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Why Economic Wars Are Inflationary

The Breakdown

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The Economic War Is the Right Context to Understand Inflation

Inflation is everywhere, says Sultan. Central banks will not have any good options to slayh inflation. Food and energy prices are especially dangerous in a structurally tight labor market as workers demand higher wages. The best way to stabilize the capitalist system is to debase the currency. We've completed a decade of very little investment in oil, which killed the institutional practice of linking wage increases to the rate of inflation. And we're headed for stag flation, i e, an environment where inflation is persistent or not.

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