Existing analyses have failed to emphasise inflation’s underlying distributional sources and outcomes. Rafael Wildauer, Karsten Kohler, Adam Aboobaker and Alexander Guschanski present a macroeconomic model that analyses how energy price shocks trigger redistribution between workers and firms, and between different sectors of the economy. For them, a windfall tax can redistribute energy profits towards workers, a … Continue reading How to reduce inflation without increasing unemployment and income inequality