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Sudden Inflation of Inflation Expectation?

Thursday, 13 April 2017 by Jerome Booth

The U.K., Eurozone and U.S. economies are all expected to see rising inflation in the next six to twelve months, prompting speculation of rising interest rates. The case for raising rates occurs when an economy is overheating and inflation expectations need reining in. A higher interest rate makes capital more expensive and so moderates consumption

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