Is the ECB Accountable?
Is the ECB Accountable? Many financial analysts and academics believe that the European Central Bank lacks transparency and accountability. Lorenzo Bini-Smaghi & Daniel Gros argue that actually their analysis suggests instead that the ECB is, at least on paper, one of the most transparent and accountable central banks. The discrepancy between theory and public perception suggests that much remains to be done within the given institutional framework to improve the transparency of the ECB. The authors suggest that the best way to make the ECB more accountable is to engage it in substantive discussions about its policy. The ECB should provide more information about the background analysis that leads to policy decisions. For example, the ECB should transform its ?staff projections? into true inflation forecasts and it should be more open about the arguments that shape the internal debates, which precedes decisions. "Is the ECB sufficiently accountable and transparent?" is published by ENEPRI.
By ENEPRI, Europe.