2022-05-21
It’s citizens who pay market distortions and inflation policies
In Poland, second-round effects thrive in an environment of expansionary fiscal policy, buoyant wages growth, and consumption boom.
Tag: manufacturing
2022-05-14
Lithuania set to strengthen capital markets and attract more FDI
In March the deficit in the CAB was up by 2.6 times due to an increase in the foreign trade deficit. The annual inflation growth rate stands at 15.6%.
2022-04-30
Stagflation is the price of superseding efficiency with political agenda
In Latvia, inflation projections for 2022 and 2023 have been revised upwards. The uptrend in prices is driven by several factors, mainly political.
2022-04-16
Appreciation is not enough in the fight against inflation
The Bank of Poland takes its main rate to 4.5%, projecting 6.5% this year and 7.5% in 2023. Meanwhile, companies are passing higher costs on to CPI.
2022-04-02
Fighting fire with fire… it’s consumers who get burnt
The conflict in Ukraine has created another excuse to blame inflation on oil and natural gas, rather than the increase in the money supply.
2022-03-26
Simple focus on consumption propels air in GDP bubble
Household consumption will keep sustaining the Polish economic growth o\in 2022, and high producer prices will be passed on to final consumers.
2022-02-12
Polish hawkish rhetoric sees hope in a stronger złoty
GDP and consumption booms continue, but price-wage spiral too, as consequence of expansionary economic policy in recent years.
2022-01-29
e-Estonia: innovation can free us from the wage-price spiral
The example of Estonia suggests that the focus on an efficient allocation of resources works more effectively than a stimulus of demand.
2022-01-15
Too little too late in raising interest rates now?
NBP action lags behind other CEE central banks, while authorities pretend the elevated CPI to be a result of external supply shocks.
2022-01-08
Polish focus is on wages and demand, not production
The risk of wage-price spirals is increasing in front of labour shortages, commodity prices, and the tax changes introduced in the new “Polish Deal”.