Employment as a Goal of Monetary Policy of the European Central Bank
9 Pages Posted: 5 Sep 2015
Date Written: September 5, 2015
The German Bundesbank has since the 1970s focussed its monetary policy on controlling the rate of inflation. The price stability-oriented course in monetary policy was enshrined in the Bundesbank Act and in the Treaty on the Functioning of the European Union (TFEU) as part of the third stage of the establishment of the European Monetary Union. It is argued that the goal of promoting of employment is compatible with the primary goal of price stability under Article 127 of the TFEU. The European Central Bank is bound by the EU Fundamental Rights Charter which foresees a right to engage in work in Article 15.
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