However, monetary policy and economic success are interdependent: price stability is a necessary condition, although not a guarantee, for sound economic development. Simultaneously, the real economy together with political developments determines the preconditions for successful monetary policy. As Schumpeter understood, if the economic and political fundamentals are weak, that will be felt in the monetary developments as well.
The interaction of real and monetary factors brings me to the following point: Central bankers are often labelled as either hawks or doves. I don’t see this as a very useful classification. It is almost a caricature of one-eyed dogmatism, not fitting to any serious central banker that I know of.