Lower public debt would also make it possible to reduce the distortions caused by a high tax burden and to boost investment in human and physical capital. These reflections on the normalization of monetary policy remind us that a prudent budgetary policy is in Italy’s interests, regardless of the indications provided by the international institutions.
Meanwhile, with the releases of weak economic indicators, long-term government bond yields have fluctuated in a historically low range and stock prices have been declining since the end of March. BIS Review 32/1998  -2-  With respect to monetary aggregates, the growth in money stock continued to be rather high in February due to the substantial shift of funds away from investment trusts.