WebApr 15, 2024 · Using a model where agents learn from market signals, we show that the release of more precise public information about future rates lowers the informativeness of market signals and, as a consequence, may increase uncertainty and amplify the reaction of expectations to macroeconomic news. Webcreates uncertainty because the policymakers respond differently to the disinflation dilemma and the public does not know who will be in charge. There are two versions of my model. In the first, as in previous work, policymakers attach a cost to the level of inflation. While this specification is
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WebCan more public information raise uncertainty? The international evidence on forward guidance May 2024 Michael Ehrmann European Central Bank Gaetano Gaballo Banque … WebThe theoretical argument that accounting disclosure can reduce information uncertainty and cost of capital is appealing, but the overall empir- ical evidence is mixed.7My evidence that the effects of information uncertainty on future returns following good and bad news offset each other in unsigned analysis might explain why previous studies … cities in each time zone
How to signal the future path of interest rates? The international ...
WebCan more public information raise uncertainty? Banque de France The international evidence on forward guidance ECB-UNRESTRICTED Can more public information raise uncertainty? The international evidence on forward guidance May 2024 Michael Ehrmann European Central Bank Gaetano Gaballo Banque de France Peter Hoffmann European … WebJun 4, 2024 · Using a model where agents learn from market signals, we show that the release of more precise public information about future rates lowers the informativeness … Webas the precision of public information increases. As expectations react less to private information, the price signal loses its informativeness.3 Therefore, while FG directly … diarrhea symptoms wiki