Explanation From The Rehn About The Euro Area Economy

European Central Bank (ECB) Board Member Olli Rehn received a statement regarding the Euro Area economy. Evaluating the effects of the coronavirus on the Eurozone economy, Rehn said, “In the medium term, the impact of the corona crisis will clearly be disinflation rather than inflation”. Olli Rehn from the European Central Bank evaluated the effects of the coronavirus epidemic on the Euro Area economy. "In the medium term, the effect of the corona crisis will clearly be disinflation rather than inflation," Rehn commented. "Besides, the danger of deflation has reappeared recently," Rehn said, speaking at the webinar. Underlining that the response of the ECB is "both proportionate and necessary", Rehn commented, "One of the lessons learned from the past crisis is to use the irresistible power of monetary policy to control panic in the financial market and prevent economic collapse." Finally, Rehn said, "We apply what we learned from the previous crisis."