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Price Stability in Times of Change

The ECB Podcast

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Navigating Economic Complexity

This chapter explores the concept of the neutral interest rate and its significance in shaping monetary policy amidst current economic challenges. The discussion emphasizes the importance of scenario analysis in decision-making, addressing complexities like risk management, communication, and shifting dynamics of reserve currencies. As they look ahead to 2025, the chapter reflects on the need for careful evaluation of economic conditions while balancing investor confidence and caution.

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