The wage-price spiral is just around the corner!

Ronald Stöferle discusses how the wage-price spiral could hit us by the end of this year. This and much more in the exciting interview between Ronald Stöferle and Elijah K. Johnson of Liberty and Finance.

The end of austerity

With the onset of the Corona crisis, austerity died alongside liberty. It was replaced by a strong state and limitless spending. Politicians naturally feel very comfortable in this role. After all, it shows the citizen that something is being done against the crisis. But how effective these measures are, or even what consequences they may have, is not mentioned.

 

The transition has come

For many years now we have been warning about inflation. The title of our Special Report on Inflation also fits people’s reactions. Too often, inflation has been written about as in Aesop’s fable. Now nobody believes in it any more, although it is right in front of you. The zeitgeist of not looking in the rear-view mirror as far as monetary policy is concerned also contributes to this. Combined with the fundamental structural changes we have often explained, this leads to the firm conviction that we will not only see higher consumer price inflation, but higher inflation in general. Moreover, this phenomenon will not be temporary. It is also in this light that we see the wage-price spiral that could hit us later this year. This should give inflation its next big boost.

 

Click here for the Video: