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Inflation has short- and long-term drivers — but expectations are the greatest risk

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History has a habit of repeating itself. Nearly 48 years ago, the Federal Reserve replaced Arthur Burns, whose tenure was marked by a failure to contain inflation, with G. William Miller. Miller took office in 1978 as inflation appeared to be easing. That improvement proved short-lived. Monetary policy was relaxed too soon, and inflation soon accelerated again.

KC Law (Economist)

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KC Law (Economist)

Law Ka Chung is a Hong Kong economist and financial columnist.

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