A Trend in Recent Years Is That More and More

question 77

Multiple Choice

A trend in recent years is that more and more governments

• A) have been granting greater independence to their central banks.
• B) have been reducing the independence of their central banks to make them more accountable for poor economic performance.
• C) have mandated that their central banks give up multiple policy goals to focus strictly on inflation.
• D) have required their central banks to coordinate policies with their ministers of finance.

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Definitions:

Security Agreement

A legal contract that grants a lender a security interest in an asset or property offered as collateral for a loan.

Assigned

Transferred or allocated to a party or for a specific purpose.

Repossess

The act of taking back goods or property by a seller or lender from the buyer or borrower, usually due to failure to meet the terms of the sale or loan agreement.

Deficit

A financial situation where expenditures exceed revenue.