Economy

Time to Re-examine Central Banks’ Control Over the Economy

Governments felt helpless and put too much faith in central banks, which relished the spotlight. Central bank heads effectively became rock stars.
Time to Re-examine Central Banks’ Control Over the Economy
Bank of England governor Mark Carney at the G20 Summit in Buenos Aires, Argentina on Nov. 30, 2018. Carney headed the Bank of Canada during the financial crisis. The Canadian Press/Sean Kilpatrick
Rahul Vaidyanath
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After the Lehman Brothers bankruptcy on Sept. 15, 2008, financial markets stared into the abyss. Amid the chaos, central banks rose to greater prominence than ever before and have yet to retreat.

Governments felt helpless and put too much faith in central banks, which relished the spotlight. Central bank heads effectively became rock stars, like Mark Carney, formerly of the Bank of Canada and now of the Bank of England, and Mario Draghi of the European Central Bank with his “we will do whatever it takes” speech.

Rahul Vaidyanath
Rahul Vaidyanath
Journalist
Rahul Vaidyanath is a journalist with The Epoch Times in Ottawa. His areas of expertise include the economy, financial markets, China, and national defence and security. He has worked for the Bank of Canada, Canada Mortgage and Housing Corp., and investment banks in Toronto, New York, and Los Angeles.
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