Are we in a new era of permanently higher prices?
Summary
The Indicator explores whether high inflation is the new normal, featuring economist Mark Thoma. He argues that globalization’s end and climate shocks will sustain higher prices, benefiting borrowers and stockholders while hurting the bottom 80% of earners. The episode also examines how corporations and banks may exploit inflationary pressures to boost profits at the expense of consumers and savers.
Topics discussed
Fed holds rates; new chair Kevin Warsh on inflation
Show intro and sponsor messages
Guest intro and the Darien Scheme name joke
Why high inflation may be the new normal
Inflation impacts vary by income level
Winners: Fixed-rate borrowers and stock investors
Corporate profits, greed, and inelastic demand
Banks profiting from interest rate spreads
Losers: The bottom 80% and grocery shopping tips
Credits and NPR promotional spots
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