Research

An Asian monetary union?

This Working Paper from The Australian National University, published April 2006, empirically examines whether a group of 12 Asian countries is suitable to form an Asian Monetary Union (AMU).

Paper on political authorities and central banks

The Working Paper "Do interactions between political authorities and central banks influence FX interventions? Evidence from Japan" published April 2006 proposes a model that takes account explicitly of differences in exchange rate objective between…

Information & interest rate-setting central banks

The Working Paper "How much information should interest rate-setting central banks reveal?" extends Morris and Shin's model to the case where the central bank must anyway convey some information by setting the interest rate.

ECB paper on interest rates and exchange rates

The ECB Working Paper "How does information affect the comovement between interest rates and exchange rates?" compares the link between exchange rates and interest rates under full information and two alternative asymmetric information approaches.

Guarding against large policy errors

In the Bank of Canada Working Paper "Guarding against large policy errors under model uncertainty" the author discusses some recent approaches that can be used to avoid large policy errors when policy-makers are uncertain about the true model of the…

How/why do consumers choose their payment methods?

In this Kansas City Fed RWP Stacey Schreft takes a detailed look at the state of research on this subject, where research needs to go, and why such research is important for monetary policymakers and banking regulators.

The UK current account deficit and all that

Bank of England Monetary Policy Committee member Stephen Nickell said in a paper published on Tuesday 25 April that the UK current account deficit is probably sustainable so long as average returns on equities exceed those on debt.

Chile paper on central bank independence

The Central Bank of Chile Working Paper "Central bank independence and monetary policymaking institutions: Past, present, and future" published April 2006 reviews the institutional changes that occurred over the last two decades in the area of central…

Transparency, expectations, and forecasts

Since 1994 the Federal Open Market Committee has increased the transparency about its economic outlook. This paper from the Federal Reserve Bank of Atlanta investigates whether this transparency has helped private agents improve their economic forecasts.

Danmarks Nationalbank in international comparison

The Danmarks Nationalbank Working Paper "Danmarks Nationalbank's operating costs and number of employees in an international comparison" benchmarks Danmarks Nationalbank against a number of other central banks with respect to operating costs and the…

Who directs the Federal Reserve Banks?

The Financial Markets Center's tenth annual analysis of Reserve Bank boards of directors, published Monday 10 April, shows that turnover has increased since 2005 while representation of labour and consumer interests remains modest.

Is the ECB so special?

The paper "Is the ECB so special? A qualitative and quantitative analysis" analyses the European Central Bank (ECB) monetary policy over the period 1999-2005, both from a qualitative and a quantitative perspective, and compares it with the Federal…

Perspectives on low global interest rates

This IMF Working Paper, published March 2006, looks at the dramatic decline in global real interest rates in recent years from a historical perspective and examines the various factors that may account for this trend.

ECB paper on the effects of EMU

The ECB Working Paper "What effects is EMU having on the euro area and its member countries? An overview" published March 2006, addresses the effects of the European Economic and Monetary Union (EMU) since the introduction of the euro -- on economic and…

Inflation targeting arrangements in Asia

The SCAPE Working Paper "Inflation targeting arrangements in Asia: Exploring the role of the exchange rate" presents an analysis of some of the issues relevant to Asian central banks implementing an inflation targeting arrangement with specific focus on…

Establishing credibility at the ECB

The IIIS Discussion Paper "Establishing credibility: Evolving perceptions of the European Central Bank" looks at the first years of the ECB to consider whether, and how, central bank credibility evolves.

IMF paper on central banks and seigniorage

The IMF Working Paper "Spending seigniorage: Do central banks have a governance problem?" published March 2006 reviews how central banks allocate seigniorage, based on systematic crosscountry comparisons of their financial accounts.

Liquidity provision in a model of payments

The Federal Reserve Working Paper "Alternative central bank credit policies for liquidity provision in a model of payments" explores alternative central bank policies for liquidity provision in a model of payments.

Market of foreign exchange hedge in Brazil

The IBMEC Economics Discussion Paper "The market of foreign exchange hedge in Brazil: Reactions of financial institutions to interventions of the central bank" says that between 1999 and 2002, Brazil's central bank sold expressive amounts of dollar…

Illiquidity in the interbank payment system

The March 2006 New York Fed Staff Report "Illiquidity in the interbank payment system following wide-scale disruptions" shows how the interbank payment system can become illiquid following wide-scale disruptions.