In a setting with a risk-adverse union, we study the effects of central bank's political transparency on wage level and inflation volatility according to its degree of conservativeness. We obtain some results that contrast with these obtained in the same kind of model or in a Rogoff type model of a conservative central banker. For high (low) degree of conservativeness, more transparency may lead to more (less) wage discipline. When the degree of conservativeness is high, inflation volatility decreases with transparency, independently of the initial degree of transparency. In the contrary, inflation volatility could increase or decrease with transparency.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. 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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 62 (2008) Issue (Month): 4 (December) Pages: 179-187 Download reference. The following formats are available: HTML
(with abstract),
plain text
(with abstract),
BibTeX,
RIS (EndNote, RefMan, ProCite),
ReDIF