Monday, March 28, 2022

Shipping Costs the Driver of Inflation

Excerpt from a recent article in the IMF Blog (28 March 2022). 

"While the pass-through to inflation is less than that associated with fuel or food prices—which account for a larger share of consumer purchases—shipping costs are much more volatile. As a result, the contribution in the variation of inflation due to global shipping price changes is quantitatively similar to the variation generated by shocks to global oil and food prices."














Image credit - IMF Blog.
Note: My PhD dissertation is on pass-through to inflation. 


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