U.S. Nobel laureate warns Fed of ‘disgrace’ risks if it lets inflation grow unchecked

Par : Norbert| Key words : inflation, United States
French.china.org.cn| Updated on 21-09-2022

As consumer prices in the United States continue to reach highs not seen in decades, US economist Robert Shiller has warned that the Fed risks “disgrace” if the government loses control of inflation.

“If we see prolonged inflation now, it will be a disgrace to this country, and it will further diminish trust in institutions,” the Yale University Nobel laureate was quoted as saying by CNN on Monday.

In August, the US consumer price index rose 8.3% from the same month last year, the worst inflation in 40 years, according to the Bureau of Labor Statistics (BLS). .

Calling the inflation rate “a matter of confidence”, Shiller said prolonged inflation would be bad for the economy. “It’s bad for all of us, a loss of confidence.”

“If people think prices are going to keep rising at a rapid pace, they’re going to start demanding higher wages. harder to control,” he said as quoted by CNN.

<!–enpproperty 784312222022-09-21 12:30:19:0inflation,Etats-Unis10027176468ActualitéActualitéhttp://french.china.org.cn/foreign/txt/2022-09/21/content_78431222.htmnullNorbertAgence de presse XinhuaAlors que les prix à la consommation aux Etats-Unis continuent d’atteindre des sommets inégalés depuis des décennies, l’économiste américain Robert Shiller a averti que la Fed risquait la “disgrâce” si le gouvernement perdait le contrôle de l’inflation.1/enpproperty–>

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