CF40 released 2023 Q1 Macroeconomic Policy Report on Inflation: This Time is Different at the 407th CF40 Roundtable on April 22, 2023. The event brought together established scholars, policymakers, and senior executives to foster broad discussions of the causes, effects of and responses to the recent round of global inflation.
Unlike what happened during the 1970s, the US has maintained high economic growth and protected employment and consumer welfare during the current round of inflation. In fact, rising inflation has helped the US rebalance the balance sheets of the government, corporate, and household sector. Inflation expectations play a crucial role in the outcome of inflation, and measures should be taken promptly when inflation occurs to maintain the reputation of the central bank and stabilize inflation expectations. High inflation is like a cross-sector balance sheet surgery, and the postoperative effects merit further study.
Wang Yi, CF40 Member and Deputy General Manager of China Everbright Group, delivered a keynote speech on deflationary pressure and demand rebound. Zhang Bin, CF40 Non-Resident Senior Fellow and Deputy Director of the Institute for World Economic and Politics (IWEP) at the Chinese Academy of Social Sciences (CASS), who also leads the CF40 Quarterly Macroeconomic Report project, presented the latest research output revolving around inflation. The report addresses several questions: What is different about the causes of the new round of inflation? What effects will it have? How will efforts to combat high inflation affect asset prices and financial stability?
Xiao Yuanqi, CF40 Advisor and Vice President of China Banking and Insurance Regulatory Commission, Yu Yongding, CF40 Advisor and Academician of Chinese Academy of Social Sciences, and Zhang Xiaohui, CF40 Non-Resident Senior Fellow and former Assistant Governor of the People’s Bank of China, provided comments.
CF40 Secretary-General Wang Haiming moderated the seminar.
