5. Fill in the blanks in the text with suitable prepositions

From an economic point … view, it would be best if bank supervision were centralized, either under the ECB or in a new independent European regulator. However, the report argues that centralization is not politically feasible in the near future, as it would require governments to relinquish national control and deprive some central banks … one of their only remaining functions. Instead, it suggests the exact opposite: a truly decentralized approach, shifting the role … monitoring banks to the market … setting Europe-wide full disclosure rules. The idea, based partly on the "New Zealand model", is that … increasing information about the riskiness of banks, this would increase their incentives to act prudently and so reduce the risk … failure.

6. Insert the articles where necessary

Fuller disclosure needs to be supported by measures to reduce … contagion effect of a failure by, for example, reducing uncollateralized interbank exposures among European banks. It would still need … backing of a lender of last resort, but … market-oriented reform might make banks better able to cope with … trouble.

The ECB has been lucky: it has not yet faced … financial crisis. It will one day. It's better, therefore, to reform … system beforehand. Sadly, history shows that it always takes … crisis to persuade … policymakers to act.

7. Translate the following passage into Russian

First, the ECB should be set an explicit inflation target by the European Parliament, so there can be no disagreement about the goal of monetary policy. Second, it recommends that the power of the executive board be increased relative to that of national central-bank governors, who are more likely to be interested by national interests. At the moment, all 11 governors can vote, outweighing the six member executive board. Better, perhaps, if only five, say, were allowed to vote at any time, with revolving terms - like the arrangements for district-bank presidents in America's Federal Reserve System.

8. Explain the italicized grammar constructions in the following sentences

1.To increase transparency, most outsiders have urged the ECB to publish votes and minutes.

2. But the authors of the CEPR report argue that, under its current set-up, the ECB is wise not to.

3. Attributing votes and opinions to members from different countries would increase the focus on national differences, and so undermine the bank's credibility.

4. Second, it recommends that the power of the executive board be increased relative to that of national central-bank governors, who are more likely to be interested by national interests.

5. Banks are likely to become more pan-European.

9. Comment on the following phrases

a flawed system of financial supervision; minutes of policy meetings; the voting records; the Monetary Policy Committee; monetary growth; under its current set-up; blueprints; a reluctance to cede national political control; cross-border mergers; cross-border exposures; feasible; disclosure rules; uncollateralized interbank exposures; policymakers.