A Review of First Monetary Policy Overburdened

The discussion paper by Athanasios Orphanides tells whether the government has high expectations for monetary policy to achieve long-term public policy objectives that can only be achieved through a combination of appropriate policies and coordination with other public agencies I will pose the problem. . "Orphanides focuses on the three central goals of the Central Bank (CB), full employment, financial sustainability, and financial stability, with four representatives of the United States, Japan, the UK and the euro area I have developed his view using the economic economy.

The role of allocating monetary policy and maintaining financial stability is an excessive burden. Monetary policy affects both financial and distribution and may be relatively smaller than the macroeconomic impact of monetary policy action on economic growth and price trends (Orphanides 2013, pp. 13). Without proper financial support, the purification process will result in banks' capital restructuring (Orphanides 2013, pp. 15). Considering this, the author considers the reliability of the central bank doubtful.

The main role of monetary policy is to maintain price stability. Therefore, the overburden of such policy will threaten the central bank's role and ensure price stability (Orphanides 2013, pp. 1). The orphanage has reasons to make such claims. The same central bank that provides exchange media can also be responsible for its stability. Therefore, viable monetary policy is born of experience including inflation and deflation (Orphanides 2013, p. 3). Therefore, after stabilizing prices as a policy objective of monetary policy, banks earn the trust of financial institutions. Therefore, when monetary policy issues take a political approach in that role, banks will have to compromise their role.

Many people believe monetary policy can solve many problems. Achieve full employment, financial sustainability, and maintaining fiscal stability (Orphanides 2013: 01). Regarding the main role of monetary policy, it seems that this task is too much for policy, as most tasks are not suitable for the scope of monetary policy. First, monetary policy should maintain and maintain price stability (Orphanides 2013: 01). Likewise, policy makers who enforce such missions often miss the role of central banks in public policy. In this article I will describe the information provided by his article "Overburdened Monetary Policy" by Orphanides Athanasius (2013).