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Macroprudential Transparency And Price Stability In Emerging And Developing Countries

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  • Emna Trabelsi

    (Unité de Recherche d'Analyses Quantitatives Appliquées - Université de Tunis)

Abstract

In recent literature, there is a focus on the macroeconomic effects of macroprudential policy instruments. The innovation of this paper is to study the effects of transparent macroprudential policies on price stability. Our results provide the first empirical evidence that macroprudential transparency can aid to achieve stable inflation in emerging and developing countries. The effect is necessarily transmitted through the reduction of the occurrence of banking crisis. We also record a particular advantage of macroprudential transparency for non-inflation targeting countries. Overall, our results are robust to the use of two proxies of price stability.

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  • Emna Trabelsi, 2021. "Macroprudential Transparency And Price Stability In Emerging And Developing Countries," Post-Print hal-03566224, HAL.
    • Handle: RePEc:hal:journl:hal-03566224
    Note: View the original document on HAL open archive server: https://hal.science/hal-03566224
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    More about this item

    Keywords

    macroprudential transparency; price stability; banking crisis; dynamic panel; mediation; bootstrapping;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • 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

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