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Sticky inflation

Why is the remaining portion of inflation proving so difficult to overcome? Adapting monetary policy has worked well to rein US companies: a debt-to-GDP ratio that is currently unaffected by rising interest rates in the alarming inflationary trends experienced over the past couple of years, but it is struggling to finish the task of slowing economic activity and bringing consumer price growth down to target levels. In this edition of the Economic Brief, we will examine the situation in the US in a bid to explain this resilience.

Economic-brief-May-2024