We study credible information transmission by a benevolent Central Bank. We consider two possibilities: direct … transmitting information have very different consequences. Since the objectives of the Central Bank and those of individual … investors are not always aligned, private investors might rationally ignore announcements by the Central Bank. In contrast …

that initially have a relatively dependent central bank increases after unification. This may put the political …

channel system and investigate the optimal policy. A novel aspect of the channel system is that a central bank can tighten or …

Under a conventional policy rule, a central bank adjusts its policy rate linearly according to the gap between … central bank controls inflation aggressively when inflation is far from its target, but concentrates more on output …