The brunt of inflation has been felt by more than two-thirds of world population, survey states

Around the world, 7 out of 10 people in the Ipsos survey stated that they had experienced increasing prices for vehicle fuel, payments for cars, maintenance, parking, and public transport, also groceries, meals, and restaurants.

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The brunt of inflation has been felt by more than two-thirds of world population, survey states

Ipsos made a survey on over 20,000 people in 30 nations and found that at least half also reported a rise in the cost of clothing and shoes, housing, healthcare, and entertainment. Two-fifths of respondents expected prices to continue increasing for at least the next 3 months.

Experts have stated that the price of oil is a crucial driver of inflation because it is used to create and deliver goods.

Also Read: Inflation and its effect on central bank’s independence

But the scarcity of raw materials and finished products due to the economic recovery after the Covid-19 lockdowns have also been highly blamed.

Around the world, 7 out of 10 people in the Ipsos survey stated that they had experienced increasing prices for vehicle fuel, payments for cars, maintenance, parking, and public transport, also groceries, meals, and restaurants.

Transportation was the main area with the largest percentage rise in people witnessing much higher prices.

Two-thirds stated that they had seen their utility costs rising – which includes electricity, gas, water, phone, and internet charges. While 55% stated that clothing and shoes were much more expensive, 51% mentioned higher housing, medical, and healthcare pricing and 49% stated that entertainment had become much more expensive.

“Inflation is toughest on the poorest people in society, the US Congress Joint Economic Committee confirmed in a November 2021 report. The lowest-earning 20% of US households spend 4.5 times more of their income on housing and food and 3.5 times more on transportation than those in the top 20%”, it said.

Rising prices reported

Argentina was the country with the highest number of people worried about rising inflation where the official annual inflation rate had almost hit 52.5% in October 2021, according to Reuters.

Most people around the world in several nations feel the cost of essential products and services has significantly increased.

Japan was among the nation with the fewest people who reported rising prices with consumer price inflation of 0.1% in October and China, which was 1.5% in the same month.

In the last 6 months, over a third of people stated about much higher utility bills.

Fears about continuing price increase were highest among women and under-35s, according to Ipsos, with upper-income groups expressing the most concern.

Data from international organizations carry out many of the perceptions shown in the survey. The UN Food and Agriculture Organization states that global food prices increased by 27.3% in the 12 months to November 2021.

Future viewpoint for inflation

The Organization for Economic Cooperation and Development states that inflation in its 38 member nations will reach 5.21% at the end of this year and, in the US only, inflation hit a 30-year high of 6.2% in November 2021.

However, donators to the World Economic Forum’s Chief Economists’ Outlook in November 2021 did not agree about if inflation would prove temporary or become a crucial headache for the economy of the world in 2022.

But they added caution that in lower- and middle-income countries with less stable central banks, pressures of price had been making more quickly throughout 2021 and were “at a greater risk of getting out of hand”.

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The brunt of inflation has been felt by more than two-thirds of world population, survey states
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Around the world, 7 out of 10 people in the Ipsos survey stated that they had experienced increasing prices for vehicle fuel, payments for cars, maintenance, parking, and public transport, also groceries, meals, and restaurants.
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THE POLICY TIMES
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