Are Taylor Swift and Beyoncé to Blame?

In Europe’s battle against inflation, a new villain has emerged: Beyoncé and Taylor Swift! Last month, as Beyoncé kicked off her world tour, fans flocked to Sweden from around the world for the shows, pushing up prices for hotel rooms. 

This could explain some of the reason Sweden’s inflation rate was higher than expected in May according to Michael Grahn, an economist at Danske Bank. Why after a series of interest rate hikes and a surge in the price of essential goods like food and energy — are we seeing Taylor Swift’s latest tour break records and Beyoncé stand accused of boosting the entire nation of Sweden’s inflation rate during her two-night stay in Stockholm this May? 

Let's look into it...

The Federal Reserve, Explained

The Federal Reserve is central to the U.S. economy today, and it’s controlled by just 12 people. Its monetary policies can lower inflation or even spark a recession. 

The central bank says it’s dedicated to achieving its goals set by Congress to maximize employment and maintain price stability, but some of its decisions like raising interest rates are not always popular with Americans. 

WSJ explains how the Fed became the power it is today and why it plays such a major role in the country.

Britain’s Mortgage Crisis!

Rising mortgage payments are squeezing the finances of millions of borrowers in Britain, threatening to undermine household spending and the broader economy. 

The dream of a soft landing that would have the Bank of England squeeze out inflation without condemning the country to a recession looks increasingly remote. 

Inflation has been more stubborn than expected and is forcing the central bank to go with a bigger-than-expected rate hike that took the key rate to 5%. 

What does this mean for British housing affordability?

Fractured markets: the big threats to the financial system - FT Film

Interest rates are rising; easy money is over; the cracks are showing. UK pensions were the first big explosion. FT experts and financial industry insiders examine where the next big threats to the global financial system lie and explain why when the tide goes out, we can see who is swimming naked.

How does raising interest rates control inflation?

When central banks raise interest rates, the impact is felt far and wide. Mortgages become more expensive, house prices might fall and unemployment can rise. So why do central banks do it? This film from The Economist tells you why.

Are We Having 1929 Again? -Warren Buffett

Warren Buffett explains the 1929 market crash and shares his thoughts on how to deal with events of today.

Warren E. Buffett is an American investor, philanthropist, business tycoon, and the chairman & CEO of Berkshire Hathaway. He is considered one of the most successful investors in the world and has a net worth of over 100 billion dollars. Buffett was born in Omaha, Nebraska. He developed an interest in business and investing in his youth and made truly incredible stock market returns over his career.

Are big corporate profits to blame for inflation?

Greedflation! Price gouging! Pandemic profiteering! 

What happens when turning a profit is considered a bad thing? The FT’s US business editor Andrew Edgecliffe-Johnson explains how a new message around corporate profits is resonating with the American public and causing headaches for executives.

Hear the FT podcast HERE

How does raising interest rates control inflation? - The Economist

When central banks raise interest rates, the impact is felt far and wide. Mortgages become more expensive, house prices might fall and unemployment can rise. So why do central banks do it? This film tells you why.

How Bad Can Inflation Be? Turkey Offers a Warning

As the Federal Reserve and other central banks around the world deal with rising inflation amid the economic recovery from the pandemic, Turkey – where the rate is currently over 20% – offers a warning. Soaring inflation has led to economic turmoil after years of broad growth. 

 

Is higher inflation cause for concern? - The Economist

Inflation rates have been rising all over the world, surprising many economists. While the rich world is paying higher prices for durable goods such as cars, in emerging markets soaring food prices are a greater worry. What is causing this unexpected bout of inflation, and will it last? 

 

The minimum wage: does it hurt workers? - The Economist

Joe Biden has pledged to raise America's national minimum wage to $15 an hour. Economists traditionally believed that minimum wages actually hurt workers, but recent research has led to a rethink.

The role of the Bank of England - Part 5: The Money Go Round

Keeping on an even keel: the role of the Bank of England is a short film that uses nautical metaphors and animation to explain the Bank's roles and responsibilities in an accessible, imaginative and entertaining way. The film is divided into seven short modules, which provide a simple guide to the Bank's monetary policy and financial stability roles.

They explain why low inflation and a safe and stable financial system matter to the UK economy and how the Bank contributes to achieving them.

The role of the Bank of England - Part 4: The Financial System

A simple guide to the Bank if England's monetary policy and financial stability roles. In this one they explain why low inflation and a safe and stable financial system matter to the UK economy and how the Bank contributes to achieving them.

The role of the Bank of England - Part 3: Controlling Spending

A look at the Bank of England’s roles and responsibilities. Keeping on an even keel; why a safe and stable financial system matters to the UK economy and how the central bank contributes to achieving them.