Question

he trend in recent years is that more and more governments A. have mandated that their central banks focus on controlling inflation. B. have required their central banks to cooperate more with their Ministers of Finance. C. have been reducing the independence of their central banks to make them more accountable for poor economic performance. D. have been granting greater independence to their central banks.

Answer 1

Answer:

have been granting greater independence to their central banks.

Explanation:

In modern times, the world is getting faster and the concept of open market economies is emerging globally. To cope with this system, governments all over the world are giving their central banks more and more freedom so they can control and operate the market forces to some extent.

Governments know that their interference will only lead to slow and inefficient operations, which can lead to problems in over all system.