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The United States is facing the worst inflation in 40 years. What caused it?
The United States is facing the worst inflation in 40 years, which was not built in a day. There are many reasons for this situation, the most important one is its internal economic policy, and the so-called Russian-Ukrainian conflict is only the external cause of this problem, which has only been strengthened and catalyzed, making this problem more prominent.

First, the quantitative easing policy of the United States during the epidemic is the root cause.

? 1. The US government printed a lot of money, which pushed up domestic inflation.

At the beginning of the global COVID-19 outbreak in early 2020, Midland stopped raising interest rates to recover liquidity, and turned to QE on a large scale to issue US Treasury bonds. The American economic stimulus plan is divided into two stages. At each stage, Trump introduced QE 1.0, and Byatt popularized QE2.0 when he came to power. The second * * reached 4 trillion? Yuan. When the price of products does not increase, the money in the market doubles, which directly leads to the price increase of products. But this rise is a process of slow first and then fast. Of course, since March this year, the United States has repeatedly tried to curb inflation by raising interest rates, which is the reverse of the previous excessive water release.

? 2. The American government's direct payment policy has expanded domestic consumption desire.

In order to boost the domestic economy, the American government indulged a certain proportion of inflation for a long time after the outbreak, hoping to stimulate the domestic economy with relatively moderate inflation, so they adopted the way of giving money directly to the people. This kind of money can be obtained without labor, and the American people spend it comfortably, but their large consumption has further promoted the development of inflation.

? 3. This policy not only promotes the rise of domestic asset prices, but also intensifies the pricing expectation of global assets.

What's more, the money sent by the United States is not as good as staying in the United States, and a lot of it has flowed abroad, which has promoted the development of global inflation in different directions. At the same time, asset prices began to rise rapidly, such as the prices of oil, coal, natural gas and grain. The rise in the price of this underlying asset will represent a sharp rise in the price of the entire industrial chain. For example, since last year, oil prices have been at a high level. Later, it was transmitted to the transportation industry and the rise of logistics prices. Eventually, the price of the goods we buy will go up.

Second, the United States' trade policy centered on the game between China and the United States has raised the import price of goods.

Since Trump came to power, I have been fighting a trade war with China, and I have also substantially increased tariffs on our imported goods through negotiations, but this method is a measure that harms one thousand people and damages eight hundred. China is a factory in the world, and we negotiate with good quality and low price. Sanctions have increased the cost of import negotiations in the United States, led to an increase in the overall price of China products in the United States, and also pushed up inflation. Of course, they have also realized this problem, and in the latest tariff bill issued in March, the scope of goods imported from China has been greatly reduced.

Third, the Russian-Ukrainian war quickly raised global asset prices.

Since the Ukraine-Russia War, the whole world has been increasing risk aversion. At the same time, Russia and Ukraine are resource-rich countries because they are oil, grain and natural gas. Because of the war, the supply of resources will be insufficient during this period. Because of this concern, countries have increased their hoarding of various resources and paid a large amount of bills in a short period of time. Now hot money has taken the opportunity to speculate, pushing up the skyrocketing price. Now it has long been the same body of the global economy, and its influence is not only in Europe, but also in the United States on the other side of the ocean.

Finally, this inflation is not only the inflation rate in the United States, but also the inflation rate in the world. Although money is not as valuable as it used to be during the period of inflation, you should still look after your money bag, and what comes will come.