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its cf. panetta ( 2016 ). low ( or negative ) inflation rates were more common between the end of the 19th century and world war ii. but things were different then : the gold standard limited the money supply and full employment and growth did not influence the decisions of the monetary authorities ( bordo and schwartz, 1999 ). cf. visco ( 2016 ) and bank for international settlements ( 2015 ). cf. casiraghi, gaiotti, rodano and secchi ( 2016 ). the pspp, launched in march 2015, provided for the purchase on the secondary market of public sector securities with remaining maturities of between 1 and 30 years. purchases are limited to an issue share of 33 per cent, mainly so as not to influence market prices. estimates were based on inflation option prices ; see cecchetti, natoli and sigalotti ( 2015 ). estimates were calculated using the model proposed by burlon, gerali, notarpietro and pisani ( 2015 ). cf. draghi ( 2018 ). asset purchases until september 2018, reducing the monthly pace from €60 billion to €30 billion, and strengthen its forward guidance at the same time. 12 inflation and growth signals are encouraging, but the objective has not yet been reached. it is crucial, therefore, to analyse the causes of low - flation. the fundamental question is to what extent low inflation is a structural rather than a cyclical phenomenon. the answer to this question has implications both for managing monetary policy in the short term and for deciding on central banks ’ strategies and tools for the next few years. 3. the causes of low - flation among the root causes of low - flation, experts often cite the structural changes that have taken place in recent decades, first and foremost the globalization and technological progress that are transforming production processes worldwide. 13 globalization – and with it the entrance of several emerging countries, notably eastern european countries and china, on the world trade stage – has fostered the delocalized production of goods and services, making inflation in the advanced countries less sensitive to domestic economic conditions, especially in the labour market. in the advanced economies this has caused production costs in a number of traditional sectors to fall, converging towards those of the emerging countries. 14 the second factor, i. e. the spread of new technologies, can directly curb inflation by raising productivity or by exerting downward pressure on wages and by reducing or eliminating certain low