Supply or Demand?

Joseph Stiglitz asks whether recent inflation is due to lack of supply or too much demand. If the answer is too much demand, raising interest rates is the right thing to do. If the real problem is supply disruptions, then this won’t help and will actually hurt. Spoiler alert: it’s supply disruptions.

The Pandemic and War — Not Government Spending — Caused Inflation, According to Nobel Prize Winner

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s