Can the ECB solve climate change and inflation on its own?

The European Central Bank (ECB), through its monetary policy, has shaped the response to the Covid-19 pandemic - and, with it, the current state of the economy - more than any other EU institution.

Essentially endless amounts of cheap cash under its pandemic emergency purchase programme (PEPP) and negative interest loans to commercial banks (the targeted longer-term refinancing operations, or TLTROs) prevented a financial crisis during the outbreak.

The current economic outlook ...