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Q: Some economists suggest that inflation could be persistently higher after the pandemic. What are your thoughts on this? Are you concerned about El Salvador adopting bitcoin?
A: The point that these economist make has a lot to do with the degree of stimulus rolled out to tackle the pandemic and that there might be overheating because of that. I think that the US and EZ economic situations are very different. Although there will be some spillovers as a result of the Biden plan, but of too small a magnitude to make much of a difference.
I am not familiar with the situation in El Salvador
Q: Was there some divergence with respect to the balance of risks? Did any GC member feel that the risks are tilted to the upside or downside?
A: We did debate whether it was right to move towards a more balanced assessment. There was general consensus around that.
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