Inflation in the US During Covid-19 Crisis: Cause, Current Status, and Moving Forward
- 10.2991/assehr.k.211209.384How to use a DOI?
- Inflation; Covid-19; the US; Interest rates; global supply chain
This paper makes a through-out interpretation of the inflation hikes witnessed in the United States during the Covid-19 pandemic crisis. This paper incorporated economic theories and data in explaining the economic phenomenon during the pandemic crisis and predicting the future trend of inflation. The analysis of the cause of the inflation included the relationship of inflation with the domestic demand and the world supply. An interpretation of the current moves made by the central bank and the government, including the repo rate and the government messages, is provided. The examination indicates that changes in the repo rate might have been effective in contracting the creation of new loans, but the effectiveness of the government talks remained ungrounded. This paper also highlights the pros and cons of the current inflation level throughout this paper. The prediction of the future trend of inflation acknowledges various possibilities, including the recovery of the global supply, the change in foreign trade policies, and the opinion of the market. As the situation of the Covid crisis is still evolving, I can hardly make a precise call on the future trend but analyze and acknowledge all the possible scenarios listed, but the analysis may provide a comprehensive and critical assessment of the current inflation in the US and may reveal the critical conditions on which the future trend of inflation depends.
- © 2021 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Chenyu Li PY - 2021 DA - 2021/12/15 TI - Inflation in the US During Covid-19 Crisis: Cause, Current Status, and Moving Forward BT - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021) PB - Atlantis Press SP - 2346 EP - 2354 SN - 2352-5428 UR - https://doi.org/10.2991/assehr.k.211209.384 DO - 10.2991/assehr.k.211209.384 ID - Li2021 ER -