Editor's note: This article was originally published on March 13, 2019 by Menzie Chinn here.
Today, we are fortunate to present a guest contribution written by Ashoka Mody, Charles and Marie Visiting Professor in International Economic Policy, Woodrow Wilson School, Princeton University. Previously, he was Deputy Director in the International Monetary Fund's Research and European Departments.
It seems a puzzle why, at its March 7 meeting, the European Central Bank indulged in sedate tinkering despite the mounting risk of a damaging eurozone recession. The puzzle has a simple answer. The ECB has reached