インフレはなぜ止まらないのか｜物価上昇の連鎖を英語で読む

Inflation is often described as rising prices, but that definition is incomplete. At its core, inflation reflects a changing balance between money and goods, and it reshapes how people plan, spend, and negotiate.

One common path to inflation begins when demand grows faster than supply. If households and businesses want more goods and services than producers can provide, prices tend to rise. This can happen during a fast recovery, when spending rebounds quickly, or when supply is disrupted by shocks such as natural disasters or geopolitical events. In each case, the same outcome appears: too many buyers chasing too few products.

Another path involves the money side of the economy. When large amounts of money enter the system—through low interest rates, credit expansion, or government stimulus—purchasing power increases. If production cannot expand at the same pace, more money competes for the same goods, and prices rise. Inflation is not only about “greedy companies” or “impatient consumers.” It is often about timing: money and production do not adjust at the same speed.

Inflation also becomes a story about expectations. If people believe prices will keep rising, they may buy sooner, negotiate higher wages, or raise prices in advance. Businesses may increase prices not only to cover current costs, but to protect themselves against future costs. These reactions can reinforce inflation, turning it into a feedback loop that is hard to break.

This is why fighting inflation is rarely simple. Policies that reduce inflation—such as higher interest rates—can also slow growth and raise unemployment. Governments and central banks must choose between painful options and accept trade-offs. Understanding inflation, therefore, requires more than watching price tags. It requires attention to incentives, expectations, supply constraints, and long-term policy choices.