Central Bank Constitutions for Monetary Unions
AbstractHistorical experience suggests that the distribution of monetary policy authority among the members of a monetary union is a key aspect of the design of a central bank constitution. We analyse alternative institutional solutions to that problem with different degrees of centralization of monetary policy decisions. The degree of centralization required to facilitate credible, low-inflation policies depends critically on the political structure of the monetary union. Efficient monetary stabilization requires centralized decision-making rules. Whether or not stabilization can be improved by adding central appointees to member state representatives on the central bank council depends on the stochastic structure of the relevant economic disturbances.
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.
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.
Bibliographic InfoPaper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 919.
Date of creation: Mar 1994
Date of revision:
Contact details of provider:
Postal: Centre for Economic Policy Research, 77 Bastwick Street, London EC1V 3PZ.
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
Find related papers by JEL classification:
- E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
- E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
- E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
- F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Fidrmuc, Jan & Horvath, Julius & Fidrmuc, Jarko, 1999.
"Stability of monetary unions: Lessons from the break-up of Czechoslovakia,"
ZEI Working Papers
B 17-1999, ZEI - Center for European Integration Studies, University of Bonn.
- Fidrmuc, Jan & Horvath, Julius & Fidrmuc, Jarko, 1999. "Stability of Monetary Unions: Lessons from the Break-up of Czechoslovakia," Transition Economics Series 10, Institute for Advanced Studies.
- Fidrmuc, J. & Horváth, J., 1998. "Stability of Monetary Unions: Lessons from the Break-Up of Czechoslovakia," Discussion Paper 1998-74, Tilburg University, Center for Economic Research.
- Berger, Helge, 2005.
"Optimal central bank design: benchmarks for the ECB,"
2005/27, Free University Berlin, School of Business & Economics.
- Helge Berger, 2006. "Optimal central bank design: Benchmarks for the ECB," The Review of International Organizations, Springer, vol. 1(3), pages 207-235, September.
- Helge Berger, 2006. "Optimal Central Bank Design: Benchmarks for the ECB," CESifo Working Paper Series 1697, CESifo Group Munich.
- Berger, Helge & Müller, Till, 2004.
"How should large and small countries be represented in a currency union?,"
2004/20, Free University Berlin, School of Business & Economics.
- Helge Berger & Till Mueller, 2007. "How should large and small countries be represented in a currency union?," Public Choice, Springer, vol. 132(3), pages 471-484, September.
- Helge Berger & Till Mueller, 2004. "How Should Large and Small Countries Be Represented in a Currency Union?," CESifo Working Paper Series 1344, CESifo Group Munich.
- Jan Marc Berk & Beata K. Bierut, 2005. "Communication in Monetary Policy Committees," DNB Working Papers 059, Netherlands Central Bank, Research Department.
- Ivo J.M. Arnold & Casper G. de Vries, 1998. "The EURO, Prudent Coherence?," Tinbergen Institute Discussion Papers 98-070/2, Tinbergen Institute.
- Christian Fahrholz & Philipp Mohl, 2004. "EMU-enlargement and the Reshaping of Decision-making within the ECB Governing Council: A Voting-Power Analysis," Eastward Enlargement of the Euro-zone Working Papers wp23, Free University Berlin, Jean Monnet Centre of Excellence, revised 01 Jun 2004.
- Hans Peter Grüner & Alexandra Kiel, 2001. "Collective decisions with interdependent valuations," GK working paper series 2001-02, Post Graduate Programme "Allocation on Financial Markets", University of Mannheim, revised Sep 2001.
- Jan Marc Berk & Beata Bierut, 2004. "On the Optimality of Decisions," Tinbergen Institute Discussion Papers 04-120/2, Tinbergen Institute.
- Laurent GAGNOL & Moise SIDIROPOULOS, 2001. "The policy mix in a monetary union under alternative policy institutions and asymmetries," Working Papers of BETA 2001-23, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
- Lohmann, Susanne, 1997. "Partisan control of the money supply and decentralized appointment powers," European Journal of Political Economy, Elsevier, vol. 13(2), pages 225-246, May.
- Moïse Sidiropoulos & Eleftherios Spyromitros, 2006. "Fiscal Policy in a Monetary Union Under Alternative Labour-Market Structures," Working Papers of BETA 2006-25, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
- Carlos Montoro, 2007. "Why Central Banks Smooth Interest Rates? A Political Economy Explanation," Working Papers 2007-003, Banco Central de Reserva del Perú.
- Ivo Arnold, 1999. "The third leg of the stool: Financial stability as a prerequisite for EMU," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 135(2), pages 280-305, June.
- Jan Marc Berk & Beata K. Bierut, 2004.
"The Effects of Learning in Interactive Monetary Policy Committees,"
Tinbergen Institute Discussion Papers
04-029/2, Tinbergen Institute.
- Jan Marc Berk & Beata K. Bierut, 2004. "The effects of Learning in Interactive Monetary Policy Committees," MEB Series (discontinued) 2004-01, Netherlands Central Bank, Monetary and Economic Policy Department.
- Brigitte Godbillon & MoÃ¯se Sidiropoulos, 2001. "Designing Fiscal Institutions in a Monetary Union," Open Economies Review, Springer, vol. 12(2), pages 163-179, April.
- Carlos Montoro, 2007. "Monetary Policy Committees and Interest Rate Smoothing," CEP Discussion Papers dp0780, Centre for Economic Performance, LSE.
- Hayo, Bernd, 1998. "Inflation culture, central bank independence and price stability," European Journal of Political Economy, Elsevier, vol. 14(2), pages 241-263, May.
- Grüner, Hans Peter & Kiel, Alexandra, 2001. "Collective Decisions with Interdependent Valuations," CEPR Discussion Papers 3003, C.E.P.R. Discussion Papers.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.