Core CPI accelerated in many countries.
use Ha, Kose and Ohnsorge (World Bank) database:
figure 1: Core CPI, sa, in log 2021M03=0. Australia series, NSA, interpolated from quarterly data by author. Recession dates as defined by NBER are shaded from peak to trough in gray. source: Ha, Kose, Careless/World BankOECD (Australia) via FRED, NBER and author’s calculations.
and using OECD (primary) data:
figure 2: Core CPI, nsa, log 2021M03=0. The American series is BLS, sa. Chinese series, sa, from Ha et al. The French range does not include alcohol and tobacco. The Australian series is interpolated from quarterly data by the authors. Recession dates as defined by NBER are shaded from peak to trough in gray. Source: Bureau of Labor Statistics, OECD via FRED, Ha, Kose, Careless/World BankNBER, and the authors’ calculations.
So while cumulative core inflation in the US is high, cumulative inflation in other countries is also rising. The UK, Canada and Australia are the closest (again, English-speaking countries!).
It’s important to remember that pre-pandemic inflation in the U.S. was higher than expected in all countries.That’s why I’m in my previous assessment.
