With her first great speech made by Christine Lagarde as President of the European Central Bank on Friday in Frankfurt, what role it intends to play in the future. Most commentators have rushed after the lecture, under the title "the future of The economy of the Euro zone," mainly on your statements on monetary policy. Not surprisingly, Lagarde has announced no farewell to the highly expansive money supply of your predecessor, Mario Draghi – after all, but a "strategic Review" of monetary policy, beginning in the next time.
The most Striking thing about Lagarde's speech, however, was that monetary policy played in the new domain of the new ECB Boss a vanishingly small role. Only at the end they came up short and talk a little specifically, with the above-Mentioned fact.
I would think Lagarde, speaking as Head of the International monetary Fund (IMF). Like that the new ECB Boss put the Finger on the, in your opinion, to great importance of exports from the Eurozone to other parts of the world. In this dependency, it sees risks: "We are seeing a worldwide change in the way of the demand from other countries for domestic demand," she said. With the data you called for a strengthening of the Euro domestic economy to reduce the dependence of the rest of the world economy.
beats is The recipe of the IMF
As a measure Lagarde mainly higher government spending, mainly for investment. "The state's investment today in the Eurozone is significantly lower than before the crisis," said the ECB Boss, and said: "investments are a particularly important part of the answer to today's challenges." On the one hand, it would support current demand and, on the other hand, the Euro economy of the future, not only to enhance the digital and the green will leave.
Although Lagarde is not called the Land explicitly, aim your remarks primarily on Germany. No other country in the Eurozone is very dependent on exports. Not least, the IMF, Germany calls, therefore, for quite some time, higher government spending, particularly for infrastructure investment.
Lagarde is not with your analysis is wrong. As Head of the IMF, she was exactly the right Person to make them. But not as Boss of the ECB. As in Switzerland, the SNB, is the European Central Bank regardless of the policy and submit it to have great value. Interference in the monetary policy by politicians are not considered to be objectionable.
The wrong Jobverständnis
By now, Lagarde declared, conversely, the politicians of the Tariff, it weakens the independence of the Central Bank. Even more is that the ECB should have, under the direction of non – elected technocrats-actually, only a very limited mandate.
The analysis of Lagarde to reject, also, a striking characteristic of those of the French President, Emmanuel Macron, has driven your choice ahead. This is true not only of Lagarde, required investments into the European economy, but also for their indication of lack of shared risks of the currency Union would do the same damage as too many. This is also a covert criticism of Germany because, as the economically strongest Eurozone would have the most pay, if in the case of a common Bank Deposit insurance, weak institutions would go. Therefore, the country defends itself.
That Lagarde is especially a politician, was seen in front of her office by many as an advantage for your new Job. With your speech, you now made it clear that for the independence and the legitimacy of the Central Bank is also a danger.
Created: 25.11.2019, 21:27 PM