FRANKFURT—European governments should be allowed to spend more when inflation is below the European Central Bank’s 2 percent inflation goal and vice versa, the ECB’s chief economist Philip Lane said on Friday. European Union governments are debating how to reform the EU’s fiscal rules to deal with a pandemic-induced surge in public debt and with the huge investment in fighting climate change. Lane backed proposals to give governments more time to reduce their debt piles and said the new fiscal rules should also reflect the ECB’s 2 percent inflation goal, which had proven elusive for a decade before a sudden spike this autumn. “Fiscal policy would be looser when inflation is running below the two percent target but tighter when inflation is running above target,” Lane told a European Commission seminar. Euro zone inflation hit 4.1 percent in October and economists see it above the ECB’s target next year as …