This podcast investigates the ongoing battle against inflation. It explores the causes of inflation, including the impact of the COVID-19 pandemic and the war in Ukraine, and examines the tools used by central banks to combat it, primarily interest rate hikes. Experts discuss the effectiveness of these measures, highlighting the significant lag time between intervention and impact (12-18 months), and the complexities of managing inflation in a globalized economy. The podcast concludes that while the immediate crisis has lessened, long-term structural factors like demographics and labor market dynamics pose ongoing challenges. For example, the podcast notes that a shortage of workers is driving up wages and contributing to persistent inflation.
