Inflation, the global financial crisis, and COVID-19 pandemic

• Autorzy: Grzegorz Jałtuszyk
• Języki publikacji: EN

Abstrakty

EN

In the years 2021-2022, world inflation has drastically increased. The analyses of the main character - istics of the 2007-2009 financial crisis and of the economic crisis caused by the COVID-19 pandemic as well as of the rise in total debt of the non-financial sector suggest that the growth in inflation was triggered by excessive debt growth of the government sector in 2020-2021. In that period, the main goal of the debt growth of the government sector was to finance the aid schemes limiting the negative effects of the COVID-19 pandemic. These aid programmes were indispensable to avoid deep and long-term global economic recession, however, their value was too high to keep inflation in the world under control. The fiscal intervention of particular countries should be co-ordinated internationally, as the cumulative result of the operations undertaken by particular states might have detrimental effects globally.(original abstract)

Słowa kluczowe

EN

Inflation; COVID-19; Fiscal policy

PL

Inflacja; COVID-19; Polityka fiskalna

• Czasopismo: Journal of Management and Financial Sciences
• Rocznik: 2022
• Tom: 15
• Numer: nr 46
• Strony: 9--19

Twórcy

autor

Grzegorz Jałtuszyk

• SGH Warsaw School of Economics

Bibliografia

• Andre, P., Haaland, I., Roth, C., Wohlfart, J. (2021). Inflation narratives, CEPR Discussion Paper, 16758.
• BIS (2022). Credit to the non-financial sector. Retrieved from: https://www.bis.org/statistics/ totcredit.htm?m=2669 [accessed: 06.06.2022].
• Bonam, D., Smădu, A. (2021). The long-run effects of pandemics on inflation: Will this time be different? "Economics Letters", 208.
• Buiter, W., Rahbari, E. (2012). The ECB as Lender of Last Resort for Sovereigns in the Euro Area. C. E.P. R. Discussion Papers, 8974.
• Claessens, S., Kose, A., Laeven, L., Valencia, F. (2014). Financial Crises, Causes, Consequences, and Policy Responses . IMF. Retrieved from: https://www.elibrary.imf.org/view/books/071/20264- 9781475543407-en/20264-9781475543407- en-book.xml [accessed: 15.05.2022].
• Dembiermont, C., Drehmann, M., Muksakunratana, S. (2013, March). How much does the private sector really borrow? A new database for total credit to the private nonfinancial sector. "BIS Quarterly Review", pp. 65-81. Retrieved from: https://www.bis.org/publ/qtrpdf/r_qt1303h. pdf [accessed: 04.05.2022].
• Ha, J., Kose, M. A., Ohnsorge, F. (2019). Inflation in Emerging and Developing Economies Evolution, Drivers, and Policies . The World Bank. Retrieved from: https://www.worldbank.org/en/ research/publication/inflation-in-emerging-and-developing-economies [accessed: 20.04.2022].
• Humphrey, T. (1974, May/June). The quantity theory of money: its historical evolution and the role in policy debates, Federal Reserve Bank of Richmond. "Economic review" . Retrieved from: https://core.ac.uk/download/pdf/6917453.pdf [accessed: 26.05.2022].
• IMF (2022a, April). World Economic Outlook database. Retrieved from: https://www.imf. org/en/Publications/WEO/weo-database/2022/April/download-entire-database [accessed: 17.06.2022].
• IMF (2022b). Fiscal Monitor Database of Country Fiscal Measures in Response to the COVID-19 Pandemic. Retrieved from: https://www.imf.org/en/Topics/imf-and-covid19/Fiscal-Policies- Database-in-Response-to-COVID-19 [accessed: 12.06.2022].
• Koester, G. B., Lis, E., Nickel, C., Osbat, C., Smets, F. (2021). Understanding Low Inflation in the Euro Area from 2013 to 2019: Cyclical and Structural Drivers. ECB Occasional Paper , 2021280. Retrieved from: http://dx.doi.org/10.2139/ssrn.3928302 [accessed: 16.04.2022].
• Lavoie, M., Fiebiger, B. (2018). Unconventional monetary policies, with a focus on quantitative easing. "European Journal of Economics and Economic Policies: Intervention", 15 (2), pp. 139-146.
• Potter, S. I Smets F. (2019). Unconventional monetary policy tools: a cross country analysis, BIS CGFS Papers, 63.
• Rees, D., Rungcharoenkitkul, P. (2021). Bottlenecks: causes and macroeconomic implications. BIS Bulletin, 48.
• Schenkelberg, H., Watzka, S. (2011). Real Effects of Quantitative Easing at the Zero-Lower Bound: Structural VAR-based Evidence from Japan, CESIFO Working Paper, 486.