Author : Patrick Honohan
Publisher : Peterson Institute for International Economics
ISBN 13 : 0881327549
Total Pages : 170 pages
Book Rating : 4.8/5 (813 download)
Book Synopsis The Central Bank as Crisis Manager by : Patrick Honohan
Download or read book The Central Bank as Crisis Manager written by Patrick Honohan and published by Peterson Institute for International Economics. This book was released on 2024-11-22 with total page 170 pages. Available in PDF, EPUB and Kindle. Book excerpt: The world’s central banks have confronted crisis after crisis in recent years—both before and since the global financial crisis. Yet many of these events seem to take central banks by surprise, obliging them to improvise. In this important study, Patrick Honohan, former governor of the Central Bank of Ireland, calls on central banks to make preparation for crisis management a core activity. They should be ready to deal with the unexpected. Departing from the rather sedate mode of operation appropriate to their normal focus on price stability and risk control, they must speed up their decision making, change their style of communication, and be more open to cooperation with governments when a crisis hits. They need to keep careful track of changing financial market practices, evaluating solvency in murky situations and quickly weighing the tradeoffs involved in measures that can help contain the crisis but have adverse side-effects. The Central Bank as Crisis Manager warns that failure to recognize these challenges could be costly for society.