Why does inflation in one country or continent affect the others. Why does it seem like the whole world is experiencing a global economic downturn all at once despite having different economies, different policies, different politics? Here's what I mean from these news headline
- Major fears are sweeping into Israels economy
- Stubborn inflation will remain at a very high level, German central bank president says
- Saudi Arabia drops $5 billion in Turkeys central bank to help its struggling economy
- U.S. inflation is likely far stickier and could last a decade, Bill Smead says
- Inflation resurges to 21.82 % over rising food prices
- Sky-high prices burn Indians pockets, drag savings to 30-year low amid K-shaped recovery
- Major fears are sweeping into Israels economy
- Stubborn inflation will remain at a very high level, German central bank president says
- Saudi Arabia drops $5 billion in Turkeys central bank to help its struggling economy
- U.S. inflation is likely far stickier and could last a decade, Bill Smead says
- Inflation resurges to 21.82 % over rising food prices
- Sky-high prices burn Indians pockets, drag savings to 30-year low amid K-shaped recovery
Mostly due to Russo-Ukrainian war I guess. Germany has issues due to increasing energy prices, US has issues because it's spending billions on military support of Ukraine. Turkey's economy was ruined even before the pandemic started. Can't comment on Israel and India I have no idea what's going on there.
Inflation is also a part of the world economy, and it has been repeated many times in the past and will continue to happen in the future. I believe that if there is no pandemic, no inflation war, inflation will still happen. Pandemics and wars are just catalysts for inflation to come faster and hit harder. Today's world is an interconnected chain that needs to rely on each other to coexist and develop, so if supply and demand are disrupted, it will cause chaos throughout the chain. Inflation is inevitable, we need to be better prepared for the next inflationary period.