The Monetary Policy Strategy of the ECB Reconsidered

Now that Jean-Claude Trichet has taken over the helm at the European Central Bank, the fifth Report in CEPR's Monitoring the European Central Bank (MECB) series looks back at the tenure of former ECB President, Wim Duisenberg, in order to see what lies ahead. The new Report finds that the ECB has failed to meet its self-imposed primary objective of keeping euro area inflation below 2% for each of the last four years.