However, these estimates suggest that there is little ground for arguing that monetary policy is powerless, or that central banks are now approaching the limits of what they can deliver. I would therefore caution against listening to the siren song of those who claim the opposite. We should never forget that inflation is ultimately a monetary phenomenon. This is no mere theoretical statement.
It is fair to say that the majority of the economic conditions we are experiencing today, like inflation, are different from those of the last financial crisis. But as I just noted, there are some similarities in the impacts on the labor force.