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The modern economy depends heavily on services and intangible goods that flow across borders.
But generally, central bankers view intervention as futile, given that trillions of dollars flow across borders every day.
If capital can flow across borders, countries must choose between fixing their currencies and controlling their domestic monetary conditions.
Capital can flow across borders, so the amount an individual country saves does not have to be the same as the amount it invests.
Credit can flow across borders and from shadow banks, which complicates the efforts of central bankersOne way of getting them to do this would be to insist that big, systemically important institutions hold an extra layer of capital.
It must also be "accessible": this is harder to quantify but what matters is openness to foreign ownership, the ease with which capital can flow across borders and the stockmarket's functioning.
Similar(44)
Banks are concerned "passporting" agreements that allow transactions to flow across border uninterrupted could be scrapped or modified as part of the Brexit negotiations, denying them easy access to customers inside the single market.
Otherwise, new government spending flows across borders, diluting its effects.
A third priority is to keep capital flowing across borders to wherever it is most needed.
His proposed tax on currency exchanges was intended to curb de-stabilising capital flows across borders.
Only 6% of global rice production, for instance, flows across borders.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com