THE STATE

ReLive: New Economy Short Cut with Mark Blyth on lessons from the great inflation shock

BY

FORUM NEW ECONOMY

PUBLISHED

26. AUGUST 2025
(c) Unsplash / Mathieu Stern

When inflation reached new highs in 2022, sceptics predicted that it was here to stay. In the meantime, rates have fallen sharply again, albeit at a higher price level. So were those who classified the price shock as shock-induced and temporary – and warned against overly strong reactions from central bankers – right? Renowned economist Mark Blyth examines the phenomenon in his book Inflation: A Guide for Users and Losers. He explains how trade conflicts, climate shocks and geopolitical tensions are creating a very different inflation dynamic than in the past. And what that means at a time when inflation played a significant role in Donald Trump’s election.

This was the topic of our recent New Economy Short Cut:

 

Inflation – Lessons from the Great Shock

With Mark Blyth, Professor of International Economics at Brown University,

Watch the whole discussion

PREVIOUS ARTICLE Forum newsletter: The comeback of the faith economy? / Short Cuts with Wolfgang Muenchau and Mark Blyth

ABOUT THE STATE

KNOWLEDGE BASE

For decades, there was a consensus that reducing the role of the state and cutting public debt would generate wealth. This contributed to a chronic underinvestment in education and public infrastructure. New research focuses on establishing when and how governments need to intervene to better contribute to long-term prosperity and to stabilize rather than aggravate economic fluctuations.

ARTICLE OVERVIEW