See also Feiveson and others (2020) for a discussion of distributional considerations and monetary policy. 26 Italics added for emphasis. 25  - 14 and, potentially, on available policy space.
The forceful fiscal policy response to the pandemic by euro area governments acted as a first line of defence: introducing discretionary support measures and letting automatic stabilisers act as intended was absolutely necessary. However, this response raises fragmentation issues and will significantly increase public debt. The size of national responses and the design of guarantees differ across countries.