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What can the government do to stop or slow inflation?

What can the government do to stop or slow inflation?

ABC News
Sunday, April 17, 2022 09:24:18 AM UTC

Consumer demand is driving up inflation and experts say that limits what the government can do to intervene.

Inflation in the U.S. rose 8.5% in March, compared with the prior 12 months, marking the highest increase since 1981, according to the Labor Department's Consumer Price Index.

Between February and March, inflation rose 1.2%, making for the biggest month-to-month jump since 2005.

According to several economists and other financial experts, high consumer demand in the economy -- met with low supply -- is the main factor driving inflation. The war in Ukraine is also driving up prices, specifically on oil and food, they said.

And the government is limited on intervening, according to experts who spoke with ABC News.

Read full story on ABC News
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