Staff, Functions, and Staff Costs at Central Banks: an International Comparison with a Labor- Demand Model
AbstractDuring the period 2000-2004 central banks sustained a generalized reduction in their staff, which was accompanied, in most cases, with significant increases in staff costs. This could obey to an enhanced interest of central banks in focusing on their core functions. In fact, central banks have changed the ways they perform their operative functions (e.g. currency operations, payment systems operation, printing notes, etc.) through different strategies aimed at gathering the participation of third parties. These strategies differ according to the relationship that central banks have with the financial sector and the government, as well as to their historical tradition and modernization trend. To explain the effect of these changes on the staff, we estimated a short-term labor demand function for 66 central banks using a panel data model with random effects. Results indicate that central banksâ labor demand is strongly determined by the countryâs population, economic development level and changes in operative functions, as well as by staff costs. In addition, we found a low employment-wage elasticity suggesting the presence of a flexible budgetary constrain in central banks.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Centro de Estudios Monetarios Latinoamericanos in its journal Money Affairs.
Volume (Year): XX (2007)
Issue (Month): 2 (July-December)
Other versions of this item:
- Jorge Galán Camacho & Miguel Sarmiento Paipilla, . "Staff, Functions, and Staff Costs at Central Banks: An International Comparison with a Labor-demand Model," Borradores de Economia 419, Banco de la Republica de Colombia.
- Jorge Galán Camacho & Miguel Sarmiento, 2006. "Staff, Functions, and Staff Costs at Central Banks: An International Comparison with a Labor-demand Model," BORRADORES DE ECONOMIA 003524, BANCO DE LA REPÚBLICA.
- Ran - Urban, Rural, Regional, Real Estate, and Transportation Economics - - - - -
- Eff - Macroeconomics and Monetary Economics - - - - -
- Cla - Mathematical and Quantitative Methods - - - - -
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- James Bohn & Diana Hancock & Paul Bauer, 2001. "Estimates of scale and cost efficiency for Federal Reserve currency operations," Economic Review, Federal Reserve Bank of Cleveland, issue Q IV, pages 2-26.
- Nout Wellink & Bryan Chapple & Philipp Maier, 2002.
"The role of national central banks within the European System of Central Banks: The example of De Nederlandsche Bank,"
- Nout Wellink & Bryan Chapple & Philipp Maier, 2002. "The role of national central banks within the European System of Central Banks: The example of De Nederlandsche Bank," MEB Series (discontinued) 2002-13, Netherlands Central Bank, Monetary and Economic Policy Department.
- Hsiao,Cheng, 2003.
"Analysis of Panel Data,"
Cambridge University Press, number 9780521522717.
- Di Noia, Carmine & Di Giorgio, Giorgio, 1999.
"Should Banking Supervision and Monetary Policy Tasks Be Given to Different Agencies?,"
Wiley Blackwell, vol. 2(3), pages 361-78, November.
- Carmine Di Noia & Giorgio Di Giorgio, 1999. "Should banking supervision and monetary policy tasks be given to different agencies?," Economics Working Papers 411, Department of Economics and Business, Universitat Pompeu Fabra.
- Carmine Di Noia & Giorgio Di Giorgio, 1999. "Should Banking Supervision and Monetary Policy Tasks Be Given to Different Agencies," Center for Financial Institutions Working Papers 00-11, Wharton School Center for Financial Institutions, University of Pennsylvania.
- Joe Peek & Eric S. Rosengren & Geoffrey M. B. Tootell, 1999.
"Is Bank Supervision Central To Central Banking?,"
The Quarterly Journal of Economics,
MIT Press, vol. 114(2), pages 629-653, May.
- Jorge Eduardo Galán Camacho & Miguel Sarmiento Paipilla, 2007.
"Banknote Printing At Modern Central Banking:Trends, Costs, And Efficiency,"
BORRADORES DE ECONOMIA
004393, BANCO DE LA REPÚBLICA.
- Jorge E. Galán and & Miguel Sarmiento, 2008. "Banknote Printing at Modern central Banking: Trends, Costs and Efficiency," Money Affairs, Centro de Estudios Monetarios Latinoamericanos, vol. 0(2), pages 217-262, July-Dece.
- Jorge Eduardo Galán Camacho & Miguel Sarmiento Paipilla, . "Banknote Printing At Modern Central Banking: Trends, Costs, And Efficiency," Borradores de Economia 476, Banco de la Republica de Colombia.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ana Laura Sibaja-Jiménez).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.