Tomas Hirst on the State of ECB Policy and the Eurozone Economy
Macro Musings with David Beckworth
00:00
Are the ECB's Decisions Justifiable?
The ECB's inflation mandate was close but below 2% over the medium term, which in practice meant anything above one and a half would probably do. The idea of this was to give them some flexibility to be able to see through particularly non-domestic drivers of inflation. They seem to have ditched it in its entirety. Now because inflation, headline inflation is over 10%, right? Year on year, core inflation, you know, starting to sort of get to the sort of 5, 6% mark,. We are getting some very concerned statements out of the ECB saying, well, yes, we were going to look through this, but this is too high. This is too big and
Transcript
Play full episode
