DETAILS: An official report this week showed the inflation rate fell to 0.7 percent in September from 1.1 percent the month before. The ECB's stated goal is for inflation of close to but below 2 percent.
THE PROBLEM: The drop in inflation shows people aren't able or willing to risk spending or borrowing. Sellers can't raise prices as much. But the ECB has already used up most of its traditional medicine: lower interest rates. Its benchmark rate is at a slim 0.5 percent.