DP17390 Monetary Mystique and the Fed's Path Toward Increased Transparency
|Author(s):||Lars E.O. Svensson|
|Publication Date:||June 2022|
|Programme Areas:||Monetary Economics and Fluctuations|
|Link to this Page:||cepr.org/active/publications/discussion_papers/dp.php?dpno=17390|
Marvin Goodfriend's paper "Monetary Mystique: Secrecy and Central Banking" is a masterpiece: It is an extremely well-written, meticulous, and fair analysis and critique of the Federal Reserve's defense of its practice of secrecy in monetary policy and central banking. His critique was devastating, and he completely demolished the Federal Open Market Committee's (FOMC) arguments in the most precise and convincing way. Nevertheless, it took the Fed many years to reach the current standards of transparency and accountability in monetary policy.