Andy Haldane, chief economist at the Bank of England (BoE), said on Friday that el high degree of uncertainty about inflation (in any direction) it’s understandable, as reported by Reuters.
Agrego Haldane that if economies recover as the vaccination program is implemented, the stimulus they are currently receiving from different policies could overstimulate the economy and with it, inflation.
“Disinflationary trends of reasonable probability could persist and indeed be amplified by the COVID crisis, posing risks of downward inflation,” the BoE official said. He explained that there are few, if any, historical precedents to help judge the economy’s response to this scale of shock and stimulus.
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
