Fallow On Commodity Prices And Inflation

Brian Fallow has another thoughful piece in today's Herald. He looks at whether the current rise in food and oil prices is a short term issue or an early sign in a structural shift? If it is, what will this mean for New Zealand, and what will it mean for monetary policy? He reminds us that defeating inflation is not within the gift of the Reserve Bank alone. The fight against inflation requires many participants.