I will talk about the upside and downside scenarios later. In the first instance I will focus on the baseline scenario, while being mindful of the uncertainty surrounding it. Different countries have had different experiences with the pandemic (Graph 1; Graph 1.1 in the SMP).
But when you take on complicated major projects like monetary union, things don’t always work out at the first attempt – that’s something we’re probably not unfamiliar with in Germany. It is now all the more important to rectify the remaining construction defects. Then it will be possible to make monetary policy what it once was – a boring task.