The effectiveness of a central bank's monetary policy depends on the incentives of its head and board members to pursue an efficient policy in the citizens interest. Today, however, these incentives are weakened by three kinds of regulations. First, in almost all countries, only nationals may be...

Management of international monetary relations between China and the United States will be one of the crucial parameters for the stability or instability of the global financial system in the next decade. Although most of the literature suggests rebalancing through either adjustment of relative...