However, given that fiscal policy is determined in the political situation at the time, and since the growth expectation has been declining and the private sector’s risk-taking capability has been impaired, multiplier effects of public investment and tax cuts have also been constrained.
I might add that, whereas it is quite usual for ministers sometimes to voice their views on monetary policy, it is more important that the central bank focuses fully on carrying out its mandate of maintaining price stability. This is what the ECB has done, and you may be sure that it will continue to do so. 3  BIS Review 49/1999