4 Eurosystem asset purchases in the context of money and public finances Eurosystem has performed net asset purchases under different programmes (APP, PEPP) for many years. Net asset purchases have been discontinued by now, but it is expected that all expiring bonds will be reinvested for undefined period of time. 1. What is/has been the desired impact of the purchases on public finances of euro area governments? 2. How the bond purchases would affect inflation in the light of fiscal theory of price level? 3. What other implications ECB asset purchases are expected to have? Is there any difference in between PEPP and APP? 4. What implications the bond purchases may have on the steady-state inflation rate of euro area? 5. What are the current market expectations regarding the ECB's activity (policy rate, modalities of asset purchases) beyond October 2021?1. When answering cite also at least three external sources (if possible, then academic articles). 4 Eurosystem asset purchases in the context of money and public finances Eurosystem has performed net asset purchases under different programmes (APP, PEPP) for many years. Net asset purchases have been discontinued by now, but it is expected that all expiring bonds will be reinvested for undefined period of time. 1. What is/has been the desired impact of the purchases on public finances of euro area governments? 2. How the bond purchases would affect inflation in the light of fiscal theory of price level? 3. What other implications ECB asset purchases are expected to have? Is there any difference in between PEPP and APP? 4. What implications the bond purchases may have on the steady-state inflation rate of euro area? 5. What are the current market expectations regarding the ECB's activity (policy rate, modalities of asset purchases) beyond October 2021?1. When answering cite also at least three external sources (if possible, then academic articles)