Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China

The objective of the paper is to present the results of a comparative analysis of the balance sheets of the central banks of USA and China in order to investigate how they reflect the changes in the international positions of these countries on the world economic scene after 2000. The growth of a...

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Main Author: Rumiana GÓRSKA
Format: Article
Language:English
Published: Editura ASE 2014-10-01
Series:Revista de Management Comparat International
Subjects:
Online Access:https://www.rmci.ase.ro/no15vol4/10.pdf
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author Rumiana GÓRSKA
author_facet Rumiana GÓRSKA
author_sort Rumiana GÓRSKA
collection DOAJ
description The objective of the paper is to present the results of a comparative analysis of the balance sheets of the central banks of USA and China in order to investigate how they reflect the changes in the international positions of these countries on the world economic scene after 2000. The growth of a country’s GDP is usually accompanied by an increase in the monetary base (and consequently the monetary aggregates), but there are also other factors determining the changes in a central bank’s balance sheet. The study presented in the paper contains two steps. First, the collateral of money issue in USA and China during the period 2000-2012 is compared. The main collateral of money issue in USA are U.S. Treasury securities, but after 2008 also mortgage-backed securities. The main collateral of money issue in China are foreign assets. Second step of the study is a comparison of the international position of these countries. The presented analysis confirms that the collateral of money issue in USA is debt, which reflects the position of USA as a world debtor. The collateral of money issue in China are foreign assets, mainly foreign currencies, which reflects the role of China as a world exporter and creditor.
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spelling doaj-art-c6181927cc2f4b7390ea063e7d42d1032025-08-20T02:19:40ZengEditura ASERevista de Management Comparat International1582-34582601-09682014-10-01154497504Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China Rumiana GÓRSKA0Warsaw School of Management and Finance, PolandThe objective of the paper is to present the results of a comparative analysis of the balance sheets of the central banks of USA and China in order to investigate how they reflect the changes in the international positions of these countries on the world economic scene after 2000. The growth of a country’s GDP is usually accompanied by an increase in the monetary base (and consequently the monetary aggregates), but there are also other factors determining the changes in a central bank’s balance sheet. The study presented in the paper contains two steps. First, the collateral of money issue in USA and China during the period 2000-2012 is compared. The main collateral of money issue in USA are U.S. Treasury securities, but after 2008 also mortgage-backed securities. The main collateral of money issue in China are foreign assets. Second step of the study is a comparison of the international position of these countries. The presented analysis confirms that the collateral of money issue in USA is debt, which reflects the position of USA as a world debtor. The collateral of money issue in China are foreign assets, mainly foreign currencies, which reflects the role of China as a world exporter and creditor. https://www.rmci.ase.ro/no15vol4/10.pdfcentral bank’s balance sheetnet exportinternational investment positionfiat money
spellingShingle Rumiana GÓRSKA
Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China
Revista de Management Comparat International
central bank’s balance sheet
net export
international investment position
fiat money
title Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China
title_full Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China
title_fullStr Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China
title_full_unstemmed Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China
title_short Balance Sheet of a Central Bank – A Source of Information about the Economic Position of a Country. A Comparative Study of USA and China
title_sort balance sheet of a central bank a source of information about the economic position of a country a comparative study of usa and china
topic central bank’s balance sheet
net export
international investment position
fiat money
url https://www.rmci.ase.ro/no15vol4/10.pdf
work_keys_str_mv AT rumianagorska balancesheetofacentralbankasourceofinformationabouttheeconomicpositionofacountryacomparativestudyofusaandchina