Articles on Inflation

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Inflation has fallen sharply from its 2022 peak, but many Canadians are still feeling the effects of higher prices. THE CANADIAN PRESS/Ethan Cairns

Inflation is slowing, but the cost of living story is more complicated

Lower inflation does not mean prices will return to where they were before. Inflation measures the average change in prices over time, not which specific prices are rising or falling.
Federal Reserve Chair Kevin Warsh is pushing for a rethink on how inflation is measured to offer more clarity on the Fed’s policy. AP Photo/Mark Schiefelbein

Americans feel the sting of high prices every day, so why does the Fed need so many ways to measure inflation?

Fresh off a divided Fed vote to hold rates, policymakers confront a deeper question: Which of conflicting inflation gauges should guide them?
The World Uncertainty Index is a measure that tracks uncertainty across 143 nations by text mining the country-specific reports of the Economist Intelligence Unit. Skorzewiak/Shutterstock

Global uncertainty is the new normal. Here’s why institutional legitimacy and resilience is crucial

Geopolitical and economic uncertainty topped the G7 summit agenda. The world needs strong, inclusive international institutions more than ever.
As the cost of gas stays high due to Middle East tensions, it’s spilling over into U.S. consumer spending more broadly and creating a conundrum for the Federal Reserve. AP Photo/David Zalubowski

It’s not just high gas prices – inflation is now spreading through the US economy

A key challenge for the Federal Reserve is that higher gas prices are inflationary, but they also reduce households’ spending power and dampen growth.

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