The European Central Bank has long managed to skirt uncomfortable questions about its implicit role in setting conditions for domestic policymaking within highly indebted member states. But with a new asset-purchasing tool, the underlying politics of this apparently technocratic approach will be easier to discern.
PRINCETON – This month marks an important anniversary. On July 26, 2012, the European Central Bank’s relatively new president, Mario Draghi, famously declared that, “the ECB is ready to do whatever it takes to preserve the euro. And believe me, it will be enough.” It was a brilliant (and apparently ad-libbed) move, furnishing Draghi with his well-deserved reputation as the savior of the euro.
PRINCETON – This month marks an important anniversary. On July 26, 2012, the European Central Bank’s relatively new president, Mario Draghi, famously declared that, “the ECB is ready to do whatever it takes to preserve the euro. And believe me, it will be enough.” It was a brilliant (and apparently ad-libbed) move, furnishing Draghi with his well-deserved reputation as the savior of the euro.