Fiscal-monetary crosswinds in the euro area | VOX, CEPR Policy Portal
The topic of coordination between monetary and fiscal policy has become the focus of policy discussion in recent years (Draghi 2014, Lagarde 2020, Schnabel 2021). One reason is that there is limited space for traditional monetary policy based on steering the short-term interest rate when the latter is at (or close to) the effective lower bound (ELB). Many recent papers have advocated mechanisms to implement a coherent a monetary-fiscal policy mix (see, for example, the policy report by Barsch e...
United States Isabel Schnabel Christine Lagarde Mario Draghi European Monetary Union European Central Bank
Source: voxeu.org