A core objective of public central banking is to provide financial stability in the event of a private banking crisis. Whether it was Sweden in the early 1990s, Japan in the late 1990s, Europe and the US in 2008 or Switzerland today, this means providing financing to banks that get into difficulty.
Absent this and capitalism would collapse, because financial capitalism moves in boom-bust-bailout cycles. Unlike what’s taught in most economic textbooks, financial markets are ...
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more: