Analysis of Approaches to Accounting of the Information Effects of Monetary Policy

Анализ подходов к учету информационных эффектов денежно-кредитной политики

Pavel Trunin, Alexandra Bozhechkova, Eugene Goryunov and Diana Petrova

Working Papers from Russian Presidential Academy of National Economy and Public Administration

Abstract: In this paper we study informational aspects of monetary policy and the impact of information signals of central banks on economic agents behavior. In the first section we present main theoretical frameworks which take into account the information signals of the central banks in conditions of asymmetric information, including the issue of dynamic inconsistency and key mechanisms of its solutions, channels of influence of Central Bank transparency on decisions of economic agents, the problem of displacement of private information with excessive transparency. In the second section we make a review of the empirical literature and conduct econometric calculations on the effect of Bank of Russia communication signals on the performance of monetary, foreign exchange and stock markets. We found a significant reaction of those markets’ indicators and its’ volatility on signals about expected tightening, softening and immutability of monetary policy. Our results indicate that the informational policy of Bank of Russia is partially effective.

Pages: 105 pages
Date: 2017-03
New Economics Papers: this item is included in nep-cis, nep-dcm, nep-mon and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://repec.ranepa.ru/rnp/wpaper/031723.pdf
Our link check indicates that this URL is bad, the error code is: 404 Not Found

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rnp:wpaper:031723

Access Statistics for this paper

More papers in Working Papers from Russian Presidential Academy of National Economy and Public Administration Contact information at EDIRC.
Bibliographic data for series maintained by RANEPA maintainer ().