Review: 'Political Pressure, Rhetoric, and Monetary Policy: Lessons for the European Central Bank'
The Economic Record
Philipp Maier’s fine book Political Pressure, Rhetoric and Monetary Policy: Lessons for the European Central Bank is a welcome addition to this literature. The book’s major focus is to empirically measure the extent to which political factors such as elections and government turnover, as well as other special interest groups, have influenced the German Central Bank’s (the Deutsche Bundesbank) conduct of monetary policy. This question is clearly important since the major case for the ECB was that it would render monetary policy more apolitical. Since the Bundesbank is widely regarded as being one of the world’s most independent Central Banks, it was the major blueprint for the ECB. The finding of significant political manipulation of post-war German monetary policy would weaken the case for the ECB as well as throw into question the relevance of many cross-national studies that have measured the economic impact of central bank independence.
John Wiley & Sons
Caporale, Tony, "Review: 'Political Pressure, Rhetoric, and Monetary Policy: Lessons for the European Central Bank'" (2003). Economics and Finance Faculty Publications. 16.