IIF Chairman Axel Weber on Monetary Policy

The video discusses the challenges faced by central banks in managing inflation, particularly their late response in raising interest rates. It debates the credibility of maintaining a 2% inflation target and explores economic theories like the Phillips Curve. The long-term impact of debt and monetary policy on inflation is analyzed, along with the role of central banks' balance sheets in fiscal expansion. The discussion also covers interest rates and economic recovery post-pandemic, and concludes with reflections on teaching economics during financial crises.

What role does employment play in the relationship between inflation and monetary policy?

In what ways has the fiscal expansion in the last decade affected central banks' balance sheets?

How do geopolitical factors, such as the war and dependence on China, influence European monetary policy?