Draghi: Need to Preserve Substantial Monetary Support

The video discusses the importance of monetary policy in maintaining price stability and supporting economic activity. It emphasizes the need for structural reforms across euro countries to reduce unemployment and boost growth. The role of fiscal policies in supporting economic recovery while adhering to EU rules is also highlighted. The video calls for a growth-friendly fiscal policy composition and stresses the importance of implementing the Stability and Growth Pact consistently.

What is the primary goal of maintaining a substantial amount of monetary support?

• To reduce government spending

• To ensure inflation rates return to desired levels

• To decrease economic activity

• To increase interest rates

Why are structural reforms necessary in all euro countries?

• To limit technological advancements

• To reduce structural unemployment and boost potential output growth

• To increase taxes

• To decrease foreign investments

What should be the focus of actions to improve the business environment?

• Raising productivity and providing adequate public infrastructure

• Increasing tariffs on imports

• Reducing the workforce

• Limiting access to technology

How should fiscal policies support economic recovery?

• By reducing public spending

• By remaining in compliance with EU fiscal rules

• By increasing national debt

• By ignoring EU fiscal rules

What is crucial for ensuring confidence in the fiscal framework?

• Reducing foreign investments

• Increasing government borrowing

• Full and consistent implementation of the Stability and Growth Pact

• Ignoring the Stability and Growth Pact