Hanson discusses state of inflation

February 14, 2023 Wallet Hub

Jonathan Hanson, Wallet Hub: "The point of interest rate increases is to slow down the economy and thus cool demand. Pressure on prices thus falls. It’s effective for controlling the rate of inflation but does not come without some pain. I think the consensus is growing that inflation is largely a transitory phenomenon connected with disruptions in global supply chains. We seem to be coming out of that, though we need more time to pass to be sure."