Central Banks — What Lebanon Teaches Us

Source: Independent Institute
by Alvaro Vargas Llosa

“A raging debate is taking place in many countries about central banks, perceived by many as responsible for inflation and other monetary dislocations that are hurting ordinary folks. The United States is one of them, but there are many more. In Argentina, one of the countries with the highest price inflation, an outsider has gained traction in the polls by, among other things, promising to abolish the central bank and adopt the U.S. dollar as the national currency if he wins this year’s elections. Lebanon, where I recently spent some time, is another country with out-of-control inflation and a highly unpopular central bank. It is a case study on the pernicious effects central banks can have.” (05/17/23)