1 thought on “mention one limitation of epen market operation of the central bank?”
Answer:
Restricted dealings:
The success of open market operations is limited by the preparedness of the central bank to incur losses. In the case of short-term securities, the loss is relatively less. Therefore, open market operations are often restricted to dealings in short-term securities only…
Answer:
Restricted dealings:
The success of open market operations is limited by the preparedness of the central bank to incur losses. In the case of short-term securities, the loss is relatively less. Therefore, open market operations are often restricted to dealings in short-term securities only…