Director of the International Monetary Fund Christine Lagarde made it clear at a conference in Paris that the low inflation for some eurozone countries – is not the cause for bitter, because today we can see the risks of transition to the serious deflation. The famous news agency Bloomberg reports that according to Lagarde, the European Central Bank intense measures of stimulation seem to be appropriate and reasonable.
The famous economic activist is the follower of the view that the Federal Reserve must continue to adhere to the same course in monetary policy. Lagarde also said that she estimated perfectly the transparent of controller communications of the United States of America. At that time, the expert described a significant increase of stimulation in Japan as an extremely bold move.
It is worth to remember that recently an independent department of the IMF recognized that the direction of the fund had hurried over advices on fiscal consolidation, as the growth rate forecasts in the near future had been greatly exaggerated. After this error the IMF advices make many to think, is it worth to keep it?
Opinions of politicians regarding how to act in time of deceleration of the economy are more and more differ. The main thing – is to prevent chaos. Then deflation would be simply inevitable and Europe will have the severe recession. Perhaps the actions of the European Central Bank on the assets repurchase will bear fruit, but many people do not agree with that. If we cannot change the situation, it will result that the IMF and the ECB made another fatal mistake.