How can the European Central Bank's (ECB) monetary policy be reconciled with the proportionality check that was required by the Federal Constitutional Court? In a new discussion paper, Prof. Volker Wieland and Prof. Lars Feld, chairman of the German Council of Economic Experts, propose that the ECB should develop transparent criteria in order to check the proportionality of its monetary policy decisions while it conducts its strategic review.
In doing so, monetary policy could be brought into accordance with the required proportionality check as the "Frankfurter Allgemeine Zeitung" writes.
Among other things, Feld and Wieland suggest to check monetary policy by using scientific rules, such as the Oprhanides Wieland rule.
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CEPR Discussion Paper 15320: "The German Federal Constitutional Court Ruling and the European Central Bank's Strategy"