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International audience; This chapter details the founding principles that can explain the drive towards central bank independence, and then looks at the consequences formal independence induces for the communication and understanding of monetary policy. The first part of the chapter examines the principles that have underpinned and stimulated the move towards independent central banks, and explains that these principles can be found in both the economic and legal domains. The second part examines how central banks deal with the accountability, transparency and disclosure requirements that flow from the independence principle itself. If central banks are independent, which constraints does this exerts on the need to communicate and explain monetary policy, to the markets and lay people.

Are local complementary currencies doomed? We analyse the conditions underlying the existence of these alternative monetary arrangements from the perspective of the two-sided platform theory. Considering their benefits to depend on the cross-externality generated by the presence of buyers and sellers using the alternative means of payment, we show that the possibility of the sustainability of such arrangements is weak. The result is established in a very general setting and with few restrictions on the parameters. Except in the presence of subsidies, the odds are low for local complementary currencies to survive.

International audience; If historical shocks influence educational outcomes, how long does the effect last, and does it differ among ethnic groups? This study answers these questions by exploiting the historical experiment of partition—that is the splitting of the British Raj into India and Pakistan—and by presenting a theoretical model that explains the trade-offs such a shock uncovers for different ethnic groups that have to decide between assimilation through education and maintaining their ethnic specificity. We use different rounds of Pakistan social and living standard measurement (PSLM) survey and analyze the educational outcomes of the grandchildren of partition (i.e., whose grandparents were born during the partition). We show that the scar from partition is long-lasting, as the present generation is still living under its influence. More importantly, our results reveal the different adaptation strategies of ethnic and cultural groups in the long run.

International audience; The paper analyzes the relations between the legal and regulatory production and the gains of popularity for the President and the Prime Minister in France. Using the GMM system estimation, we show that the Executive's popularity depends on legislative activism, creating reasons to legislate frantically, but also that the Executive has strong incentives to strategically set the legislative agenda, possibly timing landmark laws during honeymoon periods. Moreover, if Prime Ministers can benefit actions taken in the last months of their term, this is not true for Presidents. Our results also confirm the traditional view, according to which incumbents are always bestowed with favorable ratings when the economic situation improves.

International audience

International audience; We demonstrate that even though during WWII the interest rate was close to zero supporting the financing of the military effort, dissent inside the FOMC occurred with a similar frequency to other policy episodes. Our analysis highlights that the debates which resulted in dissents turned around two broad issues: the size of the Fed’s balance sheet as well as the functioning of and communication with financial markets. Thus, we argue that the conventional view depicting the Fed as merely accommodating treasury needs should be revised. Our detailed investigation of dissents emphasises the modernity of the objections raised by Fed officials.