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

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 …

using existing macroeconomic models by modifying expectations about policy announcements. The main advantage of our method … incorporate information about future interest rate announcements: "inattention", "credibility", "finite planning horizon", and …

extent to which inflation expectations are formed by the announced targets. As the credibility of the central bank increases … expectation in emerging economies. The findings denote that credibility is quite relevant to reduce inflation expectations and … inflation targeting system is inflation expectations. The success of a central bank in achieving targets depends on to the …