ABSTRACT
ONE VIEW OF THE APPROPRIATE CONDUCT of central banking holds that the central bank should confine its activities as narrowly as possible to the primary objective-price stability-of monetary policy. In this view, government debt management, auctioneering, registry, payment and settlement systems, electronic delivery-versus-payment mechanisms, and prudential supervision and regulation of financial institutions are outside the proper scope of central banking and should therefore be conducted by other public or private sector institutions.
