Measuring communication quality of interest rate announcements

Jonathan Benchimol, Itamar Caspi and Sophia Kazinnik
Additional contact information
Sophia Kazinnik: Federal Reserve Bank of Richmond

Post-Print from HAL

Abstract: We use text-mining techniques to measure the accessibility and quality of information within the texts of interest rate announcements published by the Bank of Israel over the past decade. We find that comprehension of interest rate announcements published by the Bank of Israel requires fewer years of education than interest rate announcements published by the Federal Reserve and the European Central Bank. In addition, we show that the sentiment within these announcements is aligned with economic fluctuations. We also find that textual uncertainty is correlated with the volatility of the domestic financial market.

Keywords: text mining; central bank communication; monetary policy; financial stability (search for similar items in EconPapers)
Date: 2023-06
Note: View the original document on HAL open archive server: https://hal-emse.ccsd.cnrs.fr/emse-04624983v1
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in Economists' Voice, 2023, 20 (1), pp.43-53. ⟨10.1515/ev-2022-0023⟩

Downloads: (external link)
https://hal-emse.ccsd.cnrs.fr/emse-04624983v1/document (application/pdf)

Related works:
Journal Article: Measuring Communication Quality of Interest Rate Announcements (2023)
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:hal:journl:emse-04624983

DOI: 10.1515/ev-2022-0023

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().