Central banks as agents of economic development

In the last two decades, there has been a global sea change in the theory and practice of central banking. The neoliberal central bank policy package is drastically out of step with the history and dominant practice of central banking throughout most of its history, this University of Massachusetts paper says.

The currently dominant "best practice" approach to central banking consists of the following: (1) central bank independence (2) a focus on inflation fighting (including adopting formal

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