Monetary policy deliberations : committee size and voting rules
Recherches économiques de Louvain-Louvain economic review, 2014, Vol. 80, No. 2, pp. 47-83
MAURIN, Vincent, VIDAL, Jean-Pierre, Monetary policy deliberations : committee size and voting rules, Recherches économiques de Louvain-Louvain economic review, 2014, Vol. 80, No. 2, pp. 47-83 - http://hdl.handle.net/1814/33998
Retrieved from Cadmus, EUI Research Repository
How large should a monetary policy committee be? Which voting rule should a monetary policy committee adopt? This paper builds on Condorcet's jury theorem to analyse the relationships between committee size and voting rules in a model where policy discussions are subject to a time constraint. It suggests that in large committees majority voting is likely to enhance policy outcomes. Under unanimity (consensus) it is preferable to limit the size of the committee. Finally, supermajority voting rules are social contrivances that contribute to policy performance in a more uncertain environment, when initial policy proposals are less likely to be correct, or when payoffs are asymmetric.
Cadmus permanent link: http://hdl.handle.net/1814/33998
ISSN: 0770-4518; 1782-1495
Publisher: De Boeck Universite
Files associated with this item
There are no files associated with this item.