Macroeconomic policy decisions have profound implications for our economies, and there is a long-running debate among economists as to whether these decisions should follow pre-defined rules or be left to the discretion of policymakers. Following rules provides reduced economic uncertainty, because the economic actors are able to form expectations as to how policymakers will behave. But how do we know which rules are the ‘right’ ones? And are policymakers able to credibly commit to sticking to the rules? The argument for discretion is that it allows policymakers wide latitude to design the best policy response for the given circumstances. But is this the best policy?

In this lecture Chile’s central bank governor will interrogate the evidence and distil lessons from practice in emerging economies, focusing on Chile in particular.

Biography

Mr Mario Marcel Cullell was named Governor of the Central Bank of Chile in December 2016 and Board Member in October 2015. 

Prior to his appointment to the Board, Mr. Marcel served as Director of Governance Global Practice at the World Bank in Washington, D.C., in the United States; Deputy Director for Public Governance and Territorial Development at the Organization for Economic Cooperation and Development (OECD) in Paris, France; and Manager of the Institutional Capacity and Finance Sector at the Inter-American Development Bank (IDB), where he had earlier served as Executive Director for Chile and Ecuador.

For 13 years, he worked for the Government of Chile, where his senior positions with the Finance Ministry included Deputy Director of Rationalization and Public Function in the Budget Division, Executive Secretary for the Inter-Ministerial Committee for the Modernization of Public Administration, Chair of the General Government’s Internal Audit Committee and Chair of the Presidential Advisory Committee on Pension Reform. He was the Budget Director from 2000 to 2006, during which time he implemented deep reforms in the conduct of fiscal policy, government asset and liability management, the budget system and public administration.

He has also worked as a researcher for the Center for Latin American Studies (Cieplan).

His academic experience includes teaching and research at universities in Chile and the United Kingdom. He has also worked as a project consultant for a wide range of international and government organizations in countries such as Mexico, Colombia, Peru and Vietnam.

Mr. Marcel is the author of over 80 published works in economics, finance, policy, and public administration.