Bruegel's Papadia Sees Central Bank Independence Threats

The video discusses the expanded roles of central banks during crises, focusing on the ECB. It highlights the shift from technical to political discretion and the resulting tensions. The need for adaptations in central banking, particularly regarding financial stability, is explored. The ECB's tapering plans and inflation projections are also covered, emphasizing the challenges in achieving the 2% inflation target.

What responsibilities did central banks take on during the crisis that went beyond their technical tasks?

How has the role of financial stability changed for central banks since the crisis?

What are the two main objectives of the Central Bank mentioned in the text?

What challenges do central banks face when balancing price stability and financial stability?

What is the projected timeline for inflation to reach close to 2% according to the Central Bank?