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Central Banking

Poland targets ERM-2 by 2011

Marian Noga, a member of the ten-strong council of the Polish central bank, said on Monday that Poland should join the ERM-2 exchange rate mechanism in 2011.

Mishkin on Fed flexibility

In a speech on 15 February, Fed governor Frederic Mishkin explained how the Federal Reserve has used four different tools to accomplish its objectives of achieving price stability and maximum employment in recent months.

Dynamic pricing and imperfect common knowledge

This paper by Kristoffer Nimark of the Reserve Bank of Australia introduces private information into the dynamic pricing decision of firms in an otherwise standard new Keynesian model by adding an idiosyncratic component to firms' marginal costs.

Euro expectations stabilise currencies

Relatively stable market expectations for euro-locking rates have fixed the exchange rates of three central European currencies, research published by the National Bank of Hungary finds.

Convergence rules best route to euro-adoption

The structured convergence process towards euro adoption provides the best guarantee for a smooth inclusion and a mutually beneficial life in the monetary union, Jurgen Stark, a member of the European Central Bank's executive board, said.

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