The key to understanding the series of supply shocks that have hit inflation is the nature of the COVID-19 recession. …

below the ECB’s inflation target. Therefore, a readjustment of the infl ation target seems unjustified. Furthermore, as the … ECB can expect inflation to return to its target, it possibly can accelerate tapering its unconventional monetary policy …

This paper studies the recent trends in inflation in the euro area and estimates to what extent the current … inflationary pressures are driven by demand expansion and by supply side disruptions. First of all, consumer price inflation is … consumer prices, accounting for almost three-quarters of total headline inflation. The fact that price pressure comes mainly …