Before the financial crisis of 2007, Central Banks were perceived as being technocratic, maybe even dull and a little remote organizations. Since then they have moved into the centre of attention not only of financial market participants but also of politicians, the press and finally the broader public. A series of “quantitative easing” programmes, low interest rate policies and other interventions in the US, Europe, Japan and other countries has made Central Bank Policy a glamorous issue of lively debate all over the world. In Switzerland, a climax of public attention has been reached on January 15 when the National Bank decided to abolish the peg of the Swiss Franc to the Euro. People who thought that the Central Bank would be able and willing to intervene in the markets at any cost had to learn that there are limits to the capabilities and effectiveness of monetary policy interventions. But in today’s debate it still seems that Central Banks are broadly perceived to be omnipotent and able to solve the economic challenges of our time. On the other hand many people warn that an economic system fuelled by cheap money might easily get out of control and collapse – as it almost did in 2007. Where are the limits of Central Bank’s activity, what should they, what can they do? What about checks and balances, Central Bank independence and finally the ultimate the “raison d’être” of Central Banks?
In the media
Gastkommentar: Gelebte Unabhängigkeit der Schweizer Nationalbank
Gerhard Schwarz, AZ Medien, 22.01.2015
Les banques centrales ont beaucoup trop de pouvoir
Emmanuel Garessus, Le Temps, 11.06.2014
