desirable and improves credibility. While delegation does not increase commitment per se it makes it more attractive and … increases investments in credibility. Delegation can therefore serve as a valid commitment device. …We often use delegation as a commitment device if a government faces problems of timeinconsistency. McCallum (1995, AER …

Conventional wisdom says that commitment eliminates the inflationary bias of monetary policy. However, this paper shows …

crucial for the success of a monetary reform. -- Monetary Reforms ; Credibility ; Commitment ; Institutions … macroeconomic model of commitment and credibility. As the dependent variable, we calculate a post-reform inflation rate. The … exogenous variables are the degree of legal commitment and the constraining influence of institutions. The paper allows for the …