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- W2101981218 abstract "A central bank with private information about its preferences has an incentive to reduce its planned inflation to increase the public's perception of its inflation aversion and lower expected future inflation. A regime is said to be transparent if planned inflation is observable and reveals the central bank's preferences and to be non-transparent if planned inflation is unobservable and can be only imperfectly inferred from actual inflation. A central bank in the non-transparent regime is said to become more transparent when actual inflation becomes a better signal of planned inflation. I find several results about transparent and non-transparent regimes: some are novel and some contrast with the results of earlier papers. In particular, I demonstrate that in a non-transparent regime, increased transparency need not improve the public's ability to infer a central bank's private information. I show that society and central banks are better off with more transparency. My numerical results suggest that society and central banks prefer the transparent to the non-transparent regimes." @default.
- W2101981218 created "2016-06-24" @default.
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- W2101981218 date "2009-06-01" @default.
- W2101981218 modified "2023-10-03" @default.
- W2101981218 title "Is Transparency About Central Bank Plans Desirable?" @default.
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- W2101981218 doi "https://doi.org/10.1162/jeea.2009.7.4.831" @default.
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