The Impact of Macroprudential Transparency on Price Stability in Advanced and Emerging Economies
Salma Gallas and
Houssam Bouzgarrou
World Economics, 2023, vol. 24, issue 3, 77-106
Abstract:
Transparent macroprudential policy promotes economic and financial stability by maintaining price stability and enhancing the resilience of financial systems. This study evaluates the impact of macroprudential transparency on inflation levels and expectations using data from 65 economies during the period 2000–2015. It employs panel data methodology and the generalised method of moments approach. The research findings reveal that macroprudential transparency is associated with lower inflation rates and inflation expectations in developing economies and emerging markets. Additionally, the efficiency of prudential transparency is confirmed for countries that do not adopt inflation targeting.
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:wej:wldecn:905
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