Jean-Claude Trichet: Monetary policy in challenging times Speech by Mr Jean-Claude Trichet, President of the European Central Bank, at the 2008 International Monetary Conference, Barcelona, 3 June 2008.
These had a positive impact on our macroeconomic preferences, including a clear drop in the long-term inflation trend and a decline in the volatility of inflation with a step-up in economic growth (Chart 4). The fluctuations around the trend are determined more by the severity of supply shocks and the nature of policy responses.