Hello ! I am currently trying to learn something new at Anadolu University. I work on #EconPolicy, #Innovation and #Software. Here I will share some of my searches with those who are interested. 😀
If the current inflation is not based on a wage-price spiral, and interest rate hikes normally reduce inflation by weakening economic activity to reduce labor bargaining power ...
... how are interest rate hikes going to stop inflation that is caused by companies realizing they can hike prices to obtain fatter margins?