Quote from: johnnycool on August 05, 2022, 01:01:07 PM
I'm no economist, but the current rise in inflation, is it not being driven by supply chain issues (Brexit/Russian Oil/Gas) and Corporate greed rather than too much spending and not enough demand?
Raising the interest rates will have a huge impact on those with mortgages and may already feel squeezed by the prices of everything else going up and could lead to a lot of defaulting!
I struggle to see how that is going to reduce inflation.
Supply chains are part of the issue.
Another big factor is QE:
https://www.bankofengland.co.uk/monetary-policy/quantitative-easing