6. Compare the structure and independence of the European System of Central Banks and the Federal Reserve System.

7. What are the expected consequences of Brexit on the Bank of England?

8. The structure and the policy of the Peoples Bank of China (PBoC) differentiate it from traditional models of central banking systems. What are the main differences? What are the consequences of the PBoC system for other economies?

9. By how much an interest rate should be changed to restore equilibrium is an important decision for a central bank. Do you think that the interest rate should be set based on judgment or by increased use of formal econometric analysis?

10. People in general welcome actions that maintain effective communication and that promote transparency, and in particular when they involve public or quasi-public institutions. Can you think of a reason why a more transparent communication strategy might be detrimental to a central banks objectives?

11. Why might eliminating the central banks independence lead to a more pronounced political business cycle?

12. William does not feel comfortable with the current level of the European Central Banks independence. Put yourself in Williams shoes and state an argument against the current level of the European Central Banks independence.

13. How would you argue in favor of the current trend toward central banks independence?