of f iscal policy? In this paper, we develop indicators of f iscal credibility that quantify the degree to which policy … good policy track record, contribute to magnifying this effect, thereby improving fiscal credibility. Conversely, empirical … analysis suggests that markets reward credibility with more favorable sovereign financing conditions …

", albeit of limited size. The value of such services depends on the credibility of the central bank, which can be accumulated …

credibility. In our setting, central bank credibility is proportional to the deviation of inflation expectations from the … announced inflation target, with positive deviations being more costly compared to negative ones. A loss in policy credibility …. We find that the extended model with credibility effects matches well the key macroeconomic data over specific past …

policy credibility. Under the floating regime, Chile's economic adjustment to external shocks appears significantly improved …

price stability and central bank credibility have reduced the second component …