We study whether clarity of central bank inflation reports affects return volatility in financial markets. We measure …

The Czech National Bank has a respectable track record in terms of its policy actions and the corresponding inflation … outturns. Using a simple forward-looking policy rule, we find that its main communication tools-inflation targets, inflation … forecasts, verbal assessments of the inflation risks contained in quarterly inflation reports, and the voting within the CNB …

financial system. Our simulations suggest that if financial instability affects output and inflation with a lag and if the … can trade off more output and inflation instability today for a faster return to the trend than a policy that follows the … simple Taylor rule with only the contemporaneous output gap and inflation. …

Inflation-targeting central banks have a respectable track record at explaining their policy actions and corresponding … inflation outturns. Using a simple forward-looking policy rule and an assessment of inflation reports, we provide a new … methodology for the empirical evaluation of consistency in central bank communication. We find that the three communication tools-inflation …

The Maastricht inflation criterion, designed in the early 1990s to bring "high-inflation" EU countries in line with … "low-inflation" countries prior to the introduction of the euro, poses challenges for both new EU member countries and the … European Central Bank. While the criterion has positively influenced the public stance toward low inflation, it has biased the …

inflation factors and the overall forecast risk; in contrast, the bulletin's communication on monetary shocks has a negative …