29 For discussion surrounding drivers of core inflation in New Zealand, see Kirker (2010). 30 A number of core inflation measures are discussed in Ranchhod (2013).
However, this has brought substantial risks onto the Eurosystem’s balance sheet. I firmly believe that these risks must now be reduced and on no account increased. It is therefore high time for fiscal policymakers to decide what risks they are willing to take on, both in combating the crisis and going forward. That is not the responsibility of monetary policy.