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War in Ukraine Fans the Flames of Global Inflation
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wsj.comFrom the Russian Revolution to Vietnam, war has been a reliable precursor to inflation. History may be about to repeat as Russia’s invasion of Ukraine tilts the balance of global political and economic forces toward higher inflation.
War fuels higher prices for three reasons. First, military needs on top of civilian demand strains the economy’s productive capacity, especially when that capacity has been damaged by bombs.
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