According to Oatley,a Factor That Reduces the Inconsistency Between Democracy

question 22

Multiple Choice

According to Oatley,a factor that reduces the inconsistency between democracy and independent central banks is that

• A) legislatures cannot withdraw the independence of central banks.
• B) central bankers are typically appointed by elected officials for limited terms of office.
• C) they are not the only political institutions that are granted independence from electoral politics in democracies.
• D) monetary policy is a rather minor policy instrument at a government's disposal.
• E) the economic benefit is overwhelming more important than the political inconvenience.

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