2023-09-02
There’s no easy nor rapid way out of stagflation
Estonian GDP shrank by 2.9% YoY: about 40% of the value created by companies is intended for export, which since last year has lost competitiveness.
Tag: inflation
2023-08-26
Election big spending is only a victory for inflation
Poland raises spending on defence, health, social benefits, and public-sector pay: all money supply that sets an exchange of nothing for something.
2023-08-08
The cost of living crisis is here to stay
While most of consumers expect prices to stay high, Polish inflation is set to receive a boost with a 60% increase in child benefit payments (+0.8% GDP).
2023-07-29
Hope dies last: core inflation is more persistent than ever
Latvia’s inflation projections are revised downwards. But the wage-price spiral is not taken into consideration: in Q1 wages already edged up by 12%.
2023-07-08
The real slump to beware it’s the money value
The purchasing power of wages has not yet returned to where it was, their paid-out exceeded 10% throughout the first five months of the year.
2023-07-01
Risks grow in line with wages and expansionary fiscal policy
In Poland real interests are negative, and core inflation is still at the highest levels. Industrial output (-3.2%), construction (-0.7%), and retail sales (-6.8%) are all falling.
2023-06-24
Despite rosy optimism, uncertainty is the queen
Pressure on current expenditures in social, healthcare, and defence will only mount over time. Business expectations are indeed pessimistic.
2023-06-20
The more inflation, the less competitiveness
The tight labour market increases the risk that inflation will remain higher and growth lower, and the rising borrowing costs will weigh on investment outlooks.
2023-06-17
Public money only makes inflation more persistent
Despite Poland’s core inflation picture being the least favourable in the region, the government released a plan to increase permanent spending.
2023-05-23
Low competitiveness is the price for a persistent core inflation
In Estonia, the price of electricity in April was 29% higher than the previous month. While GDP is expected to decline by 1.2% this year.