Niemiecki dylemat: uwspólnotowienie długów czy interwencje EBC?
German dilemma: Debt Pooling or ECB Interventions?

Author(s): Konrad Popławski
Subject(s): National Economy, Public Finances
Published by: OSW Ośrodek Studiów Wschodnich im. Marka Karpia
Keywords: public devts; economic crisis;
Summary/Abstract: The financial crisis forced the European Central Bank (ECB) to move away from the three most important paradigms of German monetary policy accepted in the Euro area: the financing ban by the central bank of sovereign debts, an order to exercise by it in the first place to control inflation, and also to demand political independence in decision-making. This situation has been temporarily accepted by the government of Chancellor Angela Merkel, but not by German public opinion, which fears negative consequences ECB policy, primarily a possible increase in inflation. This is why future actions by the federal government will be aimed at restoring and consolidating the role of the ECB – the watchdog originally set out in the treaties low inflation. To achieve this, Germany must take responsibility at least part of the debt of the Eurozone, which the ECB will allow refocus on the conduct of monetary policy.

• Details
• Contents