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Please help explain this.?

According to the European Central bank website, the treaty establishing the European Union” makes clear that ensuring price stability is the most important contribution that monetary policy can make to achieve a favorable economic environment and a high level of employment” If price stability is the only goal of monetary policy, explain how monetary policy would be conducted during recessions. Analyze both the case of a recession that is the result of a demand shock and the case of a recession that is the result of a supply shock.

I think it’s basically saying that you need price stability to prevent inflation and such. The questions are asking to explain how the price stability would change during a recession and to analyze two different types of recessions. Hope I helped!

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