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Central Bank Independence and Inflation in Transition Economies: A Comparative Meta-Analysis with Developed and Developing Economies

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  • Ichiro Iwasaki
  • Akira Uegaki

Abstract

This article empirically examines the effect of central bank independence (CBI) on inflation by means of a comparative meta-analysis of studies of transition economies and of other developed and developing economies. The results of a meta-synthesis indicate that both transition and nontransition studies have successfully identified a negative relationship between CBI and inflation. Moreover, the present meta-regression analysis suggests that a series of study conditions strongly affected the empirical results concerning transition economies. The article also finds that no significant difference exists between the two types of studies in terms of either effect size or statistical significance.

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  • Ichiro Iwasaki & Akira Uegaki, 2017. "Central Bank Independence and Inflation in Transition Economies: A Comparative Meta-Analysis with Developed and Developing Economies," Eastern European Economics, Taylor & Francis Journals, vol. 55(3), pages 197-235, May.
    • Handle: RePEc:mes:eaeuec:v:55:y:2017:i:3:p:197-235
    DOI: 10.1080/00128775.2017.1287548
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    More about this item

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • P24 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - National Income, Product, and Expenditure; Money; Inflation
    • P34 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Finance

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