Week 6

Question 1

What are the benefits of price stability

Answer 1

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Question 2

Why is price stability seen as the primary goal?

Answer 2

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Question 3

What is the structure of BoE?

Answer 3

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Question 4

What is the structrure of the Fed?

Answer 4

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Question 5

What is the structure of ESCB?

Answer 5

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Question 6

Why does the ECB have an expanding role?

Answer 6

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Question 7

What are the banking union pillars and what do they stand for?

Answer 7

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Question 8

Explain the independence of BoE using the four dimensions

Answer 8

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Question 9

Explain the independence of the Fed using the four dimensions

Answer 9

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Question 10

Explain the independence of the ECB using the four dimensions

Answer 10

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Question 11

What are the arguments in favour for independence and against independence

Answer 11

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Question 12

What are the functions of money?

Answer 12

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Question 13

what are the measurements of money?

Answer 13

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Question 14

Which monetary aggregate is the most informative and why?

Answer 14

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Question 15

What are on the CB’s balance sheet?

Answer 15

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Question 16

how can the amount of moneatry base be influenced by the CB?

Answer 16

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Question 17

What is open market operations?

Answer 17

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Question 18

and what are the loans to banks?

Answer 18

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Question 19

explain how the currency and/or deposit withdrawals work

Question 20

what control does CB have over MB?

Question 21

explain the simple model; deposit multiplier

Question 22

explain the money multiplier model

Question 23

explain the limitations of CB