E Economics

10 Tweets That Suggest U.S. Inflation Shock Could Be More Than “Episodic”

13 October, 2021
Inflation Shock

I selected 10 tweets that confirm U.S. inflation shock was larger than expected and will be likely more than “episodic”. Yesterday, Atlanta Fed president Raphael Bostic said he and the Atlanta Fed believe that “episodic” better describes pandemic-induced price swings than “transitory.” By this, he means these price changes are tied specifically to the presence of the pandemic and will eventually unwind by themselves. He points out, though, that it is becoming increasingly clear that the intense and widespread supply chain disruptions that have animated price pressures will not be brief.