Central Banking 101

Super interesting and unbiased. Author makes such a complex topic feel much easier to understand. I also like that, despite focusing on central banks roles and mechanisms, author also explains a lot about the banking system as a whole. Overall very rich reading.

I read this intermittently over a few days and found myself learning a lot about not just the US Fed and its processes but the financial market on a whole. This book offers a succinct and clear outline of how the Fed guides interest rates by directly interacting with various markets - Treasuries, Corporate Bonds, Agency MBS, Commercial Loans. It also offers a clear overview on the major players in the financial market - primary dealers, commercial banks, hedge funds, and a few others. I also appreciated the short blurbs interspersed throughout the chapters which offered a clear walkthrough of real events. One thing I will note though is that this book is very much focused on the US Fed, which is to be expected considering the author's background working on the open market desk. If you're from any other country this would mean that it doesn't offer a 1:1 picture of the specific mechanics of your central bank but I do think it helps in knowing what the right questions are to ask. In sum, I'd say this is worth the short read, especially if you're like me and aren't familiar with financial markets. 5/5

Muito importante para perceber como funciona o dinheiro.

I am unaware of any other book that offers the same practical, operational insights into central banking and these banks relations with the other major market actors. It is, necessarily perhaps, a high level overview; but it is one that captures the key moving parts and their dynamics. If I'm wrong, please let me know. I would welcome the opportunity to read even stronger tomes on this subject. The book makes some assumptions about the reader's background knowledge; for example, introducing LIBOR with no explanation. A new edition should focus on plugging these gaps. Otherwise, the book is a masterclass in successively connecting complex, intangible concepts into a greater whole. A second minor criticism is that the book is essentially exclusively US focused. I don't believe that this detracts from the book significantly, given that developed central banks tend to operate in similar ways. A new edition might attempt to draw out any material differences in practice, etc. I congratulate Joseph on producing this superb book, and do not hesitate in recommending it, subject to my qualification above.

Zdecydowanie polecam wszystkim zainteresowanym zgłębieniem tego jak działa współczesny system monetarny na przykładzie USA. Książka to samo mięso bez lania wody i wywodów filozoficznych. Opracowana przez byłego pracownika FED, który dokładnie zna jego działania od podszewki. Bardzo dobre omówienie kluczowych konceptów prostym językiem, z przykładami i odniesieniami do literatury.