From ECB President Trichet:
“Keeping inflation expectations anchored remains of paramount importance, under exceptional circumstances even more than in normal times. Our framework has been successful in this regard thus far. But the lessons of the past fifty years — and, in particular, our success in anchoring inflation expectations — should remain uppermost in our minds.”
A more succinct explanation would be hard to offer as to why nothing much is being done about the worst recession in 70 years. Non-existent inflation remains the only thing central banks care about; 10% or more unemployment is always someone else’s problem.
Gorilla says: “A Trichet a day keeps you jobless, I’ll say!”
Tags: ECB, Trichet, unemployment