My dear impertinents, dear impertinents,
“According to the first Eurostat estimates, the symbolic threshold of 10% inflation was reached in the euro area in September. Does this new record call for others? »
This was the topic of yesterday’s Ecorama show where we developed this topic and tried to respond to it. Has inflation peaked?
That’s the question, as the English say, and the English teachers in France!
In Normandy, the answer to this type of question is always the same.
Maybe yes, maybe no!
Not that I’m doing my simple Norman who doesn’t want to openly answer the question, the bottom line is that everything will depend on it!
Basically, what I explain again in this video is that in Europe, it is less true in the United States, most of the price increases and inflation contrast with the rise in energy and gas prices, but also with the fall of the euro related to the dollar.
Rate hikes will have a relatively limited impact on energy price increases, as prices will not bring more gas.
No, the question is whether we will set up a general price tag in Europe, for example, for private individuals but also for companies.
When governments freeze energy prices, we’re not far from peak inflation.
If European countries let companies die and do nothing, not only will we have more inflation, we will also have more unemployment. Lots of unemployment.
There will be no “stagflation” but outright “recessionary inflation”. recession and inflation. Terrible for the purchasing power of households.
In a normal world, where people have been consistent, where policymakers have not been suicidal, we should be near the peak of inflation because by now they should all understand quickly, even if we have to explain to them at length that it is going to lower inflation in Europe it is not necessary to increase tariffs as much as to decrease energy bill prices.
If those who are having trouble understanding today understand this and push through a fixed price for energy, then we will be close to the climax.
If they don’t want it, then we’re a long way from it and the worst is yet to come.
It’s already too late, but all is not lost.
“Insolentiae” means “impudence” in Latin.
To write to me email@example.com
To write to my wife firstname.lastname@example.org
You can also subscribe to my monthly newsletter “STRATEGIES” which will allow you to go further and in which I will share with you the concrete solutions you need to implement to prepare you for the next world. These solutions are articulated around the PEL approach – Heritage, Employment, Location. The idea is to share with you the tools and methods to build your personal and family resilience.
“To stifle peaceful revolutions, one makes violent revolutions inevitable” (JFK)
“This is a ‘presslib’ article, which means it may not be reproduced in whole or in part unless this paragraph is subsequently reproduced. Insolentiae.com is the site where Charles Sannat speaks daily, providing unabashed and uncompromising analysis of business news. Thanks for visiting my site. You can subscribe to the daily newsletter free of charge at www.insolentiae.com. »