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Central Bank Strategy, Credibility, and Independence: Theory and Evidence Paperback – 1 Jan 2003

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About the Author

Alex Cukierman is Professor of Economics at Tel Aviv University.

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Most Helpful Customer Reviews on (beta) 2 reviews
good overview of political science literature on central banks 28 Aug. 2012
By Enjolras - Published on
Format: Paperback
This book serves as a good introduction to the politics of central banks and political science theories about central bank autonomy. Cukierman portrays central bank independence as a solution to a dynamic inconsistency problem, in which politicians' best plan for the future is no longer optimal when that future period arrives. Cukierman sees independence as a solution to a prisoner's dilemma game in which politicians are tempted to permit inflation in order to boost employment and revenue, but often get stuck with higher prices. I wouldn't recommend the book for students without at least one course in macroeconomics, but aside from that Cukierman explains his arguments clearly. Recommended.
1 of 7 people found the following review helpful
A lazy three stars... 15 May 2005
By Cornelius Johnson - Published on
Format: Hardcover
Following the theory that is masked behind the walls of hyperinflation, this book proves to the reader that it can not only be penetrated but is illegitimate as well. I have had the pleasure of working with well known Dr. Igbus from Stanford who has foreshadowed the various topics found within the cover of this book. Its ideas and conjectures about the role of supply and demand on hyperinflation issues are controversial but do not lie outside of the bounds of being comprehended. Although the hypothesis made does not have supportable evidence to back it, that does not make it inplausible. Moreover, the pros far outweigh the cons making this book a credible source for the common economist.
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