The issue of central bank independence has been the subject of important academic work….

The issue of central bank independence has been the subject of important academic work. Critically analyse and evaluate the benefits and costs of central bank independence, ensuring the response integrates relevant empirical research within this area of study.In this section students should demonstrate understanding and knowledge of the theoretical aspects that underpin the central bank independence. The evaluation should be supported with relevant empirical researchthat has been undertaken within this area, and should be referenced accordingly as per Harvard referencing requirements. Ensure the response does not simply describe key concepts, rather attempts to incorporate a critical perspective integrating relevant academic literature, allowing logical conclusions to be proposed. Including numerical examples and real-life practical business examples with supporting analysis to demonstrate additional breadth and depth of understanding would be advantageous but should not form the main basis of the work.