To limit the inflationary and interest rate impact, governments should be cutting unproductive spending to make space for the private sector’s AI splurge
One of the great hopes for artificial intelligence is that it will deliver the economic nirvana of huge productivity gains and help deflate price pressures over time.
That economic dream may occur in the longer term, but it is now unequivocal that for the foreseeable future AI is inflationary for a host of reasons.
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Thinktank Niesr says timid rate rise last week likely to make inflation more persistent feature of UK economy
The report comes at a critical juncture for the Federal Reserve as it considers its next move regarding interest rates.
Mortgage holders reeling from the blunt force of five interest rate hikes this year are questioning if there are other ways of controlling inflation. The answer is not simple.
The RBA's latest interest rate decision has ignited debate about the role of government spending in soaring inflation.
The US president’s demands for falling interest rates are going to be ignored when the Federal Reserve responds to last month’s hotter-than-expected inflation rate.
US Treasuries slumped, pushing yields sharply higher, after hotter-than-expected inflation data and comments from a key Federal Reserve official fueled bets that the central bank would need to deliver more aggressive interest rate hikes to cool inflation.
