Who worries about inflation?
The Bank of England is supposed to worry about inflation but despite price rises being well above target it has so far done nothing about it.
This makes sense for two reasons, the first is that we all know that there is a surge in fuel and commodity prices and that will pass through the economic system quickly. The second is that of all the things that economists need to worry about, inflation isn’t in the top ten list.
Governments around the world have been throwing money at covid and its economic damage. Very cheap money has helped a great deal in that battle, increasing that cost now to snuff out a temporary price surge is ridiculous.
It is to be sincerely hoped that the Bank of England has learnt that lesson, maybe its remit needs widening, but now is not the time hit the brakes.
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