The Age of Central Banks

The Age of Central Banks

According to Curzio Giannini s neo-institutionalist methodological approach, social institutions are, in fact, essential in the coordination of individual decisions as they minimize transaction costs, overcome information asymmetries and ...

Author: Curzio Giannini

Publisher: Edward Elgar Publishing

ISBN: 9780857932143

Category: Business & Economics

Page: 298

View: 624

Curzio had one of the most fertile and original minds ever to be deployed on questions relating, first, to the interactions between Central Banks, private sector financial intermediaries and the government, and second to the working of the international monetary system in general, and to the role of the IMF specifically within that. His approach has been to apply a theory of history , which provides a beautifully written and illuminating book, much easier and nicer to read and more rounded than the limited mathematical models that have so monopolised academia in recent decades. From the foreword by Charles A.E. Goodhart Curzio Giannini s history of the evolution of central banks illustrates how the most relevant institutional developments have taken place at times of widespread confidence crises and in response to deflationary pressures. The eminent and highly-renowned author provides an analytical perspective to study the evolution of central banking as an endogenous response to crisis and to the ever increasing needs of economic growth. The key argument of the analysis is that crucial innovations in the payment technology (from the invention of coinage to the development of electronic money) could not have taken place without an institution i.e. the central bank - that could preserve confidence in the instruments used as money. According to Curzio Giannini s neo-institutionalist methodological approach, social institutions are, in fact, essential in the coordination of individual decisions as they minimize transaction costs, overcome information asymmetries and deal with incomplete contracts. This enlightening and revealing historical theory perspective on central banking will prove a thought-provoking read for academic and institutional economists, economic historians, and economic policymakers involved in the task of crafting a new institutional arrangement for central banking in the globalized economy.
Categories: Business & Economics

Central Banking in Theory and Practice

Central Banking in Theory and Practice

Based on the 1996 Lionel Robbins Lectures, this readable book deals succinctly, in a nontechnical manner, with a wide variety of issues in monetary policy.

Author: Alan S. Blinder

Publisher: MIT Press

ISBN: 0262522608

Category: Business & Economics

Page: 92

View: 434

Based on the 1996 Lionel Robbins Lectures, this readable book deals succinctly, in a nontechnical manner, with a wide variety of issues in monetary policy.
Categories: Business & Economics

The Political Economy of Central Banking

The Political Economy of Central Banking

This volume explores the economic and political contours of the struggle for influence over the policies of central banks such as the Federal Reserve, and the implications of this struggle for economic performance and the distribution of ...

Author: Gerald Epstein

Publisher: Edward Elgar Publishing

ISBN: 9781788978415

Category: Business & Economics

Page: 576

View: 755

Central banks are among the most powerful government economic institutions in the world. This volume explores the economic and political contours of the struggle for influence over the policies of central banks such as the Federal Reserve, and the implications of this struggle for economic performance and the distribution of wealth and power in society.
Categories: Business & Economics

Central Banks in the Age of the Euro

Central Banks in the Age of the Euro

The chapters by Epstein and Johnson and by Greskovits explore
Europeanization in relation to Baltic and east central European central banks.
Their effects appear as variegated. In this case, as well as the 'semipermanent'
outsiders, the age ...

Author: Kenneth Dyson

Publisher: Oxford University Press

ISBN: 9780199218233

Category: Business & Economics

Page: 451

View: 612

The age of the euro has cast central banks in a newly prominent role in European integration and in macro-economic policy making in Europe. This text examines the effects of the euro as the new European single currency on the central banks of the member states of the European Union.
Categories: Business & Economics

Central Banks and Gold

Central Banks and Gold

Bytheway and Metzler tell the story of how the first age of central-bank power and pride ended in the disaster of the Great Depression, when a rush for gold brought the system crashing down.

Author: Simon James Bytheway

Publisher: Cornell University Press

ISBN: 9781501706509

Category: History

Page: 260

View: 522

In recent decades, Tokyo, London, and New York have been the sites of credit bubbles of historically unprecedented magnitude. Central bankers have enjoyed almost unparalleled power and autonomy. They have cooperated to construct and preserve towering structures of debt, reshaping relations of power and ownership around the world. In Central Banks and Gold, Simon James Bytheway and Mark Metzler explore how this financialized form of globalism first took shape a century ago, when Tokyo first joined London and New York as a major financial center. As revealed here for the first time, close cooperation between central banks began along an unexpected axis, between London and Tokyo, around the year 1900, with the Bank of England’s secret use of large Bank of Japan funds to intervene in the London markets. Central-bank cooperation became multilateral during World War I—the moment when Japan first emerged as a creditor country. In 1919 and 1920, as Japan, Great Britain, and the United States adopted deflation policies, the results of cooperation were realized in the world’s first globally coordinated program of monetary policy. It was also in 1920 that Wall Street bankers moved to establish closer ties with Tokyo. Bytheway and Metzler tell the story of how the first age of central-bank power and pride ended in the disaster of the Great Depression, when a rush for gold brought the system crashing down. In all of this, we see also the quiet but surprisingly central place of Japan. We see it again today, in the way that Japan has unwillingly led the world into a new age of post-bubble economics.
Categories: History

