The European Central Bank's grand plan to purchase massively government bonds - around a trillion at the pace of 60 billion a month until September 2016- will certainly help prevent deflation. But Draghi's manoeuvre will not be enough - it needs to be accompanied by reforms and a realistic investment plan to revive the European economies. In the meantime, the euro has reached almost parity with the dollar, boosting exports especially in the southern economies.
It is a turning point.because it raises the issue of eurobonds and a common fiscal policy. The EU treaty explicitly says that the EU should have a political configuration by means of transfers of sovereignty of the single states.
Germany should take the initiative and if it does not, the other States should force it to do so or go ahead without it. The only problem is that national leaders are reluctant to adopt such decisions. This does not look good for the future: in a global economy, continents are competing, not single States, most of which are irrelevant without an integrated space. But for the time being, the European Central Bank is leading the recovery process in Europe, clashing with Germany's interests. .
P.S: The querelle between Greece and Germany has led, temporarily to a satisfactory outcome. Greece has obtained 7 more billion euros of loans but in turn will have to commit to reforms. The issue is which reforms: those of the Troika"s memorandum or Tsipras's electoral promises?