In order to achieve its primary objective - maintaining price stability - the Eurosystem uses a set of monetary policy instruments and procedures, which form the operational framework to implement the single monetary policy.
Monopoly supplier of monetary... more
Price stability implies avoiding both prolonged inflation and deflation.
Inflation is a rise in the in the general price level of goods and services in an economy over a longer period of time resulting in a decline in the value of money and purchasing power. Deflation is a decrease in... more