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Articles on Inflation

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Internal strikes throughout the country might harm the economy at least as much as the announced sanctions (Tehran, 2017). Stella Morgana

If sanctions do not put a halt to Iran’s economy, workers will

As Iran struggles under another round of international sanctions, a widening social gap is putting President Hassan Rouhani’s government under pressure.
The financial system is awash with money, which is why interest rates have been so low for so long. (Shutterstock)

How banks have set a trap for the U.S. Fed by creating money

It’s been 10 years since the U.S. signed into law a scheme to print money, essentially, and save the financial sector amid the sub-prime mortgage meltdown. Did it work? And who’s truly benefitted?
You’re not imagining things. The quantities of packaged foods really are shrinking as food manufacturers try to avoid hiking prices. Shrinkflation however is beginning to irritate consumers who feel they’re being cheated. (Shutterstock)

Shrinkflation: When less is not more at the grocery store

Canadians are bargain-hunters when it comes to food, and so food manufacturers try to keep prices low. But does that mean they should engage in ‘shrinkflation?’
The RBA argues that it needs to balance financial stability risks against the need to stimulate the economy through lower interest rates. But this has left inflation running below its target range. DARREN ENGLAND/AAP

The RBA’s shift to worrying about financial stability could be hurting Australian wages

If the RBA continues to sacrifice its inflation target on the altar of financial stability risks, inflation expectations and our wages growth will continue to languish.
Empty grocery stores could be a sign of the future as grocery stores struggle to make profits and consumer preferences for more choice and services, including online shopping, evolve. Clark Young/Unsplash

The increasingly bleak outlook for Canadian grocery stores

Canada’s bricks-and-mortar grocery stores are in trouble due to stagnant food prices and changing consumer preferences. More grocery store closures are likely on the horizon.
There were interesting developments in the tit-for-tat tariff announcements between the US and China this week. Roman Pilipey/EPA/AAP

Vital Signs: the world economy can benefit from a vindicated Trump

Chinese President Xi Jinping spoke of plans to further open up the Chinese economy this week - and the world economy should hope US president Trump feels vindicated by this.
The economic credentials and plans of the two major parties are shaping up as a big election battleground. www.gotcredit.com

Politics podcast: Michael Keating on a Fair Share

Politics podcast: Michael Keating on a Fair Share The Conversation54.4 MB (download)
Keating told The Conversation that taxation revenue will need to rise by another 3 percentage points of GDP in the next three decades.

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