The newly formed Republik of Rockoslovenia has come to you as an expert in US Federal Reserve Bank matters, with regard to policies and procedures of its newly-formed Central Bank. Rockoslovenian officials would like you to deliver to them a report with your recommendations on how they should run their Central Bank if they decided to base it upon the American model.
In addition, Rockoslovenia plans on modifying its existing currency regime and has asked you to obtain the missing currency exchange crossrates between the following major currencies:
| |
US |
UK |
Rockoslovenian |
Japanese |
European |
| |
Dollar |
Pound |
Token |
Yen |
Euro |
| European Monetary Union |
1.1406 |
? |
0.6783 |
0.0087 |
X |
| Japan |
130.66 |
185.98 |
77.705 |
X |
114.6 |
| Rockoslovenia |
1.6817 |
2.3936 |
X |
0.0129 |
? |
| United Kingdom |
? |
X |
0.4718 |
? |
0.6162 |
| United States |
X |
1.4231 |
? |
0.0077 |
0.8767 |
Deliverables:
- Identify and describe the three instruments used by the Federal Reserve to set Monetary Policy.
- Discuss the major components of the Federal Reserve System and identify the functions that each component performs.
- Describe and compare central banks in the United Kingdom, Japan, and European Monetary Union with the United States.
- Complete the missing currency exchange crossrates.