions. We adopt a Bayesian set up to exploit this definition and document how credibility changes over time. Our measure …

bank credibility. Forward guidance and the credibility of the central bank are uniquely modeled by utilizing a game …-theoretic evolutionary framework. We estimate credibility for the U.S. Federal Reserve with Bayesian methods exploiting survey data on … estimate of Federal Reserve credibility in terms of forward guidance announcements is relatively high, which indicates a degree …

bank credibility. Forward guidance and the credibility of the central bank are uniquely modeled by utilizing a game …-theoretic evolutionary framework. We estimate credibility for the U.S. Federal Reserve with Bayesian methods exploiting survey data on … estimate of Federal Reserve credibility in terms of forward guidance announcements is relatively high, which indicates a degree …

We propose a novel framework to gauge the credibility of central banks' commitment to an inflation-targeting regime …

Modern monetary policy focuses on credibility and shaping consumers' inflation expectations. According to the concept …-making process and may be a specific intermediate target. The aim of the study is to analyse the credibility of inflation forecasts … credibility index. The inflation forecasts' credibility index may be calculated for all types of inflation forecasts made by …

We use three different indicators based on inflation expectations to measure central bank credibility in 9 countries in … Central and Eastern Europe. We quantify credibility using differences between official inflation targets and inflation … expectations as well as differences between inflation expectations and implicit targets based on estimation of the Taylor rule …

This paper analyzes the time-varying credibility of the Fed's inflation target in an empirical macro model with … across monetary policy regimes. I find that imperfect credibility is pronounced during the Volcker Disinflation and to a …

-)establish credibility, optimal monetary policy under discretion is shown to set higher interest rates today if average inflation exceeded … term in the central bank's optimal instrument rule, which we refer to as the "credibility loss". Augmenting a standard … of seven central banks and that this influence is economically meaningful. A deteroriation in credibility forces central …