With its
two-pillar strategy, the European Central Bank has by no means slavishly followed monetarist dogma; rather, it has subjected the growth of the various monetary aggregates and their counterparts to careful analysis, and this has influenced its decision-making.
In de Haan et al.'s view it would be better if the
two-pillar strategy of the ECB were replaced by explicit inflation targeting.
'Our sharpened client-focused,
two-pillar strategy introduced in mid-2008 is paying off.
The ECB describe this as a
two-pillar strategy, and we may characterise the rule as:
Miko follows a "
two-pillar strategy" in which its core activities--coffee service and plastic packaging--are practically independent entities each with its own management, so that each activity can follow its own growth path.
With this in mind, the result does not contradict the
two-pillar strategy.
The Deutsche Sachver-standigenbeirat repeatedly criticized the
two-pillar strategy in its annual Report 2000/2001.
The robust and cross-checking assessment of information that characterises our
two-pillar strategy has provided the Governing Council with the analytical support most suitable for the conduct of monetary policy in the complex and dynamic euro area environment.
The most pertinent criticism of the
two-pillar strategy is that it lacks transparency.
And, drawing in part on its monetary analysis, the ECB's conduct of monetary policy on the basis of its
two-pillar strategy over the first almost seven and a half years of monetary union has achieved very satisfactory results in maintaining price stability.
