Artus – The ECB’s “bet”

Ihere is clearly a significant gap between the monetary policy of the Federal Reserve in the United States and that of the European Central Bank (ECB) in the euro zone. In the United States, the Federal Reserve is clearly showing its desire to bring inflation down to 2% within a reasonable timeframe. It will raise interest rates significantly.(towards 4% or 4.5% at the start of 2023) and it is, moreover, assisted in this task by the considerable reduction in the public deficit of the United States, from 12.4% of GDP in 2021 to 3, 9% of GDP in 2022. The restrictive fiscal policy leads in 2022 to a decline of more than 5 points in the purchasing power of disposable income of American households, which explains the negative growth in the United States in the first and second quarters 2022.

The ECB…