Essays must not exceed 500 words. Please see the guidance notes and the Econ 404 course paper
for submission instructions.
Essay 1, to be submitted by 12 noon on Tuesday 18 February (week 6).
Choose ONE of the following topics
1. Consider the inherent problems of the Libor measure of sterling market interest rate and the
problems of introducing an alternative measure.
2. What is ‘Modern Monetary Theory’ and is it valid?
3. Italian government debt remains over 130% of GDP, yet the government is planning to borrow
more. Is this a problem?
4. Assess the effectiveness of the negative interest rate policy of the Japanese central bank.
5. Review the reasons for hyperinflation in Russia in the early 1990s, and how it was brought down.
6. Is the current high level of Chinese household debt a cause for concern?
