Talking in a language that everyone can understand? Clarity of speeches by the ECB Executive Board

B-Tier
Journal: Journal of International Money and Finance
Year: 2024
Volume: 149
Issue: C

Authors (2)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We use data on speeches held by members of the European Central Bank's (ECB) Executive Board to analyze whether the clarity of central bank communication has increased over time. Employing readability measures as proxy variables, we find that the clarity of information provision is trending upward since the inception of the ECB. The increase is gradual rather than being induced by changes in the board composition or major macroeconomic events. We also show that clarity is higher for speeches aimed at general audiences and for speeches by female speakers. Moreover, we find that higher clarity of speeches is associated with more optimistic media sentiment about the ECB and a stronger relationship between speech and media sentiment.

Technical Details

RePEc Handle
repec:eee:jimfin:v:149:y:2024:i:c:s0261560624001876
Journal Field
International
Author Count
2
Added to Database
2026-01-25