Inflation and Economic Shifts: Lessons from the 70s

This chapter examines the intricate relationship between labor supply, consumer behavior, and inflation during the 1960s and 1970s, highlighting the impact of workforce diversification on economic trends. It discusses how geopolitical supply shocks and government responses shaped inflationary pressures, with reflections on contemporary parallels, especially post-COVID-19. Additionally, the chapter analyzes varying perspectives on inflation's causes, illustrating the complexity behind rising costs amidst different income experiences.