Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof

Central banking is frequently considered a prototype case of governance subject to continuous and public performance measurement. However, central banks’ near-exclusive preoccupation with preserving price stability as the overriding measure of success of their monetary policy is a rather recent (pos...

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Príomhchruthaitheoir: Walter, Timo
Formáid: Online
Teanga:Béarla
Foilsithe / Cruthaithe: Edward Elgar Publishing 2024
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Rochtain ar líne:https://directory.doabooks.org/handle/20.500.12854/133825
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author Walter, Timo
author_browse Walter, Timo
author_facet Walter, Timo
author_sort Walter, Timo
collection Directory of Open Access Books
description Central banking is frequently considered a prototype case of governance subject to continuous and public performance measurement. However, central banks’ near-exclusive preoccupation with preserving price stability as the overriding measure of success of their monetary policy is a rather recent (post-1970s) fabrication - and one that has come under increasing strain since the ‘unconventional’ monetary policies initiated during the 2007-09 global financial crises have become perennial. This chapter retraces how central banks have evolved into a close symbiosis with ‘unfettered’ finance as they attempted to (re)construct their independence around the public performance of monetary policy’s effectiveness in securing price stability. It shows how this symbiosis now confronts central banks with a dilemma: while ‘unconventional’ policies are necessary to secure the financial stability on which the performance of ‘inflation targeting’ depends, they continuously highlight the fungibility of central banks’ power and undermine the narrow focus on price stability around which their legitimacy is constructed.
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spelling doab-20.500.12854ir-1338252024-02-01T12:49:49Z Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof Walter, Timo Central banks; Monetary policy; Inflation targeting; Scientization; Financialization; De-politicization JPH Central banking is frequently considered a prototype case of governance subject to continuous and public performance measurement. However, central banks’ near-exclusive preoccupation with preserving price stability as the overriding measure of success of their monetary policy is a rather recent (post-1970s) fabrication - and one that has come under increasing strain since the ‘unconventional’ monetary policies initiated during the 2007-09 global financial crises have become perennial. This chapter retraces how central banks have evolved into a close symbiosis with ‘unfettered’ finance as they attempted to (re)construct their independence around the public performance of monetary policy’s effectiveness in securing price stability. It shows how this symbiosis now confronts central banks with a dilemma: while ‘unconventional’ policies are necessary to secure the financial stability on which the performance of ‘inflation targeting’ depends, they continuously highlight the fungibility of central banks’ power and undermine the narrow focus on price stability around which their legitimacy is constructed. Published 2024-02-01T12:49:45Z 2024-02-01T12:49:45Z 2024-01-12 chapter 9781802200645 https://directory.doabooks.org/handle/20.500.12854/133825 eng image/jpeg Attribution-NonCommercial-NoDerivatives 4.0 International https://www.e-elgar.com/shop/gbp/handbook-on-measuring-governance-9781802200638.html https://www.elgaronline.com/edcollchap-oa/book/9781802200645/book-part-9781802200645-28.xml Edward Elgar Publishing Edward Elgar Publishing 10.4337/9781802200645.00028 10.4337/9781802200645.00028 01ceac28-75b4-492a-8eec-f9b98bc6b28c https://creativecommons.org/licenses/by-nc-nd/4.0/ 9781802200645 Edward Elgar Publishing Cheltenham, UK open access
spellingShingle Central banks; Monetary policy; Inflation targeting; Scientization; Financialization; De-politicization
JPH
Walter, Timo
Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
title Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
title_full Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
title_fullStr Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
title_full_unstemmed Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
title_short Chapter 17: Made to measure: how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
title_sort chapter 17 made to measure how central banks deliver performances of their worth and why unconventional monetary policy is reversing the burden of proof
topic Central banks; Monetary policy; Inflation targeting; Scientization; Financialization; De-politicization
JPH
topic_facet Central banks; Monetary policy; Inflation targeting; Scientization; Financialization; De-politicization
JPH
url https://directory.doabooks.org/handle/20.500.12854/133825
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