Negative Rates and Exhausted Monetary Policy

The transcript discusses the challenges faced by the European Central Bank (ECB) with negative interest rates and the global financial pressures that indicate monetary policy is not working. It highlights the lack of inflation and the bond market's signals of no future consumer price rises. The need for fiscal policy intervention, especially by Germany, is emphasized as monetary policy reaches its limits. The central banks are in uncharted territory, struggling with policy implications and market changes, as quantitative easing seems ineffective.

What are the implications of the ECB's current monetary policy?

How does the bond market reflect consumer price expectations?

What fiscal actions could Germany take given its current borrowing situation?

In what ways has the behavior of central bank leaders changed recently?

What challenges are central bankers facing in the current economic climate?