“Economists have speculated on the possible return of ‘stagflation’, with supply shocks stunting growth as prices rise.”
USAGOLD note: It is difficult to read this in-depth analysis without thinking of the United Kingdom as a template for what could happen elsewhere. Brexit is part of the issue, but only a part. The bigger issues have to do with the cultural changes wrought by the pandemic and the response from the federal government and central bank. In that regard, we all are faced with similar circumstances and perhaps echoing repercussions – supply shortages (including energy), inflation, a depleted workforce, etc.