Angus Armstrong, Francesco Caselli, Jagjit Chadha, Wouter den Haan, Tuesday, March 17, 2015 - 00:00
Charles A.E. Goodhart, Monday, March 2, 2015 - 00:00
Darrell Duffie , Piotr Dworczak, Haoxiang Zhu, Monday, February 16, 2015 - 00:00
Barry Eichengreen, Petra Geraats, Tuesday, January 6, 2015 - 00:00
Xavier Vives, Monday, December 22, 2014 - 00:00
Francesco Pappadà, Yanos Zylberberg, Monday, February 3, 2014 - 00:00
Greece’s austerity package included an unprecedented increase in the VAT rate, but the resulting increase in revenue was much lower than expected. This column links this disappointing result to the ‘transparency response’ of firms to higher tax rates. In countries like Greece with poor tax monitoring, firms face a tradeoff when deciding whether to declare their activity. Transparency is a necessary condition for accessing external finance, but it also means having to pay tax. Improving credit conditions for small and medium-size Greek firms might shift this tradeoff in favour of transparency.
Tomaso Duso, Klaus Gugler, Florian Szücs, Sunday, January 26, 2014 - 00:00
In 2004, European merger law was substantially revised, with the aim of achieving a ‘more economic approach’ to merger policy. This column discusses a recent empirical assessment of European merger cases before and after the reform. Post-reform, the outcomes of merger cases became more predictable, and the Commission prohibited fewer pro-competitive mergers. While there remains room for improvement in several aspects, the reform seems to have been successful in bringing European competition law closer to economic principles.
Rafael Doménech, Víctor Pérez-Díaz, Wednesday, December 11, 2013 - 00:00
Based on the report issued by a Committee of Experts, the Spanish Parliament will pass a new law that implements an innovative sustainability factor in the public pension system. This column argues that the proposal solves the problem of financial sustainability in the long run while opening a wider debate on the welfare system and growth under conditions of increased global competition.
Clemens Bonner, Iman van Lelyveld, Robert Zymek, Friday, November 1, 2013 - 00:00
What are the determinants of banks’ liquidity holdings and how are these reshaped by liquidity regulation? Based on a sample of 7,000 banks in 30 OECD countries, this column argues that banks’ liquidity buffers are determined by a combination of both bank- and country-specific variables. The presence of liquidity regulation substitutes for most of these determinants while complementing the role of size and institutions’ disclosure requirements. The complementary nature of disclosure and liquidity requirements provides a strong rationale for considering them jointly in the design of regulation.
Xavier Freixas, Christian Laux, Tuesday, April 17, 2012 - 00:00
Faith in market discipline has been shattered by the financial crisis. This column argues that the failure of market discipline has different roots. It points to a lack of transparency and efficiency, particularly when it is needed most. In order to rectify this, however, it is not enough to merely increase the provision and disclosure of information. Instead, transparency depends on how that information is interpreted and used.
Peter Tillmann, Thursday, February 23, 2012 - 00:00
As the US Federal Reserve starts to increase the transparency of its decision-making process, including the release of economic forecasts and interest-rate projections, this column asks whether these projections reflect strategic motives that might make them less accurate and less useful to those wanting to predict monetary policy.
Ana De La O, Alberto Chong, Dean Karlan, Léonard Wantchékon, Monday, January 23, 2012 - 00:00
For democratic theorists, the notion that greater transparency improves accountability is axiomatic: when voters find out about political corruption, they punish the offending politicians by not voting for them again. But, the authors of CEPR DP8790 argue, many voters also respond to evidence of corruption by not voting at all – indicating that more transparency might not automatically result in a healthier democratic process.
Kateřina Šmídková, Jan Zapal, Roman Horváth, Sunday, November 13, 2011 - 00:00
Does the publishing of voting records improve the transparency of monetary policy? This column argues voting records indeed contain informative power about future monetary policy but only if there is sufficient independence in voting across board members and if the signals about the optimal policy rate are noisy.
Anne Sibert, Thursday, September 15, 2011 - 00:00
The European Central Bank was once known for its focus on price stability. Since the global economic crisis, however, its role has extended to saving banks and sovereign countries. This column argues that such a move has badly harmed the institution’s legitimacy – something that will damage both its policy effectiveness and confidence in the governing bodies of the EU as a whole.
Barry Eichengreen, Thursday, June 17, 2010 - 00:00
Financial crises feed on uncertainty. This essay warns that the longer the Eurozone crisis is allowed to linger, the greater will be the damage. But Europe can take concrete actions to bring it to an end. It should make bank stress tests public, provide more clarity on its special purpose vehicle, move forward with restructuring Greece’s debt, and support growth through quantitative easing.
Helmut Reisen, Dilan Ölcer, Tuesday, February 17, 2009 - 00:00
The Extractive Industries Transparency Initiative has directed the international community’s attention to a sector that has traditionally been veiled in secrecy. But it has not been effective in producing change. Why have so many resource-rich countries failed to lower perceived corruption? This column points to low-quality information provided in reports and weak civil societies in resource-rich countries as possible explanations. Reforms and improvements are needed.
Carin van der Cruijsen, Sylvester Eijffinger, Lex Hoogduin , Tuesday, August 12, 2008 - 00:00
Transparency is the new trend in central banking, but it has both costs and benefits. This column discusses research aimed at identifying the optimal level of transparency. The results suggest that US and European central banks may be too transparent.
Christopher Crowe, Ellen E. Meade, Thursday, July 31, 2008 - 00:00
Theories arguing that independent, transparent central banks fight inflation better are widely accepted, but the evidence backing them is surprisingly scarce. This column presents new empirical estimates suggesting a payoff to central bank independence and transparency.
Christopher Crowe, Ellen E. Meade, Sunday, July 27, 2008 - 00:00
The European Central Bank is under fire from Nicholas Sarkozy. This column introduces a new set of measures of central bank independence and transparency, which shows that the ECB is markedly more transparent than the Eurozone members’ central banks were in the 1990s.
Ellen E. Meade, David Stasavage, Thursday, June 26, 2008 - 00:00
Central banks are increasingly transparent but is the spotlight is stifling? Analysis of FOMC transcripts before and after Committee members knew that they would be published shows how transparency deadened the debate and reduced the number of challenges to Greenspan’s position.