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Opinion

"Do not impose a currency crisis on Europe"

In an article in the Financial Times Charles Wyplosz asks which exchange rate band should apply to the EU's accession countries aiming to qualify for membership of the euro. The narrow exchange rate mechanism band of 2.25 per cent may apply but the new…

Central bank technocrats rule democratic roost

Joseph Stiglitz said in an article in Business Day, Johannesburg, that research shows that if central banks focus on inflation, they do a better job at controlling inflation. However, controlling inflation is not an end in itself: it is merely a means of…

Joseph Stiglitz - Big lies about central banking

Central banks make decisions that affect every aspect of society, including rates of economic growth and unemployment, but because there are tradeoffs, these decisions can only be made as part of a political process, writes Joseph Stiglitz in the Taipei…

U.K. Euro Decision: Assessment and Analysis Guide

A report published on Monday 9 June by Bloomberg News provides a concise guide to the UK decision on the euro. It lists the five tests and the 18 separate studies used in the decision process as to whether to call a referendum on adopting the euro in the…

CentralBankNet Monday Special Feature

CentralBankNet looks into the Bank of England's forthcoming trial over its regulation of the now-liquidated Bank of Credit and Commerce International and finds the implications of a loss in court disturbing.

New BIS chief says banks weathering downturn well

In an interview with Reuters Malcolm Knight, who took over as general manager of the BIS in March, said though banks have suffered a combination of woes, including uncertainty over the Iraq war, market volatility and the economic downturn, "the overall…

Brazil's Meirelles says inflation 'stubborn'

Brazil's central bank governor Henrique Meirelles said in a Reuters interview on Monday 2 June that last year's collapse in the value of the real has left stubborn inflationary pressures with prices failing to adjust domestically after the fall in the…

"Myths surrounding a deflationary spiral"

An article published in the Financial Times argues that although some commentators think that the world economy is about to be devoured by deflation, in fact UK and Eurozone rates are currently at 3 and 1.9 per cent. Jacek Rostowski says that those…

Survey says number of forex players may fall

A future with fewer players in the global foreign exchange market is the main finding of a new survey, says a report by Chris Swann, former foreign exchange correspondent at the Financial Times. CentralBankNet takes a look at the main findings of the…

Should Iraq dollarize or float? A policy analysis

This article from Stern Business School asks 'Should Iraq dollarize, adopt a currency board or let its currency float? A policy analysis.' It says there are good reasons to think that the dollar or euro would not make an ideal currency for a major oil…

A fine line between deflation and inflation

An article in the Financial Times says that if the Federal Reserve continues with its current policies, inflation could become a threat, but a change could see further contraction it contends. On asset price bubbles the author says the world economy…

New governor Bernanke is shaking up the Fed

In a few short months, Ben Bernanke has done what other Fed governors have not: taken center stage from Chairman Alan Greenspan on some of the most controversial topics before the board. An article published by Steve Liesman for CNBC says Bernanke sheds…

Politics blamed for jailed ex Ukraine c banker

The influential Ukrainian newspaper Zerkalo Nedeli carried out a detailed analysis of the case against former deputy central bank chief Volodymyr Bondar who was jailed for five years last week. The paper said the charges don't hold water.

Inflation is a bigger danger than deflation

An article in the Financial Times says that although the threat of global deflation has become a preoccupation for economic commentators there are signs of the loss of value of dollar money, which is a symptom of incipient monetary inflation.

Secrets of a soon to be missed central banker

Speaking on Tuesday 20 May, UK chancellor Gordon Brown spoke in glowing terms of Sir Edward George, the soon to depart governor of the Bank of England. "I will miss Eddie" he said, and went on to reveal a few central banking secrets, including the case…

Britain misses its euro connection

An article in the Financial Times says that it shouldn't be forgotten that the decision over whether Britain joins the euro is a political rather than an economic one. Both Gordon Brown and Tony Blair, the authors argue, are guilty of dressing the…

How Independent are Arab Central Banks?

An article in the Middle east Financial Network says that one way to measure the independence of a central bank is to consider the period of the governor's term and how often it is renewed. A number of Arab central bank governors and their deputies, it…

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