Mario Draghi new European Central Bank President. From 1984 to 1990 he was Executive Director of the World Bank. In 1991, he became director general of the Italian Treasury, and held this office until 2001. During his time at the Treasury, he chaired the committee that revised Italian corporate and financial legislation and drafted the law that governs Italian financial markets. He is also a former board member of several banks and corporations (Eni, IRI,BNL and IMI).
Draghi was then vice chairman and managing director of Goldman Sachs International and a member of the firm-wide management committee (2002–2005). A controversy existed on his duties while employed at Goldman Sachs. Pascal Canfin (MEP) asserted Draghi was involved in swaps for European governments, namely Greece, trying to disguise their countries’ economic status. Draghi responded that the deals were “undertaken before my joining Goldman Sachs [and] I had nothing to do with” them, in the 2011 European Parliament nomination hearings.
ECB President Mario Draghi cuts the euro’s last lifeline … Anyone thinking that the arrival of Mario Draghi as president of the European Central Bank might herald a change in approach to the eurozone debt crisis would have been sadly disappointed by his first public appearance in the new role on Thursday. True enough, he did cut interest rates, but this was already part of a pre-written script and can be easily justified by what Mr Draghi referred to as “slow growth, heading towards mild recession”. No, and a thousand times no, he said to those calling on the ECB to stem the crisis with massive purchases of periphery-nation debt. The ECB’s function, he reiterated, was to focus exclusively on price stability, not to act as lender of last resort to governments. Already, he seems like a clone of his predecessor, Jean-Claude Trichet, who famously had only “one needle in his compass” – inflation. Regrettably, it was this very same anti-inflationary zeal that is likely to have sealed the eurozone’s fate in slipping into “mild recession.” … The idea of a “mild recession” is also a contradiction in terms; recessions are never mild. – UK Telegraph
Dominant Social Theme: The European Central Bank will do what it needs to do. It is an inflation fighter.
Free-Market Analysis: This is a big dominant social theme of the power elite – that central banks fight inflation. Central banks CREATE inflation by printing money from nothing. But the elite promotion is orchestrated to avoid that reality.
Over and over, you’ll see good, gray central bankers dressed in expensive suits stepping up to a bank of microphones to enunciate their concern over “inflation.” They don’t mean inflation, of course, which is monetary. They mean PRICE inflation. Meanwhile the printing presses churn behind them.