Inflation: why are prices rising?

Inflation why are prices rising

Inflation in the euro zone has reached a record level for almost twenty-five years. France is rather less affected than the other countries of the Union, in particular because of the support measures taken by the government. Nevertheless: refueling your vehicle is more and more expensive, heating, lighting too, and bills at the supermarket are heavier than before. The purchasing power of the French is decreasing, and this is their main concern. How can this price increase be explained?

Are the resumption of economic activities after the confinement phase and the war in Ukraine the only reasons for the label waltz? Is the resurgence of the pandemic in China and the confinement of part of the country likely to aggravate the phenomenon? Should wages be increased to compensate for this loss of purchasing power or, as the French Minister of the Economy says, this could cause prices to soar even more?

Decryption with :

Florence Jany CatriceProfessor of Economics at theUniversity of Lilleresearcher at the Laboratoire le Clersé (Lille center for sociological and economic studies and research), author of consumer price index (Discovery)

Eric Heyereconomist, director of the Analysis and Forecasting Department of theOFCE (French Observatory of Economic Conditions), teacher at Sciences Po Paris.

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