what is one benefit and a drawback of The central bank finances itself from the earnings on

Fantastic news! We've Found the answer you've been seeking!

Question:

what is one benefit and a drawback of The central bank finances itself from the earnings on its assets and turns the balance over to the government?

Related Book For answer-question

Money Banking and Financial Markets

ISBN: 978-0078021749

4th edition

Authors: Stephen Cecchetti, Kermit Schoenholtz

See More Books

Posted Date: Mar 20, 2024 02:43 AM

See More Questions

Suppose the president of a newly independent country asks you for advice in designing the countrys new central bank. For each of the following design features, choose which one you would recommend...
Describe the legal relationship between patient and provider. 2-Apply civil and criminal liability concepts to healthcare providers and consumers. 3-Analyze six employment laws and their importance...
Note: A free response paper is a short essay which conveys your reaction to article you have read.. Do a free response reflection paper on Lincoln and the Global Economy posted under Week 5....
Suppose you make beautiful coffee tables out of juniper trees. Your materials cost for each table is $135. You pay your craftsman $25 per hour and it takes him 5 hours to complete one table. If you...
What types of disciplinary action may be taken if a member has violated the AICPA Code of Professional Conduct?
A total of 415 children from the United Kingdom and the United States who completed a survey in a recent year were randomly selected. Each students country of origin was recorded along with which...
Extreme Machine manufactures machines and parts for various industries; they have an office in Youngstown, Ohio. Avery Dennison manufactures and sells labels from a plant in Mentor, Ohio. They use...
A comparative balance sheet for Lomax Company containing data for the last two years is as follows: The following additional information is available about the companys activities during this year:...
A researcher collected self-report data on life satisfaction, social support, and depression. She found the following correlations: (1) life satisfaction and depression, (8) = -.77, p < .01; (2)...
Max has monetary assets that total $1,500 and monthly living expenses that total $2,000. What is his emergency fund ratio?
select any three project management principles and discuss their implications and impact in your organizational context. select any two project performance domains and discuss their practical...
3. (4%) Biologists use a sequence of the letters A, C, T, and G to model a genome. A gene is a substring of a genome that starts after a triplet ATG and ends before a triplet TAG, TAA, or TGA....
A British corporation has a subsidiary in China and expects to repatriate profits back to the UK in six months. The corporation decides against using a forward contract. What is the primary drawback...
1. Write out a goal and discuss how it meets the S.M.A.R.T. criteria. 2. Which of the strategies did you learn this week that may help you to achieve your goal? What did you learn about Bandura's...
what ways does the communication of a compelling vision serve to inspire and mobilize individuals and teams towards collective action and goal attainment?
The controlled full-wave bridge rectifier of Fig. 3 has a source of 120 V rms at 60 Hz and an R-L load, where R=12 ohm and L=110 m11. The delay angle is equal to 50 degrees. a. Determine the dc...
A 20-cm-square vertical plate is heated to a temperature of 30oC and submerged in glycerin at 10oC. Calculate the heat lost from both sides of the plate.
In conducting monetary policy, the European Central Bank (ECB) must balance the needs of euro-area countries with differing economic conditions. Plot since 1990 the yield spread between government...
If 2 percent growth is your break-even point for an investment project, under which outlook for the economy would you be more inclined to go ahead with the investment: (1) A forecast for economic...
Commercial banks have become increasingly involved in real estate market. Plot the percent change from a year ago of real estate loans made by commercial banks (FRED code: REALLN) and discuss the...
Mexico has labor laws that specify a daily (rather than hourly) minimum wage. In 2018, the daily minimum wage in Mexico was about 103 pesos per day, and the exchange rate between Mexican pesos and...
In 2017, an estimated 7.7 million Mexican-born immigrants were employed in the United States. a. If 60 percent of the Mexican-born immigrants remitted money to family members in Mexico in 2017, and...
A mathematical approximation called the rule of 70 tells us how long it will take for something to double in size if it grows at a constant rate. The doubling time is approximately equal to the...

what is one benefit and a drawback of The central bank finances itself from the earnings on

Question:

Expert Answer:

Heres a breakdown of one benefit and one drawback of a central bank financing itself from asset earn... View the full answer

Money Banking and Financial Markets

Students also viewed these finance questions