[bubbleRefuge]

I think Hyperinflation fears are ingrained into EU policymakers DNA. They are so afraid to create demand in the macro economy via deficit spending because of the legacy of the Weimar Republic and what it led to. Looking at the WR case, they had to pay war reparations in hard currency not fiat. Because of this, you have Germany pushing for very dovish fiscal policy limits on Greece and the PIGS. And to make things worse, monetary policy, doesn't work even with negative interest rates.