Inflation Scares in an Uncharted Recovery

The good news for policymakers is that long-term inflation expectations are well anchored, but economists still disagree about how enduring the upward pressure for prices will ultimately be.

Some have said government stimulus may push unemployment rates low enough to boost wages and overheat economies, possibly de-anchoring expectations and resulting in a self-fulfilling inflation spiral. Others estimate that pressures will ultimately be transitory as a one-time surge in spending fades.

Continued Strong Policy Action to Combat Uncertainty

As G20 leaders meet virtually this week, the global economy faces a critical juncture. Countries have started to climb back from the depths of the COVID-19 crisis. But the resurgence in infections in many economies shows just how difficult and uncertain this ascent will be.

Nigeria’s Double Whammy of Inflation and Unemployment Increases

Persistent rise in the general price of goods within an economy is acclaimed inflation. Increasing prices could signal consumption spending by economic agents within the economy, however persistent rise makes fixed income earners and fixed securities like bonds worse off.  A healthy level of inflation (1-3%) is acceptable to propel economic growth. If consumption spending […]

Unemployment in Today’s Recession Compared to the Global Financial Crisis

There has been much discussion in recent months about how workers who transitioned to working from home—and those who were deemed “essential”—are less affected by the layoffs and job losses brought on by lockdowns than are workers in “social” jobs that require closer human interaction, like restaurant workers.

COVID-19 Crushes Global Economy but Emerging Markets are in Bigger Troubles

By 2021, it is of high expectation that the world will return to normalcy, and economies around the world should recover from the adverse effect of coronavirus spread. However, emerging markets may continue to wallow in economic crisis as contemporary issues like weak GDP growth rate, unemployment rate, high debt profile, income inequalities, among others, remain in the picture, most of which have been worsened by the global pandemic effects.

Significant Relationship among the Components of a Misery Index: The Nigerian Scenario

The misery index is a measure of how miserable the citizens of a country can be at a particular period of time. It is measured by evaluating the addition of Inflation Rate, Unemployment Rate and Lending rate, minus Year-On-Year growth in GDP per Capita. This shows that the higher the misery index, the more the […]

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