Workshop, Sveriges Riksbank,
Aim
Following the high inflation of the 1970s and 1980s, governments have granted central banks substantial independence over monetary policy but also as a byproduct over their other important functions. Typically, central banks simultaneously act as bankers’ banks, regulated monopolists, financial industry regulators/supervisors and sometimes even as competition authorities and deposit insurance agencies. These different roles raise different governance issues that interact in potentially complex ways.
In the context of monetary policy, lawmakers have established accountability and reporting requirements in the form of reports and testimony to national parliaments. However, the institutional structure and the importance of good corporate governance as a means for central banks to attain their other objectives have received far less attention. No generally accepted guidelines on optimal governance for central banks appear to exist yet.
Meanwhile, several central banks have recently been the subject of public debate because of supposed shortcomings in their corporate governance. Questions were raised, among other things, about the effectiveness of bank supervision, the risk of regulatory capture, the remuneration of governors and board members, and the length of their term.
In light of this debate, the objective of this conference is
- to foster debate about general principles that arguably should form the basis for the good governance of central banks and the desirable governance structures for central banks;
- to discuss the impact of these principles on the institutional structure of a central bank and the formulation of central bank law;
- to explore common features and differences between central bank governance and corporate governance.
For this purpose, we aim at gathering academics, central bank researchers and practitioners working on research projects that shed light on these issues. We welcome papers on issues related to the governance of central banks, their relationships with other regulators and authorities, the impact of different institutional arrangements on financial and real markets’ performance, and other related subjects. Our intent is to have both theoretical and empirical work represented in the conference program.
Program committee
The program committee consists of:
Renée Adams, Stockholm School of Economics
Franklin Allen, The Wharton School, University of Pennsylvania
Claudio Borio, Bank for International Settlements
Lars Frisell, ECB
Marco Pagano, University of Napoli Federico II
Torsten Persson, IIES, Stockholm University
Kenneth Rogoff, Harvard University
Kasper Roszbach, Sveriges Riksbank
Giancarlo Spagnolo, Stockholm School of Economics
Invited speaker
Alberto Alesina (Harvard University) will give an invited lecture on the political economy and governance of central banks.
Format
Papers will be presented in plenary presentations of 45 minutes, followed by 10-15 minutes of comments by a reviewer and an additional 10-15 minute plenary discussion. Approximately 6-10 papers will be presented and overall participation at the workshop will be limited to 50 people. The conference will be concluded with a panel debate among academics and practitioners.
Expenses
Sveriges Riksbank will refund economy-class travel expenses and cover accommodation at the Sergel Plaza hotel, in the near vicinity of the Riksbank, for paper presenters and discussants.
Paper submission
A PDF file containing a completed draft or extended abstract (300-400 words) should be e-mailed to the Program Committee, at CBgovernance@riksbank.se by March 15, 2006. Completed drafts are due by August 1, 2006; final conference versions by August 15. Authors will be notified about the acceptance of their papers by May 1, 2006. People submitting papers should also indicate whether they are willing to act as discussants. Questions can be directed to CBgovernance@riksbank.se.
Organization
As they become available, the workshop program and other information about the conference will be posted and updated on the website of the Riksbank at www.riksbank.com/workshop/CBgovernance.