The Myth of the Pro-German ECB
January 03, 2012 at 09:25 AM EST
The ECB likes low inflation. So does Germany. That has led many people to wrongly assume that ECB policy is somehow pro-German. In the long run the trend rate of inflation makes no difference; money is super-neutral. Greece and Italy are no better or worse off with a 2% trend rate of inflation, or an [...]
