National Representation in Multinational Institutions: The Case of the European Central Bank
Multinational institutions face an important trade-off when hiring personnel. On the one hand, hiring decisions are based, as in most organizations, on a candidate’s professional qualifications. On the other hand, multinational institutions often aim for broad national representation. Reviewing evidence from the European Central Bank, we show that nationality is indeed relevant for both hiring and decision-making. Specifically, we identify various country-specific features that determine national representation in the top management of the ECB. Further, there is evidence for the existence of national networks between adjacent management layers. Finally, monetary policy decisions seem to be linked to national representation in the core business areas of the ECB. Examining a sample of 14 European countries over the period from 1999 to 2008, we estimate Taylor rules for alternative sets of euro area aggregates derived from different weighting schemes of national macroeconomic data. Our results indicate that weights based on national representation in the mid-level management of the ECB's core business areas best describe the central bank's interest-rate setting behavior.
|Date of creation:||2011|
|Contact details of provider:|| Postal: Poschingerstrasse 5, 81679 Munich|
Phone: +49 (89) 9224-0
Fax: +49 (89) 985369
Web page: http://www.cesifo-group.de
More information through EDIRC
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.:
- Berger, Helge & Nitsch, Volker & Lybek, Tonny, 2008.
"Central bank boards around the world: Why does membership size differ?,"
European Journal of Political Economy,
Elsevier, vol. 24(4), pages 817-832, December.
- Helge Berger & Volker Nitsch & Tonny Lybek, 2007. "Central Bank Boards around the World: Why does Membership Size Differ?," CESifo Working Paper Series 1897, CESifo Group Munich.
- Berger, Helge & Nitsch, Volker & Lybek, Tonny, 2008. "Central Bank boards around the world: Why does membership size differ?," Discussion Papers 2008/5, Free University Berlin, School of Business & Economics.
- Helge Berger & Tonny Lybek & Volker Nitsch, 2006. "Central Bank Boards Around the World; Why Does Membership Size Differ?," IMF Working Papers 06/281, International Monetary Fund.
- Helge Berger & Volker Nitsch, 2008.
"Too Many Cooks? Committees in Monetary Policy,"
KOF Working papers
08-195, KOF Swiss Economic Institute, ETH Zurich.
- Helge Berger & Volker Nitsch, 2008. "Too many Cooks? Committees in Monetary Policy," CESifo Working Paper Series 2274, CESifo Group Munich.
- Berger, Helge & Nitsch, Volker, 2008. "Too many cooks? Committees in monetary policy," Discussion Papers 2008/8, Free University Berlin, School of Business & Economics.
- Janko Gorter & Jan Jacobs & Jakob de Haan, 2008. "Taylor Rules for the ECB using Expectations Data," Scandinavian Journal of Economics, Wiley Blackwell, vol. 110(3), pages 473-488, 09.
- Marianne Bertrand & Antoinette Schoar, 2003.
"Managing with Style: The Effect of Managers on Firm Policies,"
The Quarterly Journal of Economics,
Oxford University Press, vol. 118(4), pages 1169-1208.
- Bertrand, Marianne & Schoar, Antoinette, 2003. "Managing With Style: The Effect of Managers on Firm Policies," Working papers 4280-02, Massachusetts Institute of Technology (MIT), Sloan School of Management.
- Friedrich Heinemann & Felix P. Huefner, 2004.
"Is The View From The Eurotower Purely European? - National Divergence And Ecb Interest Rate Policy,"
Scottish Journal of Political Economy,
Scottish Economic Society, vol. 51(4), pages 544-558, 09.
- Heinemann, Friedrich & Huefner, Felix P., 2002. "Is the View from the Eurotower Purely European? National Divergence and ECB Interest Rate Policy," ZEW Discussion Papers 02-69, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Huefner, Felix P & Friedrich Heinemann, 2003. "Is the View from the Eurotower Purely European? - National Divergence and ECB Interest Rate Policy," Royal Economic Society Annual Conference 2003 110, Royal Economic Society.
- Gohlmann, Silja & Vaubel, Roland, 2007. "The educational and occupational background of central bankers and its effect on inflation: An empirical analysis," European Economic Review, Elsevier, vol. 51(4), pages 925-941, May.
- Timothy Besley & Jose G. Montalvo & Marta Reynal‐Querol, 2011. "Do Educated Leaders Matter?," Economic Journal, Royal Economic Society, vol. 121(554), pages F205-, 08.
- Gerlach-Kristen, Petra, 2006. "Monetary policy committees and interest rate setting," European Economic Review, Elsevier, vol. 50(2), pages 487-507, February.
- Michelmann, Hans J., 1978. "Multinational staffing and organizational functioning in the Commission of the European Communities," International Organization, Cambridge University Press, vol. 32(02), pages 477-496, March.
- Axel Dreher & Michael J. Lamla & Sarah M. Rupprecht & Frank Somogyi, 2006.
"The impact of political leaders’ profession and education on reforms,"
KOF Working papers
06-147, KOF Swiss Economic Institute, ETH Zurich.
- Dreher, Axel & Lamla, Michael J. & Lein, Sarah M. & Somogyi, Frank, 2009. "The impact of political leaders' profession and education on reforms," Journal of Comparative Economics, Elsevier, vol. 37(1), pages 169-193, March.
- Gildea, John A, 1992. "The Regional Representation of Federal Reserve Bank Presidents," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 24(2), pages 215-25, May.
- Ellen E. Meade, 2010. "Federal Reserve Transcript Publication And Regional Representation," Contemporary Economic Policy, Western Economic Association International, vol. 28(2), pages 162-170, 04.
- Meade, Ellen E & Sheets, D Nathan, 2005. "Regional Influences on FOMC Voting Patterns," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 37(4), pages 661-77, August.
- Helge Berger & Jakob Haan, 2002. "Are small countries too powerful within the ECB?," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 30(3), pages 263-282, September.
When requesting a correction, please mention this item's handle: RePEc:ces:ceswps:_3573. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Klaus Wohlrabe)
If references are entirely missing, you can add them using this form.