heterogeneity. On the one hand, the method uses information on real GDP, inflation, and the unemployment rate for each member state …

's inflation objectives lie below the average level of inflation and estimates of the real interest rate likely to prevail over the … economic activity and inflation more volatile and systematically falling short of desirable levels. Moreover, the frequency and … that inflation achieves its 2 percent objective and requires that policymakers aim at inflation near 3 percent when the ELB …