The literature on central banking so far has provided explanations of why we observe independent central banks and why central banks are usually more conservative than governments. However, little is known about the interaction between the two institutions. Bridging the gap, we focus on the...

This paper develops a theoretical model of dynamic decision-making of a monetary policy committee with heterogeneous members. It investigates the optimal transparency, and the optimal way of transmitting information of committees, by analysing the effects different communication strategies have...

Weshalb der Euro der Preis für die Wiedervereinigung war -- Die EZB macht sich zum Kumpanen der Politiker -- Neues aus der Haftungsunion -- Das Recht ist unter die Räder gekommen.- Lasset die Fremdlinge zu uns kommen? -- Das Eigeninteresse der Eurokratie -- Neustart jetzt -- Quellen und...

In a monetary union, the interaction between several governments and a single central bank is plagued by several sources of deficit bias, including common pool problems. Each government has strong preferences over local spending and taxation but suffers only part of the costs of union-wide...

In a monetary union, the interaction between several governments and a single central bank is plagued by several sources of deficit bias, including common pool problems. Each government has strong preferences over local spending and taxation but suffers only part of the costs of union-wide...