Role of Central Banks

I have been thinking how the role of the central bank is to act as lender of last resort and therefore provide liquidity in times of financial crisis. Today it seems the central banks are still far too involved given we are not in a crisis.

My libertarian persuasion can see how once you provide government bodies power then their is no limit to the extent this power will be wielded.

I feel once again we have entities with their own self interest deciding what is best for society at large. This is almost always a bad thing.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s