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MONETARY POLICY COMMUNICATION IN COLOMBIA: AN ANALYSIS THROUGH TEXT MINING

Felipe Roldan Ferrin | Bio
Universidad del Valle
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Abstract

This article examines the effect of COVID-19 on the discursive structure of the monetary policy minutes of the Banco de la República de Colombia between 2018 and 2021. To conduct this research, the Latent Dirichlet Allocation (LDA) algorithm and a text corpus with 35 minutes were used. The results indicate that the model estimated with the minutes from 2020-2021 presented an additional topic and new words related to the health crisis compared to the 2018-2019 model. In addition, the analysis of the networks showed changes in the connections between words and the underlying main themes in the discourse contained in the minutes produced during the crisis. This suggests that the Board of the Bank adapted to the economic situation and added cutting-edge information to their communications, shifting the use of syntagms in the syntactic structure of the minutes. In this sense, it demonstrates the Bank’s commitment to including firsthand information in its communications for the sake of transparent monetary policy communication.

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How to Cite
Roldan Ferrin, F. (2023). MONETARY POLICY COMMUNICATION IN COLOMBIA: AN ANALYSIS THROUGH TEXT MINING. Semestre Económico, 26(60), 1-26. https://doi.org/10.22395/seec.v26n60a4431

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