EconPapers    
Economics at your fingertips  
 

The European Central Bank and the Federal Reserve

Stephen Cecchetti () and O'Sullivan, Roisin

Oxford Review of Economic Policy, 2003, vol. 19, issue 1, pages 30-43

Abstract: In the 4 years of its existence, the European Central Bank (ECB) has made significant contributions to the macroeconomic stability of the euro area. This paper takes a critical look at the ECB and compares its institutional structure, policy framework, and operational procedures with those of the longer-established US central bank. We discuss the implications of various differences between the ECB and the Federal Reserve with a view toward identifying successful elements of the practices of both these institutions. The paper recommends that the ECB abandon the first pillar of its monetary policy strategy that affords a special role to monetary aggregates in the evaluation of financial market conditions. It also suggests that the Federal Reserve should follow the ECB's lead and provide an explicit definition of price stability. Copyright 2003, Oxford University Press.

Date: 2003
References: Add references at CitEc
Citations View citations in EconPapers (4) Track citations by RSS feed

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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: http://EconPapers.repec.org/RePEc:oup:oxford:v:19:y:2003:i:1:p:30-43

Access Statistics for this article

Oxford Review of Economic Policy is currently edited by Allsopp C.

More articles in Oxford Review of Economic Policy from Oxford University Press
Series data maintained by Oxford University Press ().

 
Page updated 2014-12-06
Handle: RePEc:oup:oxford:v:19:y:2003:i:1:p:30-43