OPTIMThe conservative central banker has come under attack recently. Explicitly modeling the interaction of a trade … discussion in a standard trade union model. We show that the case against the conservative central banker rests exclusively on … welfare gain associated with making the central bank less conservative than society, however if the outside option is in real …

What is the optimal institutional structure for an independent central bank? The paper shows when it will be optimal … for a country to have a central bank to be organized according to federal, purely national or a combination of both … common central bank is optimal for participating countries and when they are willing to join. The implications for an …

The paper models the links between financial fragility, asset markets and monetary policy. It is shown that central … of an asset price bubble. In an economy with a highly leveraged financial structure, the central bank has an incentive to … a central bank to inject liquidity in a crisis. …

central banks. In line with the survey of Alan Blinder among central bankers, we asked participants in Ifo s World Economic … history of honesty and a high level of central bank independence. According to our respondents, the Federal Reserve is the … most credible, transparent and independent central bank out of seven large central banks. The ECB is not perceived as …

developments and pay particular attention to monetary policy. The data suggests that the Central Bank of Turkey was a strong … post-2009 period the Central Bank was able to stabilize expectations and asset prices when it chose to do so, but this was …

No. And not only for the reason you think. In a world with multiple inefficiencies the single policy tool the central … terms of optimal monetary policy effectively turns the central bank into the residual claimant of all policy and gives the … other policymakers a free hand in pursuing their own goals. This further worsens the tradeoffs faced by the central bank …

endogenous central bank reaction to a contractionary demand shock as in Christiano, Eichenbaum, Rebelo (2011) and the ZLB modeled …