Inflation then (1979-85) and now (2020-23): Why it is easier to fight inflation today
Paul De Grauwe, Yuemei Ji The current period of inflation has been dominated by a positive demand shock and favourable initial conditions, such as low inflation expectations. This column argues that these two factors make the job of central banks today much easier than during the 1979-85 period. Provided no new disruptive shocks occur, the […]