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Inflation: why it's happening and why interest rates are going up to combat it

By Supriya Kapoor, Assistant Professor of Finance, Trinity College Dublin
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Soaring prices have forced central banks in many developed countries to raise their interest rates in recent weeks. These organisations are in charge of attempts to rein in rising costs that are threatening to wreak havoc on household budgets in coming months.

Western economies are currently experiencing two major shocks that are pushing up the costs of goods and services. First, the war in Ukraine has resulted in surging energy and food prices. Second, there has been record-high…The Conversation

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