New Economy Short Cut with Eric Monnet

The role of central banks has expanded massively. Since the global financial crisis of 2008, the ECB and its counterparts have pursued policies that go well beyond conventional price stability, acting as a guarantor of macroeconomic and financial stability in the event of crises.

What do the resulting power and the distributional consequences of monetary policy decisions mean for the democratic legitimacy of central banks?

The economic historian Eric Monnet calls for an updated institutional framework to preserve the legitimacy of central bank independence and put central bankers at the service of greater, more democratic ends. We invited him to discuss all of this, as well as his proposal for the creation of a European Credit Council.