Despite the supposed end of quantitative easing in December 2018, future reinvestments mean the ECB will purchase at least another 180 billion euros of bonds in 2019.
To protect Italy from unjustified market pressure, the European Central Bank should stand ready to activate its OMT programme and provide unconditional liquidity support to the new Italian government.
The evasiveness and lack of substance of the ECB’s feedback to the European Parliament reveal room for improvement in the practice of central bank accountability.
Contrary to what Emmanuel Macron says, “magic money” exists in the form of quantitative easing and credit creation.
Switzerland is the first country which is holding a national referendum on money creation.