Central Bank issues education pack for schools on price stability

The first education pack produced by the central banks in each country of the euro zone will be distributed to 50,000 secondary schools in 12 countries.

The pack, which contains an animated film, leaflets and a manual for teachers, explains how the European Central Bank works, the importance of price stability and the dangers of inflation and deflation.

Introducing the pack at the Central Bank yesterday Minister for Education Mary Hanafin said the economic education of students was vital to developing the future health of the country's economy. "Irrespective of what age you are or where you live, we are all consumers," she said.

There was a general comfort with a strong economy and most young people did not know anything other than a strong economy.

"But it is not too long ago that people in this country were paying back their mortgage at a rate of 17 or 18 per cent," she said.

Young people had to be made aware of the potentially destabilising impact of high inflation and its potential to erode confidence and willingness to invest.

"It is our job in Government to keep this strong economy," she said.

Central Bank governor John Hurley said he was delighted to have been involved in developing the pack.

"While setting monetary policy and ensuring price stability may not seem on the surface to be one of the most interesting of topics of young adults I can assure you that it has a significant impact on the lives of each and every one of the 300 million people of the euro area."

President of the Business Studies Teachers' Association of Ireland Caroline McHale said the pack would complement the business studies syllabus.