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Soft or strong: the art of monetary tightening

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  • Christophe Blot

    (OFCE - Observatoire français des conjonctures économiques (Sciences Po) - Sciences Po - Sciences Po)

  • Jérôme Creel

    (OFCE - Observatoire français des conjonctures économiques (Sciences Po) - Sciences Po - Sciences Po)

Abstract

The rise of inflation has sparked tightening measures by the ECB. The paper discusses the causes of this rise and the factors that impinge on the effectiveness of ECB policy at curbing inflation. Drawing on own assessment of the respective trends in these factors, we recommend a careful approach to monetary policy. This paper was provided by the Policy Department for Economic, Scientific and Quality of Life Policies at the request of the Committee on Economic and Monetary Affairs (ECON) ahead of the Monetary Dialogue with the ECB President on 26 September 2022.

Suggested Citation

  • Christophe Blot & Jérôme Creel, 2023. "Soft or strong: the art of monetary tightening," SciencePo Working papers Main hal-03954545, HAL.
    • Handle: RePEc:hal:spmain:hal-03954545
    Note: View the original document on HAL open archive server: https://hal-sciencespo.archives-ouvertes.fr/hal-03954545
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