ECB: strategic review = battle of monetary doctrines

Christine Lagarde has launched an audit of the ECB’s strategy. It will primarily focus on the inflation objective (price measurement, definition of the target, instruments to achieve it). Other topical issues will be examined, such as the greening of monetary policy, but they will remain peripheral. This audit will provide an opportunity to compare two doctrines. The first, in line with the Bundesbank, is critical of current policy and seeks to adopt a target band, e.g. 1.5%-2%. ...