Inflation is by far the word of the year 2022.
Soaring prices of goods and services are at their highest in 40 years, which considerably affects the purchasing power of households.
To relieve consumers, the Federal Reserve has embarked on an aggressive monetary policy, marked by a sharp rise in interest rates. Economists warn that this monetary policy, also observed in other regions of the world, particularly in Europe with the European Central Bank, risks causing a so-called “hard landing” for the U.S economy. Basically, if the Fed continues to be so aggressive in its monetary tightening, it risks causing a recession.
While many companies have passed on their rising costs to consumers by raising the prices of their products, there are also many firms that have started to lay off workers. Alphabet (GOOGL) , the parent company of internet giant Google, has just warned that the company is likely to make layoffs in the near future…
