Which of the Following Statements About Central Bank Structure and Independence

question 47

Multiple Choice

Which of the following statements about central bank structure and independence are true?

• A) In recent years there has been a remarkable trend toward increasing independence.
• B) In recent years, greater independence has been granted to many central banks, with the exception of the Bank of England and the Bank of Japan, which are still subject to strict governmental control.
• C) In theory, central banks subject to government control produce better monetary policy, but experience suggests that more independent central banks have produced superior monetary policy results.
• D) A and B only

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