The Changing Role of Central Banks [electronic resource] /
Chorafas, D.author.
The Changing Role of Central Banks derives lessons from current economic and financial challenges as well as failures in confronting them. Through this approach, it brings under perspective political and social reactions to major economic problems of the last ten years, particularly those pertaining to money and initiatives taken by central banks.
Cover; Half-Title; Title; Copyright; Contents; List of Figures and Tables; Preface; Prologue; 1. Politicians and Drunken Sailors: Th e Fisher Allegory; 2. Bernanke's Quantitative Easing 3.5: Let Th ere Be Money; 3. Nominal GDP Spending: Central Banks' New High Stakes; 1 Queen Elizabeth II and the Economists; 1. Economic Th eories Never Die. Maybe Th ey Should.; 2. Th e Economic and Social Future Is Uncertain; 3. "As for the Future, Your Task Is Not to Foresee It But to Enable It"; 4. Events and Outliers in Economics and Finance; 5. Whoever Does Not Want to See the Bubble, Looks the Other Way
6. Crystal Balls and the Advent of Black Swans2 Money; 1. Money Exists by Law, Not by Nature; 2. Currencies; 3. Foreign Exchange; 4. Wealth and Money Are Not the Same Th ing; 5. Th e Six Functions of Money; 3 Monetary Policy; 1. Monetary Policy versus Fiscal Policy; 2. Monetary Base and Money Supply; 3. Velocity of Circulation of Money; 4. Easy Money; 5. National Economy and the Banking System; 6. Bank Runs and More Sophisticated Challenges; 4 Currency Exchange in a Globalized World; 1. Global Monetary Policy; 2. Current Account
3. Keeping the Exchange Rate at Aff ordable Level: A Swiss Franc Case Study4. "My Currency Is Too Expensive" Is a Common Complaint; 5. A Central Bank's Surgical Action in Financial Crisis; 5 Preserving the Value of Money; 1. Transmission Mechanism of Monetary Policy; 2. Th e Guardian of the Value of Money Has Become Part of the Problem; 3. Infl ation: Th e Hidden Tax; 4. A Boomerang on the Central Bankers' Own Investment Practices; 5. Government Defi cits, Spending Trends, and the Price Index; 6. Disinfl ation, Defl ation, and Hyperinfl ation; 7. In Search of an Exit Strategy
6 Central Banks Are Reserve Institutions, Not Firefi ghters1. Th ere Is No Universal Model for Reserve Institutions; 2. Central Bank Assets and Management Control; 3. Can a Central Bank Be Really Independent?; 4. Central Banks Have Become Firefi ghters; 5. Central Banks Have Become Political; 6. Monetary Policy Needs Men Who Appreciate the Looming Risks; 7 Th e Challenge of Bank Regulation; 1. Global Regulation Has Been an Illusion; 2. Th e Market Is Ahead of the Regulators; 3. Mature Bank Examiners and Supervisors Are the ECB's Achilles Heel; 4. Turning a Blind Eye to Capital Adequacy
5. Sovereign Bonds and Collateral for Central Counterparties6. War Games and the Stress Testing of Big Banks; 7. JPMorgan, the London Whale, and Derivatives Gambling; 8 Loose Ends of Bank Supervision and Regulation; 1. Th e Banks Are Wounded by Overexposure and Speculation; 2. Th e Absence of Regulation Turns into a Nightmare; 3. Th e Democratization of Derivatives Gives Free Rein to High Risk; 4. Regulators Try to Catch Up with Financial Innovation; 5. Is a Rapid Financial Innovation Useful to Society?; 6. Uncertainties with Risk-Weighted Assets
7. Risk Management Caveat in Financial Institutions
Includes index.
The Changing Role of Central Banks derives lessons from current economic and financial challenges as well as failures in confronting them. Through this approach, it brings under perspective political and social reactions to major economic problems of the last ten years, particularly those pertaining to money and initiatives taken by central banks.
Economic policy.
Business enterprises—Finance.
Banks and banking.
Risk management.
Macroeconomics.
Economic Policy.
Business Finance.
Banking.
Risk Management.
Macroeconomics/Monetary Economics//Financial Economics.