The European Central Bank (ECB) has warned that the euro ​zone economy may already be on the "adverse" path outlined by policymaker Primoz Dolenc. This could lead to inflation becoming entrenched faster than anticipated in 2022 due to memories of rapid price rises. The ECB has outlined two adverse and severe scenarios, each of which would result in higher inflation and a larger impact on growth. These concerns are the ECB's main concern as they can make inflation self-reinforcing. Financial investors now expect between two and three ECB rate hikes this year. Dolence suggests that the ECB should not react to short-term price spikes but be prepared to act quickly if energy inflation spreads to other goods or wages.