This is because the representation of monetary policy as focusing on a short policy horizon and with little regard for broader financial cycles does not do justice to the strategies that many central banks follow today, and certainly not to the strategy of the ECB. In fact, our monetary policy framework is more flexible than the aforementioned scenario of a rigid inflation-targeter suggests.
In doing so, he had to cope with a lack of understanding by important sectors of public opinion. With its balanced and determined decisions to define the Outright Monetary Transactions mechanism and to provide conditional financing to the Greek banking system, the ECB effectively saved the euro. With its bold unconventional policies, the ECB effectively prevented the euro area from sliding into deflation.