What factors contribute to the uncertainty about inflation returning to the medium-term target?
ECB Has 'Option to Act Decisively' on Inflation: Lagarde

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2.
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Explain the concept of gradualism and optionality in the context of monetary policy.
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3.
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How does the unique institutional setup of the euro area affect its monetary policy?
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What challenges arise from having multiple national fiscal policies within the euro area?
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What is the significance of flexibility in the process of normalizing monetary policy?
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