Challenges for Central Banking

Challenges for Central Banking

Much of the mys tique that has typically surrounded the internal work and decision-making of central banks has gradually disappeared. Instead, openness and transparency have become the key words of the day.

Author: Director Anthony M Santomero

Publisher: Springer Science & Business Media

ISBN: 0792373464

Category: Business & Economics

Page: 274

View: 536

It may be possible to claim that, generally speaking, central banks around the world have never before held such a central and well-respected position in their respective countries as they hold now. Their tasks seem to be reasona bly well defined and the mandate given to them to guarantee price stability has so far worked more successfully than was perhaps expected. Inflation is lower than it has been for a long time. One central bank after the other has been given a position independent of normal party political processes. Re search concerning monetary policy and other topics of relevance for central banking has made good progress during the past decade. Much of the mys tique that has typically surrounded the internal work and decision-making of central banks has gradually disappeared. Instead, openness and transparency have become the key words of the day. The communication channels of central banks; speeches, inflation reports, minutes of meetings, etc. receive considerable attention and often give rise to headlines in the media. The en vironment in which central banks work and act today has thus undergone changes that in my view are very positive. However, we should always be on our guard against complacency. It would be most dangerous for central bankers today to sit back and relax in the belief that all of the important problems have been resolved and need no further consideration. Unless central bankers remain constantly alert and vigilant, their policy-making can easily deteriorate.
Categories: Business & Economics

The Evolution of Central Banking Theory and History

The Evolution of Central Banking  Theory and History

However, while lending of last resort is unquestionably one of the most important
missions entrusted to central banks, it is in no way the only one. This point was
made in the early 2000s by Curzio Giannini in his The Age of Central Banks.31 ...

Author: Stefano Ugolini

Publisher: Springer

ISBN: 9781137485250

Category: Business & Economics

Page: 330

View: 796

This book is the first complete survey of the evolution of monetary institutions and practices in Western countries from the Middle Ages to today. It radically rethinks previous attempts at a history of monetary institutions by avoiding institutional approach and shifting the focus away from the Anglo-American experience. Previous histories have been hamstrung by the linear, teleological assessment of the evolution of central banks. Free from such assumptions, Ugolini’s work offers bankers and policymakers valuable and profound insights into their institutions. Using a functional approach, Ugolini charts an historical trajectory longer and broader than any other attempted on the subject. Moving away from the Anglo-American perspective, the book allows for a richer (and less biased) analysis of long-term trends. The book is ideal for researchers looking to better understand the evolution of the institutions that underlie the global economy.
Categories: Business & Economics

The Politics of Central Banks

The Politics of Central Banks

This book is a study of power.

Author: Robert Elgie

Publisher: Routledge

ISBN: 9780203217528

Category: Political Science

Page: 200

View: 669

This book is a study of power. In particular, it is a study of governmental power in Britain and France. Its focus is the changing relationship between the government and the central bank in the two countries, and it examines the politics of this relationship since the time when the Bank of England and the Bank of France were first created. The book begins by considering the issue of governmental control generally. It then focuses on monetary policy making, and asks what has been the role of governments in this area and what freedom have central banks enjoyed? After a detailed historical analysis of this issue in Britain and France, the authors conclude by considering the likely role of the European Central Bank.
Categories: Political Science

Do Central Banks Serve the People

Do Central Banks Serve the People

Jean-Philippe Touffut (Cheltenham: Edward Elgar Publishing, 2008), 391–406;
Nicolas Jabko, 'Transparency and Accountability', in Central Banks in the Age of
the Euro: Europeanization, Convergence and Power, ed. Kenneth H.F. Dyson ...

