Central banks, all a-quiver
Article Abstract:
Central banks have tended to focus on inflation. Their options in responding to misalignments affecting equity prices and exchange rates are examined in detail.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 2000
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Free the banks
Article Abstract:
US Treasury Secretary Robert Rubin would like to eliminate regulations that prevent banks from buying stocks. Activity in the stock market would give banks an interest in building up the economy. Others fear that banks would dominate the market and begin to control the economy.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1997
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Off target
Article Abstract:
Target zones for exchange rates were used in Europe in the early 1990s, but they became unfashionable when the European exchange rate mechanism collapsed. The idea has been revived by German finance minister, Oskar Lafontaine. Critics argue that target zones do not last if they are too narrow, and are ineffective if they are too wide. The idea of seeking to avoid major currency misalignments is praiseworthy, but it is less easy for a central bank to control inflation if it also has to worry about exchange rates.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1998
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