https://www.bloomberg.com/news/articles/2021-05-21/bundesbank-sees-temporary-german-inflation-surge-toward-4
May 21 article.
German inflation could climb as high as 4% this year, according to the Bundesbank, a rate not seen since the euro was introduced more than two decades ago.
6 days ago.
BERLIN, June 2 (Reuters) - Germany is monitoring a recent rise in inflation closely but the government shares the assessment of central banks that the jump in consumer prices is largely driven by temporary factors, Finance Minister Olaf Scholz told Reuters on Wednesday.
Asked if the jump in inflation and the European Central Bank's ultra-loose monetary policy could become a problem for Germany, Scholz said: "We're always looking closely at this. But so far, there is much to suggest that the assessment of the central banks is correct."
https://www.reuters.com/article/germany-scholz-inflation-idUSL5N2NK47M
Today dissenting view of the term " temporary "
June 7th.
https://www.coindesk.com/deutsche-bank-inflation-macro-decade
Deutsche Bank, Germany’s largest lender, says the U.S. might be headed for one of its worst inflationary periods in history, arguing that elevated government spending and loose monetary policy could combine to create conditions similar to prior episodes in the 1940s and 1970s.
Adding to the pressures are some $2 trillion of “excess savings” that consumers have amassed over the past year, when many businesses were closed and travel mostly shut down, according to the report published Monday.
“Consumers will surely spend at least some of their savings as economies reopen,” wrote Deutsche Bank Chief Economist David Folkerts-Landau along with Peter Hooper, global head of economic research, and Jim Reid, head of thematic research.. “This raises the very real specter of consumer-driven inflation
USA Main Stream media outlet CNBC.
https://www.cnbc.com/2021/06/07/deutsche-bank-warns-of-global-time-bomb-coming-due-to-rising-inflation.html
Inflation may look like a problem that will go away, but is more likely to persist and lead to a crisis in the years ahead, according to a warning from Deutsche Bank economists.
In a forecast that is well outside the consensus from policymakers and Wall Street, Deutsche issued a dire warning that focusing on stimulus while dismissing inflation fears will prove to be a mistake if not in the near term then in 2023 and beyond.
The analysis especially points the finger at the Federal Reserve and its new framework in which it will tolerate higher inflation for the sake of a full and inclusive recovery. The firm contends that the Fed's intention not to tighten policy until inflation shows a sustained rise will have dire impacts.
Especially in emerging markets.
My opinion of data.
If steps are not taken and inflation held in terms of current growth models the economic impact of the global pending financial crisis will lead directly to more illegal immigration concerns.
Layman's terms if we dont recognise and solve this problem we going to need a bigger wall.
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