Policy Although continued vigilance is warranted, the inflation and employment data thus far appear to reflect a temporary misalignment of supply and demand that should fade over time as the demand surge normalizes, reopening is completed, and supply adapts to the post-pandemic new normal.
Consequently, in this context, the task of reinforcing the EMU can be seen as a part of a broader endeavour to strengthen Europe, not only in the financial but also in the economic and political sphere.