When the inflation rate rose to the highest, the US president announced “improvement of the harmful effects of monopolistic conglomerates,” and the central bank predicted that Europe would “rise further,” while the South Korean vice-minister of the Ministry of Strategy and Finance judged it to be “temporary.”
President Biden, who is attempting to invest $1.9 trillion in infrastructure against inflation, said, "The monopoly is the culprit of inflation," and immediately after his speech to improve distribution networks in the four major industries, he focused the media on a photo in front of an ice cream shop on his way to the airport.
On the 27th of last month, Biden's speech at Cuyahoga Community College, reported by Korean media 'Snack Biden', said about the inflation rising to the 4% level, "Inflation in the United States is stabilized by eradicating business practices that harm competition and solving the problem of shortage of raw materials and excessive distribution costs. He pointed out the monopolistic companies, saying, “It will make it difficult for small businesses and the home economy,” and announced strong regulations.
Regarding the resolution of the supply and distribution problem of information technology (IT)-related parts including construction materials and semiconductors in the United States, which he pointed to as the main culprit for inflation, President Biden said in Ohio, where many small and medium-sized enterprises (SMEs), “the administration will take action next week to solve these problems. “We plan to solve the bottlenecks in the supply of building materials and the process of logistics and transportation.”
Germany's central bank, the Bundesbank, said on the 31st of last month that Germany's consumer price index (CPI) rose 2.4% year-on-year in May, the highest since 2018, and that Germany's inflation rate is expected to soar to 4% this year.
The Financial Times (FT) commented on the same day that Germany, Europe's largest economy, is reaching its highest level of inflation since the introduction of the euro in 1999.
ING's chief economist, Kasten Bzesky, said about inflation in Germany, "Supply chain disruptions could lead to higher producer prices, including container prices, semiconductor distribution problems, and higher commodity prices, which could ultimately put more pressure on consumer prices." I told the FT.
1st Vice Minister of Strategy and Finance Lee Won Lee said on the 1st, "Consumer price is highly likely to temporarily exceed 2% in the second quarter as the base effect of last year's low price due to Corona 19 is added to supply factors such as oil price and livestock and fishery products." said at the financial conference.
The consumer price index in May rose 2.6% YoY, exceeding the annual target of 2.0% in a row and the highest since April 2012 (2.6%).
According to the National Statistical Office, the inflation rate in May was a rise of 23.3% for petroleum products and 12.1% for agricultural and marine products (agricultural products 16.6%), followed by an increase of 3.1% for industrial products, 1.8% for jeonse, and 0.8% for monthly rent. Electricity, water and gas rates fell 4.8%.
In the United States, the personal consumption expenditure (PEC) inflation rate in April rose 3.6% from the previous year, the highest increase in 13 years since September 2008 (3.7%) during the financial crisis. is rising
The U.S. producer price index and wholesale price index rose 6.2% in April from the previous year, the largest since the start of the 2010 statistical index.
According to the Bank of Korea's 'Natural Unemployment Rate' report on the 1st, the natural unemployment rate, which means the structuring of long-term unemployment, fell by 2012 and rose from the 3.3% level, and is estimated to be 'around 3.9%' in 2020. Human capital loss in the process of progressive economic structural change.
Korea's exports, which took advantage of the rise in international oil prices, rose 164.1% in May, the highest growth rate in 15 years (year-on-year), petrochemicals 94.9%, automobiles 93.7%, and semiconductors 24.5%, leading to an international monopoly. was biased
By region, exports surged by 62.8% to the US, 62.8% to the EU, 119.3% to Japan, 64.3% to ASEAN, and 32.1% to Latin America, followed by China 22.7%.
GNI per capita per capita declined for the second year in a row and fell -1.1% in the fourth quarter of last year.
The Bank of Korea's GNI is $31,734 in 2017, $33,564 in 2018, $32,115 in 2019, and $31,755 in 2020.