Spring Post 2 "Colombian Monetary System"

The Colombian monetary system is composed in the following ways: First, The Colombia monetary policies are articulated by a Monetary Board, Second, the banking operations are operated, regulated and supervised by The Banking Super Intendancy. Third, The Central Bank conducts monetary policy based on the financial sector. The Central Bank then determines the amount of currency in the system and makes other verdicts in line with indicators such as inflation and growth of the economy.

The monetary policy in Colombia according to the Banco de Republica “is to reach and maintain a low and stable inflation rate, and to achieve a long-term GDP growth trend. This is the only way to achieve sustained growth rates that will generate employment and improve the population’s quality of life. Otherwise, if the economy does not grow on a sustained basis, sooner or later a crisis will occur with serious consequences for the economy, leading to worsening social indicators, loss of public confidence, lowered investment and higher unemployment.” In conclusion the primary policy is to reach a low inflation rate and a long-term GDP. This is to to keep a sustained economic growth in order to generate employment.

I would say the Monetary system in Colombia and the U.S are similar in the aspect that both of them have a Central Bank like institution one with the US having the Federal Reserve and Colombia with a Central Bank also they both work by creating money out of debit and inflation.

MLA Citations

"Encyclopedia of the Nations." Colombia Money, Information about Money in Colombia. N.p., n.d. Web. 04 Apr. 2014.

"Banco De La República (Banco Central De Colombia)." Banco De La República (Banco Central De Colombia). N.p., n.d. Web. 04 Apr. 2014.

Zeitgeist Addendum. Dir. Peter Joseph. Perf. Peter Joseph. YouTube. Www.zeitgeistmovie.com, 2009. Web. 4 Apr. 2014.