Open AccessCentral Bank of Brazil’s mission: Ensuring the stability of currency purchasing power and a sound, efficient, and ‘just’ financial system
Author(s) -
Alessandra von Borowski Dodl
Publication year - 2020
Publication title -
risk governance and control: financial markets and institutions
Language(s) - English
Resource type - Journals
eISSN - 2077-4303
pISSN - 2077-429X
DOI - 10.22495/rgcv10i4p4
Subject(s) - normative , corporate governance , purchasing , legitimacy , purchasing power , currency , economics , business , economic justice , politics , finance , political science , marketing , law , neoclassical economics , monetary economics , keynesian economics
This study assesses the convenience and timeliness of making changes to the Central Bank of Brazil’s mission. We undertake this analysis from the normative and practical approaches and consider the perspective of inclusive development and the National Financial System’s role to be the main determinants of the selected strategic solution. The insertion of justice into the institutional mission of the Central Bank of Brazil not only signals a new normative proposal for public policies in this arena but also publicly compromises all agents, suggesting an agreement that engenders the expectations of reciprocity and increased legitimacy. The analysis is conducted through the political philosophy lens, based on the works of Rawls (1971, 2001) and Sen (1992, 2000, 2009). This approach focuses on neutralizing pre-existing views, as the purpose of this study is not to expand current results, but to question the governance structure of the National Financial System to select priorities and implement them. The advent of technology innovations emphasizes the opportunity for improvement, highlighting its risks and benefits. Therefore, the potential contribution of this study is to provide a policy-making alternative to promote publicly agreed objectives through governance structures.