Abstract We examine the relation between institutional investors’ horizons and bank transparency. The novelty of this research is to consider three important aspects transparency: disclosure quality, private information gathering auditor fees. find strong evidence indicating that banks dominated by long‐term (short‐term [ST]) shareholders exhibit higher (lower) levels quality. However, there no...

Central bank communication plays an important role in shaping market participants’ expectations. This paper studies a simple nonlinear model of monetary policy in which agents have incomplete information about the economic environment. It shows that agents’ learning and the dynamics of the economy are heavily affected by central bank transparency about its policy rule. A central bank that does ...

One of the main instruments of accountability in economic activities is auditing. But despite the extent of audit work, determining the fees for this service in our country is not based on a scientific model and reasonably we cannot claim, according to firm's characteristic and with what cost, the work would be done. In this regard, we have tested the impact of transparency of accounting inform...

Good implementation of corporate governance principles is considered as an important component for stability and soundness of a financial institution. An extensive body of literature has reviewed the effects of corporate governance on the performance of corporations. The majority of these studies have found more corporate values for implementing the principles. Therefore, the assessment of comp...

In this paper, I revisit an old question in the analysis of monetary policy that was first studied by Rogoff (1985) — should central banks pursue objectives that differ systematically from social welfare? I investigate how the answer to this question is affected by the degree of transparency that characterizes monetary policy. When the policy regime is one of discretion and the central bank is ...

This paper studies optimal monetary policy and central bank transparency in an economy where firms set prices under informational frictions. The economy is subject to two types of shocks which determine the efficient level of output and the firms’ desired mark-up. To minimize the welfare-reducing output gap and price dispersion among the firms, the central bank controls the firms’ incentives an...