A central bank's decisions and actions are encapsulated in the method of communicating action. In contrast to a coded language the everyday language has its reference in the context and to the means of acting. According to the modern view of central banks credibility, transparency and language refer to the central bank's practice. The book deals with the implications and consequences of the modern view of central banks. The implications emerge from the proposition that words and sentences have no meaning beyond their use in a particular context and environment. It also focuses on coded language in order to explain why a central bank's decisions and communicative interactions cannot be devoted to an artificially created coded language. This book is indispensable reading for postgraduates and researchers in the field of Modern Central Bank Theory, Institutional Economics, International Political Economy, Constitutional Economics, and Public Choice and will also be relevant to policy makers researching central banks and professionals interested in the field of central banking.