Even in a world with rational expectations, it has been well established theoretically that if the central bank …

Recently, several central banks have lost their bank supervisory responsibilities, in part because it has not been … monetary policy should be an important consideration when evaluating the structure of the central bank. …

Whether central banks should play an active role in bank supervision and regulation is being debated both in the United … considering enhancing central bank involvement in this area. Many of the arguments for and against these proposals hinge on the … effect this change would have on the ability of the central bank to conduct monetary policy. We find that confidential …

One of the most serious problems that a central bank in an emerging market economy can face is the sudden reversal of … portfolios held by central banks can significantly improve the efficiency of the anti-sudden stop mechanism. We illustrate this …