The world skirted a wage-price spiral, though "last mile" risks remain -research hellenicshippingnews.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from hellenicshippingnews.com Daily Mail and Mail on Sunday newspapers.
New York Times economist Paul Krugman appears to have finally admitted defeat on the issue of inflation, adding another notch to his belt of being consistently wrong on economic issues.
For the U.S. in particular, increased productivity and the drop in inflation so far "might even require no increase in unemployment" for a return to the Federal Reserve's 2% target, former Federal Reserve Chairman Ben Bernanke and former International Monetary Fund Chief Economist Olivier Blanchard wrote in a new paper published Thursday by the Peterson Institute for International Economics, where Blanchard serves as a senior fellow. For other countries whose job markets are adjusting in different ways than the U.S., "navigating the last mile (of inflation control) may require accepting an increase in unemployment, at least for some time."
The World Skirted a Wage-Price Spiral, Though 'Last Mile' Risks Remain -Research usnews.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from usnews.com Daily Mail and Mail on Sunday newspapers.
WASHINGTON: Developed economies have so far skirted a damaging wage price spiral from the breakout of inflation that followed the pandemic, two top economists have concluded, with a relatively painless landing from the episode possible in some countries but not yet assured. For the US in particular, increa