Skip to main content Accessibility help
×
Home
Hostname: page-component-78dcdb465f-bcmtx Total loading time: 1.268 Render date: 2021-04-18T15:49:39.789Z Has data issue: true Feature Flags: { "shouldUseShareProductTool": true, "shouldUseHypothesis": true, "isUnsiloEnabled": true, "metricsAbstractViews": false, "figures": false, "newCiteModal": false, "newCitedByModal": true }

Duisenberg and Trichet: Measures of their Degree of Conservatism

Published online by Cambridge University Press:  17 August 2016

Get access

Summary

This paper suggests, on the basis of the New Keynesian model, a measure of the degree of conservatism of the European Central Banker. At first, we notice that the appointment of the President of the European Central Bank was made after substantive disagreements about the degree of conservatism (institutional and personal) of the candidates. Secondly, we apply this measure to the change of presidency (from Duisenberg to Trichet) in order to explore the possibility of a step change in the conduct of the ECB's monetary policy. Finally, our results show that once appointed, the two Central Bankers adapted to the institutional framework in which they made decisions.

Type
Research Article
Copyright
Copyright © Université catholique de Louvain, Institut de recherches économiques et sociales 2010

Access options

Get access to the full version of this content by using one of the access options below.

References

Acheson, K. and Chant, J.F. (1973), “Bureaucratic Theory and the Choice of Central Bank Goals: The Case of The Bank of Canada”, Journal of Money, Credit and Banking, Vol. 5, No. 2, pp 637655.CrossRefGoogle Scholar
Aubin, C. and Lafay, J.D. (1995), “Objectifs Politiques et Contraintes Institutionnelles dans les Décisions de Politique Monétaire”, Revue Economique, Vol. 46, No. 3, pp. 869878.Google Scholar
Bade, R. and Parkin, M.J. (1985), Central Banks Laws and Monetary Policy, London: University of Western Ontario, Department of Economics.Google Scholar
Berthelot, J. (1997), “Pas de Monnaie unique sans un minimum de Fédéralisme”, in: Collectif, (eds), La monnaie unique en Débat, Paris: La Découverte et Syros, pp. 85109.Google Scholar
Bertocchi, G. and Spagat, M. (1993), “Learning, Experimentation, and Monetary Policy”, Journal of Monetary Economics, Vol. 32, No.l, pp. 169183.CrossRefGoogle Scholar
Bezoen, S. and Maier, P. (2004), “Bashing and Supporting Central Banks: The Bundesbank and the European Central Bank”, European Journal of Political Economy, Vol. 20, No.4, pp. 923940.Google Scholar
Blinder, A.S. (1997), “What Central Bankers Could Learn from Academics — and Vice Versa”, Journal of Economic Perspective, Vol. 11, No.2, 319.CrossRefGoogle Scholar
Blinder, A.S. (1998), Central Banking in Theory and Practice, Cambridge: The MIT Press.Google Scholar
Brainard, W.C. (1967), “Uncertainty and Effectiveness of Policy”, American Economic Review, Vol. 57, No.2, pp. 411425.Google Scholar
Calvo, G.A. (1983), “Staggered Prices in a Utility-Maximizing Framework”, Journal of Monetary Economics, Vol. 12, No.3, pp. 383398.CrossRefGoogle Scholar
Clarida, R., Gali, J. and Gertler, M. (1999), “The Science of Monetary Policy: A New Keynesian Perspective”, Journal of Economic Literature, Vol. 37, No.4, pp. 16611707.CrossRefGoogle Scholar
Downs, A. (1967), Inside Bureaucracy, Boston: Little Brown.Google Scholar
European Central Bank (2001), “Issues Related to Monetary Policy Rules”, Monthly Bulletin, October, pp. 3751.Google Scholar
Fischer, S. (1977), “Long-Term Contracts, Rational Expectations, and the Optimal Money Supply Rule”, Journal of Political Economy, Vol. 85, No.l, pp. 191205.CrossRefGoogle Scholar
Frey, B.S. and Schneider, F. (1981), “Central Bank Behavior: A Positive Empirical Analysis”, Journal of Monetary Economics, Vol. 7, No.3, pp. 291315.CrossRefGoogle Scholar
Göhlmann, S. and Vaubel, R. (2005), “The Educational and Occupational Background of Central Bankers and its Effect on Inflation — An Empirical Analysis”, European Economic Review, Vol. 51, No.4, pp. 925941.CrossRefGoogle Scholar
Gordon, R.J. (1975), “The Demand for and Supply of Inflation”, Journal of Law and Economics, Vol. 18, No.3, 807836.CrossRefGoogle Scholar
Haan, J. de, Sturm, J.-E. and Maier, P. (2002), “Political Pressure on the Bundesbank: An Empirical Investigation using the Havrilesky Approach”, Journal of Macroeconomics, Vol. 24, No.l, pp. 103123.Google Scholar
