Avesani, Renzo; Gallo, Giampiero M; Salmon, Mark - C.E.P.R. Discussion Papers - 1995
the operation of a target zone as a dynamic signalling game between the monetary authorities and the financial markets. A … policy-maker's credibility as opposed to the open loop precommitment strategy that has been implemented, for instance, in the … determined optimally given the policy-maker's credibility. A commitment to this form of flexible target zone is shown through …