Why the Lack of Risk Taking May Continue

The video discusses the current state of capital budgets in Europe, the impact of fiscal space on economic recovery, and the need for changes in ECB policy due to low inflation. It explores the tradeoff between stock and flow in monetary policy and strategies for deploying the German quota. The video also examines the political and market implications of these policies.

How does the concept of fiscal space influence government spending decisions?

In what ways might the ECB's approach to quantitative easing evolve in the future?

What factors contribute to the differences in market conditions between Germany and Italy?