We are living in troubled times. Some might stay that times are always hectic and the only thing that changes is the cause of the turbulence. For example the Covid-19 pandemic, with its direct consequences and the changes in habits that it has caused. In addition, the Russian invasion of Ukraine and the Israel-Hamas war, which have affected energy markets and various production chains, and increased geopolitical tensions in various parts of the globe.
We have seen rising inflation around the world. While the reaction of monetary authorities worldwide has been swift, several questions remain unanswered. How long will we have contractionary monetary policies? How well will countries withstand this scenario? Will this have consequences for financial stability? These are questions that are being raised everywhere on a daily basis.
