Bulletin n. 2-3/2012 | ||
October 2012-February 2013 | ||
Robert L. Hetzel |
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Central bank accountability and independence: Are they inconsistent? | ||
in Journal of Macroeconomics , volume 34 n.3 , 2012 , 616–625 | ||
The language of discretion offers little information about monetary policy beyond the assurance that policymakers always “do the right thing at the right time”. This language renders problematic the reconciliation of central bank independence with accountability. Monetary policymakers should articulate an analytical framework using the language of economics that allows them to respond to the question, “What variables does the central bank control and how does it exercise that control”. | ||