Consumer prices soared in October 2021 and are now up 6.2 percent from a year earlier — higher than most economists' estimates and the fastest increase in more than three decades. At this point, that may be no surprise to most Americans, who are seeing higher prices while shopping for shoes and steaks, dining at restaurants and pumping fuel in their cars.
The Federal Reserve, which would be responsible for fighting inflation if it stays too high for too long, insisted again on Nov. 3, 2021, that it'll be temporary, in large part because it's tied to the supply chain mess bedeviling economies, companies and consumers.
Not everyone agrees — including some within the Fed itself — and there's been a growing chorus of economists, strategists and business executives sounding the alarm that high inflation will likely be with us well into 2022 and beyond.
I study supply chains and their impact. It's true that prices are surging largely because of the severe shortages of both goods and labor in supply chains, but based on my research, that doesn't mean it'll be temporary. Rather, it suggests that inflation is here to stay.