Deutschland Deutschland uber alles...So far the ECB has not responded to the disinflationary risks building in the euro area. Some Governing Council members dismissed the calls for action from numerous economists, referring to the analysts’ reports as the “Anglo-Saxon” irrational fear of deflation. Perhaps. But is doing nothing then a “rational” policy? While the ECB has been on the sidelines, the balance sheet of the Eurosystem has been contracting fairly sharply – all in the face of unusually tight credit conditions
Posted on: Sat, 22 Feb 2014 02:15:13 +0000