The euro area monetary policy is working against strong headwinds of high (and in some cases rising) unemployment, increasing security threats, absence of a unifying leadership and the public's souring mood about the viability of the European economic and monetary union (a.k.a., the "European project").
All these are direct sequels of devastating austerity policies. And to make things worse, those who imposed these policies are now brutally attacking the ECB for low (nominal) interest rates on saving deposits and insurance policies as the bank struggles to keep the euro area economy afloat.
True to form, these ECB critics had no second thoughts about what they were doing to their fellow Europeans waiting, homeless, cold and hungry on long soup kitchen lines and in makeshift charity shelters. And neither would they spare a thought for those currently living on subsistence wages (e.g., Spanish "mileuristas"), and for more than half of desperate jobless youths in several euro area countries. Some of these poor and alienated young people have become radicalized killers.
But the selfish cynics criticizing the ECB are undeterred. They continue to brainwash people that the ECB's supportive credit policies are ineffective, and that they should be stopped immediately to let interest rates increase on saving deposits and insurance premiums.
Growing consumer and business loans
Ineffective ECB policies? How does that square with the near doubling of the euro area growth last year to 1.6 percent? Could that be a windfall from fiscal austerity the ECB critics keep pushing?