Both, central bank independence as well as the primary objective of the European Central Bank’s monetary policy are enshrined in the Treaty of the Functioning of the European Union. See also https://www.ecb.europa.eu/ecb/orga/independence/html/index.en.html. 19. See Arnold et al. (2020), Bayoumi et al. (2014), or Tucker (2018). 20. For a discussion on the features of financial cycles, see Deutsche Bundesbank (2019). 21. See https://www.ecb.europa.eu/home/search/review/html/price-stability-objective.en.html. 22.
See Edge and Lliang (2020) for an analysis on the governance structure of macroprudential policy, including the role of central banks, in the context of decisions on the countercyclical capital buffer. 23. See Buch, Vogel and Weigert (2018) for a description of the policy cycle linking policy objectives, indicators, and policy evaluation.