Monetary Policy Setting in Australia, Canada and the Euro Area: Insights from the Shadows

Economic Record, 2019

29 Pages Posted: 1 Oct 2019

See all articles by Samantha St. Amand

Samantha St. Amand

Centre for International Governance Innovation (CIGI)

Pierre L. Siklos

Wilfrid Laurier University - School of Business & Economics; Balsillie school of international affairs

Domenico Lombardi

Banca di San Marino

Multiple version iconThere are 2 versions of this paper

Date Written: September 12, 2019

Abstract

Voting by Shadow monetary policy committees (SMPCs) provide hints about monetary policy decisions. We examine data for Australia, Canada and the euro area. SMPCs release individual members’ recommendations. Their central banks do not. How much variation is there in preferences towards inflation and output gaps? Do committees tend toward less extreme policy choices than individuals? We find little heterogeneity in preferences among committee members in Australia and Canada but not for the shadow committee in the euro area. Our results may be relevant in understanding how the composition, structure and operation of committees in these economies impact monetary policy decisions.

Suggested Citation

St. Amand, Samantha and Siklos, Pierre L. and Lombardi, Domenico, Monetary Policy Setting in Australia, Canada and the Euro Area: Insights from the Shadows (September 12, 2019). Economic Record, 2019. Available at SSRN: https://ssrn.com/abstract=3456964

Samantha St. Amand

Centre for International Governance Innovation (CIGI) ( email )

57 Erb Street West
Waterloo, Ontario N2L 6C2
Canada

Pierre L. Siklos (Contact Author)

Wilfrid Laurier University - School of Business & Economics ( email )

Department of Economics
75 University Avenue W.
Waterloo, Ontario N2L 3C5
Canada
519-884-0710 Ext.. 3491 (Phone)

HOME PAGE: http://pierrelsiklos.com

Balsillie school of international affairs ( email )

67 Erb Street West
Waterloo, ON N2L 6C2
Canada

Domenico Lombardi

Banca di San Marino ( email )

San Marino
Italy

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