Discussion paper

DP14265 The 3 E’s of Central Bank Communication with the Public

In this paper we explore both theoretical and empirical evidence on communication with the general public. The model provides guidance for policy makers by high- lighting some potentially important risks in communicating simply with a broader audience. In particular, in a model where trust and engagement are low, there are benefits to engaging a wider audience. But doing so risks ultimately lowering welfare unless guided by the 3 E's of public communication: Explanation, Engagement and Education. Central banks have made great strides in all three, but numerous challenges remain.


Haldane, A, A Macaulay and M McMahon (2020), ‘DP14265 The 3 E’s of Central Bank Communication with the Public‘, CEPR Discussion Paper No. 14265. CEPR Press, Paris & London. https://cepr.org/publications/dp14265