answersLogoWhite

0

A central bank, reserve bank, or monetary authority is the entity responsible for the monetary policy of a country or of a group of member states. Its primary responsibility is to maintain the stability of the national currency and money supply, but more active duties include controlling subsidized-loan interest rates, and acting as a "bailout" lender of last resort to the banking sector during times of financial crisis (private banks often being integral to the national financial system). It may also have supervisory powers, to ensure that banks and other financial institutions do not behave recklessly or fraudulently. =Most richer countries today have an "independent" central bank, that is, one which operates under rules designed to prevent political interference. Examples include the European Central Bank and the U.S. Federal Reserve. Some central banks are publicly owned, and others are privately owned. In practice, there is little difference between public and private ownership, since in the latter case almost all profits of the bank are paid to the government either as a tax or a transfer to the government.==Shani......=

User Avatar

Viva Bashirian

Lvl 10
2y ago

What else can I help you with?

Continue Learning about Finance

What is the difference between a centralized and decentralized Payroll System?

between centralized and decentralized payroll


What are some centralized organizations?

Centralized organizations are those where decision-making authority is concentrated at the top levels of management. Examples include traditional corporations like Apple and General Motors, where executives make key strategic decisions. Government agencies, such as the Federal Bureau of Investigation (FBI) in the United States, also operate in a centralized manner, with clear hierarchies and centralized command. This structure can streamline processes but may limit responsiveness to local needs.


What benefits did centralized manufacturing offer?

Centralized manufacturing offers several key benefits, including economies of scale, which reduce production costs by consolidating resources and labor in one location. It also enhances consistency in product quality and streamlines logistics, as materials and finished goods can be managed more efficiently. Additionally, centralized operations can improve management oversight and facilitate innovation through concentrated expertise and technology. Overall, this model can lead to increased operational efficiency and competitiveness in the market.


What Five main characteristics of a corporation?

Limited Liability, Perpetual Life, Transferability of Ownership, Capacity to Contract and Centralized Management


do you think that the company emphasizes centralized or decentralized decision making?

To determine whether a company emphasizes centralized or decentralized decision-making, one would need to examine its organizational structure, leadership style, and communication practices. If decisions are primarily made by top management with little input from lower levels, it indicates a centralized approach. Conversely, if authority is distributed and employees at various levels are empowered to make decisions, the company leans towards decentralization. Analyzing these aspects can provide insights into the company's decision-making philosophy.