Question

Compare the structure and independence of the Bank of England and Bank of Japan) with differences and similarities

Answer 1

• There are nine members in the monitory policy committee of Bank Of England. They were a governor, 2 deputy governors, 2 executive directors and 4 external experts.

• There are also nine members in ths monitory policy committee of Bank of Japan. They were a governor, 2 deputy governors, and 6 members.

Since japan depends more on the exports of products, the Bank of Japan strongly prevents the uncontrolled strong currencies in the economy.

• The charge of Bank of England is to keep monetary and financial stability in the economy.

• The charge of Bank of Japan is also to control the balance in price and financial system balance. Thus it can control inflation within the economy.

• The meeting among the members in Bank of England is held monthly.

• The meeting among the members in Bnak of Japan is held once or twice in a month.

• The central bank of UK is the Bank of England. And many of the modern central banks are based on this model. In 1998, this bank became an independent public organization. It is totally owned by Treasury solicitor on account of the government.

• in 1998, inorder to implement a more autonomous system, the Bank of Japan was given the legal independence.

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