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The past few months have been a painful crash course in inflation. As the prices of rent, gasoline, and other necessities soared in the first half of 2022, we were forced to become fast learners.
Economists have several general explanations for inflation:
Sometimes this happens when increased competition for a limited number of homes, cars, and other necessities causes their prices to rise. Demand-pull inflation.
This sometimes happens when the price of a good or service, such as natural gas, rises significantly due to higher production costs. Cost-push inflation.
Sometimes there is simply too much money in the economy.
But economists cannot yet this whether a particular bout of inflation could have been prevented and, most importantly, who or what was to blame.
On today’s show, we hear from an economist who says the federal government is responsible for the current inflation. We’ll also hear why Federal Reserve Chairman Jerome Powell has been so slow to respond to the threat of inflation.
music: “The thorny tragedy“”Original Squeeze,” and”fantasy“”.
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