Author: Peter Dietsch

Publisher: John Wiley & Sons

ISBN: 9781509525805

Category: Philosophy

Page: 140

View: 607

Central banks have become the go-to institution of modern economies. In the wake of the 2007 financial crisis, they injected trillions of dollars of liquidity – through a process known as quantitative easing – first to prevent financial meltdown and later to stimulate the economy. The untold story behind these measures, and behind the changing roles of central banks generally, is that they have come at a considerable cost. Central banks argue we had no choice. This book offers a powerfully original examination of why this claim is false. Using examples from Europe and the US, the authors present and analyse three specific concerns about the way central banks in developed economies operate today. Firstly, they show how unconventional monetary policies have created significant unintended negative consequences in terms of inequalities in income and wealth. They go on to argue that central banks may have become independent of governments, but have instead become worryingly dependent on financial markets. They then proceed to analyse how central bankers, despite being the undisputed experts on monetary policy, can still err and suffer from multiple forms of bias. This book is a sobering and urgent wake-up call for policy-makers and anyone interested in how our monetary and financial system really works.
Categories: Philosophy

Evolution and Procedures in Central Banking

Evolution and Procedures in Central Banking

This volume collects the proceedings from a conference on the evolution and practice of central banking sponsored by the Central Bank Institute of the Federal Reserve Bank of Cleveland.

Author: David E. Altig

Publisher: Cambridge University Press

ISBN: 1139440063

Category: Business & Economics

Page:

View: 860

This volume collects the proceedings from a conference on the evolution and practice of central banking sponsored by the Central Bank Institute of the Federal Reserve Bank of Cleveland. The articles and discussants' comments in this volume largely focus on two questions: the need for central banks, and how to maintain price stability once they are established. The questions addressed include whether large banks (or coalitions of small banks) can substitute for government regulation and due central bank liquidity provision; whether the future will have fewer central banks or more; the possibility of private means to deliver a uniform currency; if competition across sovereign currencies can ensure global price stability; the role of learning (and unlearning) the lessons of the past inflationary episodes in understanding central bank behavior; and an analysis of the European Central Bank.
Categories: Business & Economics

The Emergence of Modern Central Banking from 1918 to the Present

The Emergence of Modern Central Banking from 1918 to the Present

The rapid rise in the share of public expenditure in GNP, both during the First
World War and in the Great Depression, led to government paper inevitably
playing an increasing role in central banks« portfolios. 3. With the emergence of ...

Author: Carl-L. Holtfrerich

Publisher: Routledge

ISBN: 9781351890779

Category: History

Page: 408

View: 676

The twentieth century has seen the rise of modern central banking. At its close, it is also witnessing the first steps in the decline of the role of some of the most famous of these institutions. In this volume, some of the world’s best known specialists examine the process whereby central banks emerged and asserted themselves within the economic and political spheres of their respective countries. Although the theory and the political economy that presided over their creation did not show great divergence across borders, a considerable institutional variety was nevertheless the result. Among the many factors responsible for this diversity, attention is drawn here not only to the idiosyncrasies of domestic financial systems and to the occurrence of political shocks with major monetary repercussions, such as wars, but also to the peculiarities of each economy and of the political and social climate reigning at the time when central banks were created or formalized. The twelve essays cover European, Asian and American experiences and many of them use a comparative approach.
Categories: History

Central Banking in the Twentieth Century

Central Banking in the Twentieth Century

They were made to pay for their shortcomings when the central banking world
was thrust into its first age of revolution as one country after another rejected gold
. Maddison (1995: 65) portrays the entire period from 1913 to 1950 as 'a bleak
age ...

Author: John Singleton

Publisher: Cambridge University Press

ISBN: 9781139495202

Category: Business & Economics

Page:

View: 533

Central banks are powerful but poorly understood organisations. In 1900 the Bank of Japan was the only central bank to exist outside Europe but over the past century central banking has proliferated. John Singleton here explains how central banks and the profession of central banking have evolved and spread across the globe during this period. He shows that the central banking world has experienced two revolutions in thinking and practice, the first after the depression of the early 1930s, and the second in response to the high inflation of the 1970s and 1980s. In addition, the central banking profession has changed radically. In 1900 the professional central banker was a specialised type of banker, whereas today he or she must also be a sophisticated economist and a public official. Understanding these changes is essential to explaining the role of central banks during the recent global financial crisis.
Categories: Business & Economics

Bankers Bureaucrats and Central Bank Politics

Bankers  Bureaucrats  and Central Bank Politics

Adolph illustrates the policy differences between central banks run by former bankers relative to those run by bureaucrats.

Author: Christopher Adolph

Publisher: Cambridge University Press

ISBN: 9781107032613

Category: Business & Economics

Page: 357

View: 200

Adolph illustrates the policy differences between central banks run by former bankers relative to those run by bureaucrats.
Categories: Business & Economics

Public Banks in the Age of Financialization

Public Banks in the Age of Financialization

This book asks the important question of whether public banks are a better alternative to profit-seeking private banks. Do public banks provide finance for development? Do they serve as stability anchors in financial markets?