Havrilesky, T. (1990), “The Influence of the Federal Advisory Council on Monetary Policy”, Journal of Money, Credit and Banking, Vol. 22, No.l, pp. 3750.CrossRefGoogle Scholar
Hayo, B. (1998), “Inflation Culture, Central Bank Independence and Price Stability”, European Journal of Political Economy, Vol. 14, pp. 241263.CrossRefGoogle Scholar
Hibbs, D.A. (1977), “Political Parties and Macroeconomic Policy”, The American Political Science Review, Vol. 71, No.4, pp. 14671487.CrossRefGoogle Scholar
Knaap, T. and Maier, P. (2002), “Who Supported the Deutsche Bundesbank?”, Journal of Policy Modeling, Vol. 24, No.9, pp. 831851.Google Scholar
Le Bihan, H. and Sahuc, J-G. (2002), “Régles de politique monétaire en présence dincertitude: une synthèse”, Revue d’Economie Politique, Vol. 112, No.3, pp. 349386.Google Scholar
Lichfield, J. (2003), “Trichet Set to Take Top Job at ECB”, The Independent, 19 June 2003.Google Scholar
Masciandaro, D. and Tabellini, G. (1988), “Monetary Regimes and Fiscal Deficits: A Comparative Analysis” in: Cheng, H. (ed), Monetary Policies in Pacific Basin Countries, Boston: Kluwer, pp. 125152.CrossRefGoogle Scholar
Mosteller, F. and Tukey, J.W. (1977), Data Analysis and Regression: A Second Course in Statistics, Reading, Mass.: Addison-Wesley.Google Scholar
OECD (1989), OECD Economic Outlook, Vol. 46, December.Google Scholar
OECD (1995), OECD Economic Outlook, Vol. 58, December.Google Scholar
OECD (2000), OECD Economic Outlook, Vol. 68, December.Google Scholar
OECD (2007), OECD Economic Outlook, Vol. 82, December.Google Scholar
Odent, B. (1998), “8BCE: la guerre des banquiers centraux”, Frankfurter Allgemeine Zeitung, 29 April 1998.Google Scholar
Quatremer, J. (2008), “BCE, mon amour”, Libération, No.8346, 6 March, pp. 32.Google Scholar
Quatremer, J. and Klau, T. (1999), Les hommes qui ont fait l’euro, Paris: Plon.Google Scholar
Taylor, J.B. (1980), “Aggregate Dynamics and Staggered Contracts”, Journal of Political Economy, Vol. 88, No.l, pp. 124.CrossRefGoogle Scholar
Toma, E.F. and Toma, M. (1986), Central Bankers, Bureaucratic Incentives, and Monetary Policy, Boston: Kluwer.CrossRefGoogle Scholar
Vaubel, R. (1997), “The Bureaucratic and Partisan Behavior of Independent Central Banks: German and International Evidence”, European Journal of Political Economy, Vol. 13, pp. 201224.CrossRefGoogle Scholar
Vaubel, R. (2003), “The Future of the Euro - A Public Choice Perspective” in: Capie, F. and Wood, G.E. (eds.), Monetary Unions: Theory, History, Public Choice, London and New York: Routledge, pp 146181. Google Scholar
Woodford, M. (2003), Interest and Prices, Foundations of a Theory of Monetary Policy, Princeton and Oxford: Princeton University Press.Google Scholar

Full text views

Full text views reflects PDF downloads, PDFs sent to Google Drive, Dropbox and Kindle and HTML full text views.

Total number of HTML views: 0
Total number of PDF views: 1 *
View data table for this chart

* Views captured on Cambridge Core between September 2016 - 18th April 2021. This data will be updated every 24 hours.

Send article to Kindle

To send this article to your Kindle, first ensure no-reply@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about sending to your Kindle. Find out more about sending to your Kindle.

Note you can select to send to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be sent to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Duisenberg and Trichet: Measures of their Degree of Conservatism
Available formats
×

Send article to Dropbox

To send this article to your Dropbox account, please select one or more formats and confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your <service> account. Find out more about sending content to Dropbox.

Duisenberg and Trichet: Measures of their Degree of Conservatism
Available formats
×

Send article to Google Drive

To send this article to your Google Drive account, please select one or more formats and confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your <service> account. Find out more about sending content to Google Drive.

Duisenberg and Trichet: Measures of their Degree of Conservatism
Available formats
×
×

Reply to: Submit a response


Your details


Conflicting interests

Do you have any conflicting interests? *