Ad
Christine Lagarde speaking at the ECB Forum in Sintra (Photo: European Central Bank)

ECB's Lagarde says profits are two-thirds of inflation

Economists and monetary authorities are increasingly coming around to the view that inflation for the past two years was primarily driven by corporate price gauging, not wages or high demand.

"Unit profits contributed around two-thirds to domestic inflation whereas, in the previous 20 years, the average contribution was one-third," said European Central Bank president Christine Lagarde on Tuesday (27 June).

"We haven't seen a rise in aggregate demand in Europe [since 2019]," sai...

Get EU news that matters

Back our independent journalism by becoming a supporting member

Already a member? Login here

Author Bio

Wester is a journalist from the Netherlands with a focus on the green economy. He joined EUobserver in September 2021. Previously he was editor-in-chief of Vice, Motherboard, a science-based website, and climate economy journalist for The Correspondent.

Christine Lagarde speaking at the ECB Forum in Sintra (Photo: European Central Bank)

Tags

Author Bio

Wester is a journalist from the Netherlands with a focus on the green economy. He joined EUobserver in September 2021. Previously he was editor-in-chief of Vice, Motherboard, a science-based website, and climate economy journalist for The Correspondent.

Ad

Related articles

Ad
Ad