1. Is full (i.e. instrument and goal) central bank independence
... a relatively subservient governor will tend to stay longer in office than a governor who stands up to the executive branch. Cukierman et al found that TOR vary widely among developing countries - in contrast to industrial countries - and therefore vary the independence of the central banks. As J Hann & W Kooi (2000) said "It should also be made apparent that if there is a significant correlation that does ... might influence growth". They did, however, find that if they used the TOR of central bank independence, that CBI did have a positive effect on growth in developing countries. They...
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- Approx Pages: 16
- Grade Level: Undergraduate