The economy of the United States, inflation, and the ramifications for Pakistan
The high US inflation rate will undoubtedly have an influence on the world. The US Consumer Price Index (CPI) inflation rate is at 9.1%. The predicted high rate of headline inflation is likely to persist for some time due mainly to supply interruptions brought on by oil and food price hikes as a result of the Ukraine war, even though core inflation, or inflation excluding the prices of oil and food, is lower at roughly 4%. Compared to the first quarter of 2021, when growth was 5.6%, the growth rate in 2022 was only 1.6%. The consensus among economists is that there will be a US economic recession and a global slowdown. In terms of growth, exports, employment, and the value of their currencies, these developments will have an impact on economies all around the world, but particularly on those in developing countries. Let's now examine the dollar-rupee parity. The elevated US inflation rate will undoubtedly have an effect on other countries, especially less developed econom