I should like to mention here that ECB staff is doing substantial research and statistical work in this area. Indeed, the euro has acted as a catalyst for financial integration. The degree of integration distinctly differs between the market segments, with integration being more advanced the closer the market segment is to the single monetary policy.
Clearly, the situation was not sustainable. Changes were urgently needed. The first major change came in 1991, when the Bank and the Government of Canada agreed on a series of explicit inflation-reduction targets.