G20 Inflation Tracker Reveals Argentina, Turkey Inflation Hotspots Amid Global Economic Disparities

The 2025 WE_ARE_IN conference organized by CEPR, BIS, and ECB aims to highlight research by women economists on macroeconomics and finance relevant to central banks. ECB President Christine Lagarde discussed the global economy's transformation, emphasizing the impact of U.S. tariffs and artificial intelligence, noting that the pain from tariffs on trade is yet to be fully felt as companies currently absorb much of the cost. Inflation remains a critical concern globally, with G20 nations showing wide disparities: Argentina and Türkiye face high inflation, while China experiences deflation. The situation in emerging markets is heavily influenced by monetary policy decisions in advanced economies; for example, U.S. interest rate hikes can significantly contract emerging market GDP due to capital flow volatility and currency depreciation. This interconnectedness means that monetary policy in places like Washington or Frankfurt has immediate ripple effects worldwide, often limiting policy independence in dollar-dominated economies. These dynamics underscore the challenges faced by both advanced and emerging economies in managing inflation, trade, and financial stability amid global shifts.