NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

How Central Bankers See It: The First Decade of ECB Policy and Beyond

Stephen G. Cecchetti, Kermit L. Schoenholtz

NBER Working Paper No. 14489
Issued in November 2008
NBER Program(s):   ME

In this history of the first decade of ECB policy, we also discuss key challenges for the next decade. Beyond the ECB's track record and an array of published critiques, our analysis relies on unique source material: extensive interviews with current and former ECB leaders and with other policymakers and scholars who viewed the evolution of the ECB from privileged vantage points. We share the assessment of our interviewees that the ECB has enjoyed many more successes than disappointments. These successes reflect both the ECB's design and implementation. Looking forward, we highlight the unique challenges posed by enlargement and, especially, by the euro area's complex arrangements for guarding financial stability. In the latter case, the key issues are coordination in a crisis and harmonization of procedures. As several interviewees suggested, in the absence of a new organizational structure for securing financial stability, the current one will need to function as if it were a single entity.

download in pdf format
   (251 K)

email paper

This paper is available as PDF (251 K) or via email.

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w14489

Users who downloaded this paper also downloaded these:
Cecchetti w14134 Crisis and Responses: the Federal Reserve and the Financial Crisis of 2007-2008
Blinder, Ehrmann, Fratzscher, de Haan, and Jansen w13932 Central Bank Communication and Monetary Policy: A Survey of Theory and Evidence
Fatás and Mihov w14722 The Euro and Fiscal Policy
Gaspar and Kashyap w12277 Stability First: Reflections Inspired by Otmar Issing's Success as the ECB's Chief Economist
Cecchetti, Kohler, and Upper w15379 Financial Crises and Economic Activity
 
Publications
Activities
Meetings
NBER Videos
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us