rules-based policy

1. What do you understand by the term 'public choice theory'? How does public choice theory undermine Keynesian economics?
2. Why favour 'rules' over 'discretion' in macroeconomic policy formulation? When might a rules-based policy prove problematic?
3. What are the arguments for and against having an independent central bank?

Last Updated on February 10, 2019

Don`t copy text!