Does high inflation matter?
Economists and the public have very different views on the question
IT STARTED IN America, but the surge in inflation has spread to the rest of the rich world. Consumer prices across the OECD club of mostly rich countries are rising by 7.7%, year on year, the fastest pace of increase in at least three decades. In the Netherlands, inflation is nearing 10%, even higher than in America, while in Estonia it is over 15%. How forcefully should central banks respond to the inflationary surge? The answer depends on how much damage inflation is causing. And that depends on whom you ask.
This article appeared in the Finance & economics section of the print edition under the headline “A spectre returns”
Finance & economics April 23rd 2022
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