GRACELIN BASKARAN: This is why the Fed’s biggest rate hike in 28 years is problematic
Climate change was driving up inflation before the Russian invasion of Ukraine took place
The word “inflation” is becoming as ubiquitous as “Russia”, “Ukraine”, “energy” and “Covid-19” in newspaper headlines. But what if the worst — an exogenous, one-way-to-hell trajectory — is yet to come?
In an effort to combat this possibility, central banks are acting decisively. Last week the US Federal Reserve raised its benchmark interest rate by 75 basis points (bps), marking its biggest rate hike in 28 years...