The role of the ECB’s independence, credibility and information policy in the process of conducting monetary policy

Paweł Smaga

DOI: lack

Vol no: 9

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In addition to the European Central Bank’s standard monetary policy tools, the effective conduct of its monetary policy is also determined by qualitative features such as independence, credibility and transparency. These are difficult to quantify, but equally important, as they are a key element of the ECB’s functioning. Independence is an indispensable element of any central bank, while credibility has a stabilizing effect on the level of inflation expectations.