Author: Christoph Scherrer

Publisher: Edward Elgar Publishing

ISBN: 9781786430663

Category:

Page: 288

View: 631

This book asks the important question of whether public banks are a better alternative to profit-seeking private banks. Do public banks provide finance for development? Do they serve as stability anchors in financial markets? What kind of governance keeps public banks accountable to the public? Theoretically the book draws on the works of Minsky for the question on stability and on interpretative policy analysis for the issue of governance. It compares empirically three countries with significant public banks: Brazil, Germany, and India.
Categories:

The Age of Oversupply

The Age of Oversupply

So without getting too far into the plumbing, consider whatKeynes suggested:
The creation of an inter-central-bank “currency” unitthat all global
currenciescould bemarked against andthat transactions among centralbanks (i.e.
trade)would ...

Author: Daniel Alpert

Publisher: Penguin UK

ISBN: 9780241968833

Category: Business & Economics

Page: 288

View: 107

The Age of Oversupply looks at why Western capitalism is broken and how the US can recover its global economic leadership status The invisible hand of capitalism is broken. Economic and political forces are preventing markets from correcting themselves. Governments and central banks across the developed world have tried every tool imaginable, yet our economies remain sluggish. How did we get here, and how can advanced nations prosper once more? In this bold call to arms, economic policy expert Daniel Alpert argues that oceans of cheap global labour and capital have shackled the economies of the West. Distracted by a technology boom and debt bubble, they failed to respond to the challenges unleashed by the BRICs (Brazil, Russia, India and China) and beyond. Global oversupply and the lack of domestic growth are intertwined, Alpert shows. We cannot understand the housing bubble and the financial crisis without appreciating how the rise of emerging nations distorted the economies of rich countries. And we can't chart a path for growth without recognizing that many of these forces are still at work. The Age of Oversupply offers a bold, fresh approach to fixing the West's economic woes. It also delivers a vigorous challenge to proponents of austerity economics. 'An elegantly argued explanation of the anemic stagnation that has followed the recent financial crisis' -Nouriel Roubini, author of Crisis Economics Daniel Alpert is a founding managing partner of investment bank Westwood Capital, LLC. He is widely quoted in the business media and was featured in the Academy Award-winning documentary Inside Job. Alpert is also a fellow of the Century Foundation, the United States' oldest policy think tank. He lives in New York.
Categories: Business & Economics

The Green Swan

The Green Swan

Climate change poses new challenges to central banks, regulators and supervisors. This book reviews ways of addressing these new risks within central banks’ financial stability mandate.

Author: Patrick Bolton

Publisher:

ISBN: 9292593250

Category: Banks and banking, Central

Page: 107

View: 190

Climate change poses new challenges to central banks, regulators and supervisors. This book reviews ways of addressing these new risks within central banks’ financial stability mandate. However, integrating climate-related risk analysis into financial stability monitoring is particularly challenging because of the radical uncertainty associated with a physical, social and economic phenomenon that is constantly changing and involves complex dynamics and chain reactions. Traditional backward-looking risk assessments and existing climate-economic models cannot anticipate accurately enough the form that climate-related risks will take. These include what we call “green swan” risks: potentially extremely financially disruptive events that could be behind the next systemic financial crisis. Central banks have a role to play in avoiding such an outcome, including by seeking to improve their understanding of climate- related risks through the development of forward-looking scenario-based analysis. But central banks alone cannot mitigate climate change. This complex collective action problem requires coordinating actions among many players including governments, the private sector, civil society and the international community. Central banks can therefore have an additional role to play in helping coordinate the measures to fight climate change. Those include climate mitigation policies such as carbon pricing, the integration of sustainability into financial practices and accounting frameworks, the search for appropriate policy mixes, and the development of new financial mechanisms at the international level. All these actions will be complex to coordinate and could have significant redistributive consequences that should be adequately handled, yet they are essential to preserve long-term financial (and price) stability in the age of climate change.
Categories: Banks and banking, Central

Econometric Models of the Euro area Central Banks

Econometric Models of the Euro area Central Banks

Central. Bank. and. Financial. Services. Authority. of. Ireland's. model. Kieran
McQuinn, Nuala O'Donnell and Mary ... and maintained within the Economic
Analysis, Research and Publications (EARP) department of the Central Bank and
Financial Services Authority of Ireland (CBFSAI). ... Over time, however, the role
played by the model in the projection exercise has diminished in view of the age
of the ...

