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A BALANCED APPROACH TO MONETARY POLICY
Monetary policy, which together with fiscal policy forms the basis of the economic policy of the state, is currently receiving unprecedented attention – including the of the general public, as a result of the protracted global financial crisis in 2009. In this context, attention should be focused namely on central banks, which have been in the middle of economic troubles in the past. The influence of the central banks grew mainly through political in the 70s and 80s of the last century. From this period, we can see the growth of central banks all independence around the world as a currency guarantor, which resulted in a relatively quiet period without major economic crises, but ended as a result of the irresponsible fiscal policy of political elites. Therefore, the aim of our research paper is to analyze monetary policy as a significant part of the economic policy of the state, with the accent on the position of the central bank, which has a decisive influence on the way and performance of monetary policy. The concept of monetary policy from the very beginning to the present has undergone a number of changes. The central bank has almost every country in the world. The role of central banking is generally perceived in individual economies as irreplaceable, but the suitability or necessity of setting up these institutions was seen by different states depending on many factors.
Release: 2018/1 Pages: 21-31 JEL classification: E44, E52, E58
DOI:
Keywords: monetary stability, price stability, central bank
Section: ECONOMICS AND ECONOMY
Contacts:
PhDr. Martin Hudec, MBA
University of Economics in Bratislava
Faculty of Commerce, Department of Marketing
Dolnozemská cesta 1
Bratislava, 852 35
Slovak Republic
e-mail: mhudec18@gmail.com
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