BUSINESS MAVERICK OP-ED: Outgoing European Central Bank chief’s dangerous farewell

The ECB is not a normal central bank. It serves a confederation of countries – a Europe of nation-states – and conflicting interests are embedded in its decision-making. This results in delays and half-measures.

The clash of interests among eurozone member states is straightforward. Until recently, inflation in Germany had been around 1.5% per year; in France and Italy, it has been closer to 0.6% . Lautenschläger is right that Germany is nowhere near deflation, but one more downward shock could push the French and Italian economies there.significant and impactful

And, as Germany’s population ages, returns on savings have become a major economic and political issue – giving German policymakers another reason to oppose further reduction of interest rates.

Singapore Singapore Latest News, Singapore Singapore Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Rand firms as market pins hope on stimulusHopes that China will move to boost its economy and expectations of stimulus from the European Central Bank could support the rand this week
Source: BDliveSA - 🏆 12. / 63 Read more »

Business Maverick: Monday, September 9: Five Things You Need to Know to Start Your DayHong Kong’s violence continues despite concession, China’s exports tumble as tariffs bite, and Asian markets are set for a muted open Monday. Here’s what’s moving markets.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: China’s Stimulus Debate Is Still Alive After Grim Trade DataThe contraction in China’s trade in August underscored what economists were already saying about the government’s stimulus efforts: they’re not yet enough to put a floor under the slowing economy.
Source: dailymaverick - 🏆 3. / 84 Read more »