The European central banks' security purchase was duly appreciated by Janet Yellen. The Chair of the Federal Reserve System prized the positive effect of the European actions. “With policy rates at or approaching zero, central banks of necessity turned to unconventional policy tools such as large-scale asset purchases,” said Yellen at the meeting organized by the Bank of France. The American official underlined how important it is to “support a recovery in domestic demand and, as a consequence, global economic growth.” The measures taken by the ECB contributed to the growth of the global economy, she added. The Fed provided support just in time, as the ECB's policy makers were split on the ground of the bond purchase's program offered by Mario Draghi. The main opponent and critic in this question is the Deutsche Bundesbank's president Jens Weidmann. During his speech in front of the European bankers, Janet Yellen drew special attention to the threat of deflation and to the necessity to do whatever it takes and help weaker economic regions. “Central banks need to be prepared to employ all available tools, including unconventional policies, to support economic growth and reach their inflation targets,” she said. Yellen stood for the tax reforms carried out in some European countries. She also believes that the governments should strengthen their finances in the periods of growth to be able to stimulate the economies during downturns.
