Inflation in the time of a Global Pandemic

The Yahoo finance article, “Inflation May Be About to Pick Up Sharply,” the author discusses inflation during the time of the COVID-19 global pandemic. As things start to open up again, there is a concern that inflation will start to pick up over the next few months. As discussed in the article, it is hard to predict inflation, as it can spike suddenly, but data shows that prices are starting to rise. Although, it is not solely due to the reopening of the country. As stated in the article, import prices in the United States are starting to rise, which in turn can lead to a higher inflation. As the article progresses, the author touches on the fact that many businesses have closed due to the COVID-19 pandemic. Due to this, there is less supply, and once demand starts to pick up, prices will rise. 

Overall, this article gives a good outlook on the financial situation that can come from the COVID-19 global pandemic. The inflation rate during this time seems to be picking up, but there are many aspects that affect the gradual rise. These include the rising prices of imports from the United States, as well as exports from China. Additionally, it is predicted that once a COVID-19 pandemic drops, demand will pick up. With less supply due to many closed businesses, it is possible that prices will spike sharply.

 

https://finance.yahoo.com/news/inflation-may-pick-sharply-060002710.html

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