It is interesting to remember the recent comments from Christine Lagarde, the president of the European Central Bank, who outlined the EU energy crisis as the heart of the current inflation rate in the eurozone. Lagarde discussed inflation in Europe while drawing a distinction in COVID-19 spending between the EU and U.S.
Essentially, according to Legarde, the EU subsidized businesses to maintain employment; the EU covered payroll expenses during lockdowns, while the U.S. sent direct payments to the American people who were impacted by the lack of work (basically everyone).
Lagarde outlined this difference in spending approach to explain why the Eurozone inflation was less than U.S. inflation.
How long did that EU Central Bank explanation hold up? Approximately two months.
The U.S. inflation rate is currently estimated at 8.6%, and today the eurozone inflation rate just reached,…. wait for it,… Yep, an exact match at 8.6%.
LONDON (AP) — Inflation in countries using the euro set another eye-watering record, pushed higher by a huge increase in energy costs fueled partly by Russia’s war in Ukraine.
Annual inflation in the eurozone’s 19 countries hit 8.6% in June, surging past the 8.1% recorded in May, according to the latest numbers published Friday by the European Union statistics agency, Eurostat. Inflation is at its highest level since recordkeeping for the euro began in 1997.



With a pending global food shortage only looking worse by the day British Prime Minister Boris Johnson has proposed to use biofuel farmland to grow food that can be consumed by people.

