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ECB Likely at Fault for Uncontrolled Inflation in Euro Area

Started by Epoch-Times-Bot, Nov 18, 2022, 04:45 AM

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Epoch-Times-Bot

Nov 18, 2022, 04:45 AM
ECB Likely at Fault for Uncontrolled Inflation in Euro Area

Commentary
While the U.S. year-on-year inflation is declining, inflation in the Eurozone is still not under control. Why is that so?
The global market exhibited a strong rebound after the release of U.S. CPI (Consumer Price Index) inflation data. The ease of inflation was well expected months ago; our column articles in June projected inflation to peak in the third quarter and slowly ease afterward. The rationale behind such accurate projection is no magic at all: It employs merely the time lag between money and prices. Knowing year-on-year money growth leads to year-on-year price growth by about four to five quarters, and knowing M2 money growth peaked in early 2021, it was not difficult to project correctly....

Source: ECB Likely at Fault for Uncontrolled Inflation in Euro Area

xenzol

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Aug 16, 2024, 10:34 AM
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