Richard Murphy

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Critics slam central banks for raising rates over Gulf war inflation●The madness of raising # interest rates to tackle # inflation caused by the war in the Gulf continues worldwide. # CentrMmastodon Business Economy21 d ago
Commentators are attacking central banks worldwide for continuing to raise interest rates in response to inflation driven by the Gulf war. Critics, including economist Richard Murphy via the Tax Research blog, argue the policy is irrational because rate hikes cannot address a supply-side price shock caused by conflict, and instead deepen economic pain. The debate frames central bankers as persisting with a misguided playbook despite the different origins of this inflation.