High Public Debts and Low Interest Rates - Stanley Fischer

The last financial crisis has left a legacy of low interest rates but also of higher public debts in several countries. Low interest rates create room to use expansionary fiscal policies to lift aggregate and demand and expand public investment, but high public debts and ageing populations push in the opposite direction. In this new environment, should fiscal rules in the Eurozone be reconsidered, and how? Is there a need for greater coordination between fiscal and monetary policy, and if so should the Maastricht rules preventing debt monetization be relaxed? For how long can Italy keep procrastinating debt stabilization without triggering a financial crisis? Subscribe to our channel ➤ https://www.youtube.com/channel/UCdZISa8UNFbwhazbYy_uWvQ?sub_confirmation=1 Watch the playlists below: Executive Chats ➤ http://bit.ly/331f6e4 Bocconi Knowledge ➤ http://bit.ly/2C03Oux Follow our social media accounts: LinkedIn ➤ https://linkedin.com/school/universita-bocconi/ Facebook ➤ https://facebook.com/unibocconi Twitter ➤ https://twitter.com/Unibocconi Instagram ➤ https://instagram.com/unibocconi/ #Bocconi​ #BocconiUniversity​ #UniBocconi