Monetary policy under EMU

This paper considers a number of issues connected with the implementation, of monetary policy in the Euro zone. These include: the techniques of monetary control; whether to adopt an explicit inflation target and, if so, for what index; the politics of decision-making within the Governing Council of the European System of Central Banks; the likelihood of there being conflicts of interest between the member countries of the euro Zone; the interaction of monetary and fiscal policy; and the role of the ESCB in maintaining financial stability.