An Inflation-Adjusted Social Contract for Europe
During the 2008 global economic crisis, a recurrent criticism of the eurozone framework was that it meant that the European Central Bank was “the only game in town.” Today, by providing income support to households, governments are helping to prevent a 1970s-style wage-price spiral – and making the ECB’s job much easier.
DUBROVNIK – With energy prices high and rising, and inflation soaring, it is starting to look like the late 1970s all over again. But appearances can be deceiving.