Inflation is back. After decades of such docility that some declared it dead for good, prices are up everywhere, crushing consumers and ruining politicians’ days (good luck getting anyone to vote for you when their cost of living spirals upward).
The reasons for its return are many. Covid put the global economic brakes on and smashed complex world-spanning supply chains that kept goods cheap. They’ve yet to be put together and, indeed, probably won’t return in their pre-virus forms. Many, inured to globalization, wondered as they stared out of their locked-down windows whether the process had gone too far. Perhaps dependency on others for, say, critical medicine, had its drawbacks. Perhaps paying a little more for domestic capacity made more sense. And if that’s true for medicine, what about other essentials? Well, you get the picture.