But there is also another reason why I hesitate to use that term: it is often used as a synonym for the proposition that all the laws of economics have now supposedly been suspended. That is nonsense, of course. Technology changes, markets change, but economic laws do not.
And, even in this brave new world, the rate of inflation will go up if monetary policy is overly expansionary. Whatever one may make of the “new economy” - one thing is certain: the euro has enhanced Europe’s potential for growth.