What changes are to be introduced in the Ruritiania central bank law Essay

What changes are to be introduced in the Ruritiania central bank law with a new currency law - Essay Example Policy decisions must be both anticipatory and innovative, considering all relevant information regarding the prospective evolution of prices, and guaranteeing that the final objective is realized in a timely manner (Lamfalussy, 466). Central banks have generally had the objectives of maintaining price stability, maintaining financial stability and fostering financial development more broadly and to support the state’s financing need in times of crisis (Goodhart). The new Ruritiania Central Bank law should be provided with these operations under the new law. Like most jurisdictions, the Monetary Policy Treaty in Europe issues the European System of Central Banks full independence to determine the appropriate level of interest rates (Lamfalussy). The years 1930 to 1960 saw government control over central banks (Goodhart). This initiated substantial economic depressions, and was deemed pragmatic. It was this negative impact that led to the independence of central banks all over the globe. The new Ruritiania currency law should provide for the independence of the Central bank if it is to be adopted to avoid encounters such as economic depressions (Giovanoli). The new Ruritiania law provides for the net foreign exchange reserves. Under Article 5(1) of the law, it is clearly stipulated that the mandate of the central bank shall be to ensure the aggregate amount of its monetary liabilities shall not exceed the equivalent of its foreign exchange reserves. Such aggregate amount of the monetary liabilities as provided under sub-article 2 shall be the sum of all existing banknotes, coins and main units existing in any branch of the central bank, and also any credit balances of all accounts maintained on the books of the central bank and its organizational units. Article 7 provides for dollarization, a factor that occurs when a country formally discards its own currency and adopts a more unwavering currency of another country as a legal tender with

Essay about Kant, Hume or Aristotle Example | Topics and Well Written Essays - 1000 words

About Kant, Hume or Aristotle - Essay Example Hume’s opinion, what individuals strongly feel about as being good, right and moral is what actually defines what is right and what is wrong, as opposed to them feeling obliged to do something right without their will just because it is thought to be the right thing. If we analyze both these arguments in isolation, they are both valid to an extent. However, from the perspective of morality, Kant’s categorical imperatives formulate a stronger argument than Hume’s teachings. Starting from the basics, Kant’s critique of Hume’s theories has led him to label them as not really moral theories on the grounds that they do not give an individual a sense of direction as to what he actually is supposed (â€Å"ought†) to do under a particular situation. If we go a little deeper and start by understanding what a moral theory is supposed to do then we can either justify or nullify Kant’s criticism. Morality, in a very descriptive context refers to a set of rules put forward either by a society, religion or conferred upon an individual upon himself by himself. However, on the normative side, morality is a set of rules that is agreed upon by all individuals unanimously (Gert, 2011)1. Under this definition, we can vividly see that Kant’s criticism is in perfect synchronization with his arguments against Hume’s teachings since the normative definition of morality, is more or less a variant of Kant’s categorical imperativ es. If on the other hand, Kant would have based his argument on some grounds other than morality, then it might have been easier to refute his ideology. Kant stresses that human beings are given the status of God’s most supreme creations for their ability to reason. It is this ability to reason which differentiates human beings from animals and other creations of God. A man tries to come to a conclusion after putting some thought into the process and weighing some pros and cons, that is the point of differentiation between a man and the rest of