Is inflation being driven by a wage-price spiral?
The return of high inflation has revived the economic trauma of the 1970s concerning wage-price spirals. To compare the current conditions of inflationary pressure, we summarise a working paper by the IMF that studies the impacts of wage-price spirals on inflation. We also highlight alternative sources of relevant economic data, including salary information, that offer timely insights into wage growth and the current macroeconomic climate.
Literature Review
11 Jul 2023