" or spikes have an affect on inflation
. The Chicago Fed has a new paper (.pdf) that says quite the contrary. For a quick perspective, here is a handy-dandy chart from the IMF
that tracks the correlation between the two:
H/T - Paul Krugman
Tuesday, April 12, 2011
Do Commidity Price Shocks Affect Inflation?
It is almost conventional wisdom that commodity (particularly oil now) "price shocks" or spikes have an affect on inflation. The Chicago Fed has a new paper (.pdf) that says quite the contrary. For a quick perspective, here is a handy-dandy chart from the IMF that tracks the correlation between the two:
H/T - Paul Krugman
" or spikes have an affect on inflation. The Chicago Fed has a new paper (.pdf) that says quite the contrary. For a quick perspective, here is a handy-dandy chart from the IMF that tracks the correlation between the two:H/T - Paul Krugman
