In this paper we investigate central bank accountability by looking at the effect of transparency in a simple monetary … banker's preferences for inflation stabilization relative to output stabilization. Transparency enhances the central bank …'s accountability. The paper shows that transparency leads to a lower expected rate of inflation and less stabilization of supply shocks. …

private information on shocks to money demand and, because of verifiability problems, the transparency solution is not …

transparency reduces the inflationary bias and gives the central bank greater flexibility to respond to shocks in the economy …. Furthermore, it makes it easier for a central bank to build a reputation. To achieve these benefits of transparency it is …

Central bank transparency has become the topic of a lively public and academic debate on monetary policy. Unfortunately …, it has been complicated by the fact that transparency is a qualitative concept that is hard to measure. This Paper … proposes a comprehensive index for central bank transparency that comprises the political, economic, procedural, policy and …