-7efforts are CRA-eligible activities. 14 Our Community Advisory Council has urged more research on the effect of climate change on low- to moderate-income communities in order to help inform more effective responses. 15 Working with local communities, the Federal Reserve staff have highlighted the ways in which lower-income households and underserved areas tend to be particularly vulnerable to natural disasters.
Monetary policy, the setting of the level of interest rates by the ECB, has been directed at fulfilling its primary goal: maintaining price stability. This principle is crucial. Charging monetary policy with additional objectives, such as a direct responsibility for financial stability, would risk blurring responsibilities, increasing moral hazard and creating a trade-off where there is none.