Author: Gabriel Fagan

Publisher: Edward Elgar Publishing

ISBN: 9781845428037

Category: Business & Economics

Page: 336

View: 495

This book provides a description of the main macroeconomic models used by the European Central Bank and the euro area national central banks (Eurosystem). These models are used to help prepare economic projections and scenario analysis for individual countries and the euro area as a whole. The volume takes stock of the current macroeconometric modelling infrastructure available within the Eurosystem, highlighting not only the structures and main features of the models used but also their purposes and underlying model-building philosophies. A bird s eye view of the key details of the design, structure and characteristics of the models is provided, along with information on the responses of these models to a series of standard economic and policy shocks. This is the first time that a comprehensive description and systematic comparison of the main macroeconomic models has been published. This book will be of great interest to Central Bank and government economists, as well as academics, economists and students with an interest in central banking, econometric modelling, forecasting and macroeconomic policy.
Categories: Business & Economics

The Capital Needs of Central Banks

The Capital Needs of Central Banks

11. How. ALM. techniques. can. help. central. banks. Age Bakker, Han van der
Hoorn and Leonard Zwikker1,2. 1. Introduction. Financial risk management in
central banks has recently received wide attention, from academics, policy
makers, ...

Author: Sue Milton

Publisher: Routledge

ISBN: 9781136895890

Category: Business & Economics

Page: 224

View: 508

Central banks have evolved over many years, and sometimes centuries, as policy-making, not profit-making, institutions, and yet they are structured legally and financially like ‘for-profit’ companies of the twenty-first century. The question is what is an appropriate level of equity, or capital, for a central bank to have so that it can function for policy effectiveness over profit-maximisation, without hindrance to the achievement and maintenance of policy goals? This collection takes the reader through historical, theoretical and factual discussions on why central banks exist and the role – actual and intended – they have in assisting their home nation in achieving monetary and financial stability. The contributions analyse the different ways central banks are funded and how funding arrangements may impact on their independence. The objective is to explore these themes first from the academic and practitioner’s views – those of the economist, accountant and lawyer’s – and then to introduce practical experiences from a range of different central banks, in terms of their economic and socio-political environments. It will be the first time that the theorist and practitioner, the accountant, the economist and the lawyer come together in one volume. The reader will be able to access the full breadth of views on this important subject. The main observations are that there is no single, quantifiable formula that central banks can use to calculate capital levels. Factors to consider are the historical context of central banks and whether capital was ever appropriate to needs at their foundation; the cultural, social and political contexts; and, in terms of the presentation of financial statements, profit and loss sharing arrangements and what accounting conventions are being used. If these are considered alongside the, often idiosyncratic, mandates individual central banks have, a qualitative understanding of what is an appropriate level of capital is achieved. This collection will be of interest to postgraduates and researchers focusing on the role of central banks in monetary economics; as well as a professional audience of central bankers, the BIS, the IMF, World Bank, EBRD and government departments.
Categories: Business & Economics

Central Banking in Developing Countries

Central Banking in Developing Countries

But in October 1992its central bank, the Banco Central de la Republica Argentina
(BCRA), was given anewCharter, aspart of the country's sweepingcurrency and
financialreform process. Following this reform BCRA now assesses itself as ...

Author: Álvaro Almeida

Publisher: Routledge

ISBN: 9781134759743

Category: Business & Economics

Page: 208

View: 291

This book examines the current state of central banking in 44 developing countries. The authors analyse the banks' achievement in their primary objective of price stability and discuss the reasons behind the general lack of success. The book covers: * government financing * foreign exchange systems * domestic banking systems. Rich in data, the book contains original financial information from Africa, Asia, the Middle East, Europe, Latin America and the Caribbean. The lay-out is user-friendly and generously illustrated with tables, figures, boxed material and useful appendices. The book is published in association with the Bank of England and presents the definitive account of the role of central banks in developing countries.
Categories: Business & Economics

A History of Central Banking in Great Britain and the United States

A History of Central Banking in Great Britain and the United States

Businessman Theodore Gilman supplied an argument when he wrote that the
system needed a “ grade of banks higher than our ordinary commercial banks
that could support the ... Elmus , Wicker , Banking Panics of the Gilded Age , pp .

Author: John H. Wood

Publisher: Cambridge University Press

ISBN: 0521850134

Category: Business & Economics

Page: 439

View: 198

This 2005 treatment compares the central banks of Britain and the United States.
Categories: Business & Economics